1. Round 1: Global Expansion & Value Capture Royalty Collection System Involves Many PartiesPayment toMonsantoGROWER GRAIN DELIVERY: PARTICIPANT GRAIN TRANSFER: Roundup Ready presence determination No testing nor deduction (Roundup If Roundup Ready, royalty deductionReady grain under fee paid status)Grain HandlerGROWER GRAIN DELIVERY: Payment to Grower Roundup Ready presence determination Monsanto If Roundup Ready, royalty deduction RoundupReady Exporter/Processor CooperativeCOOPERATIVE GRAIN DELIVERY:GROWER GRAIN DELIVERY: No Roundup Ready presence determination If delivering to a Roundup Ready designated Designated elevator assumed Roundup Ready elevator, load assumed as Roundup Ready Roundup Ready royalty deduction Roundup Ready royalty deduction 18

2. Round 2: Monsanto Is Uniquely Positioned toBring Next Generation of Traits to Market Continued Growth from Round 1 Second-Generation Traits Greater Intensity of Stacked Traits Round 1Round 2 19 3. Round 2: Second-Generation Traits Roundup Ready Flex Cotton Brings a Step-Change in Performance Product Status Roundup Ready Flex offers a Phase 3 of wider window of Roundup development application with higher use rates and enhanced crop safety Value Considerations Available Market Incremental pricing opportunity over 10-15 million acre upgrade in U.S current Roundup Ready cotton 0.5-0.8 million acre upgrade in Stack with Bollgard II enhances margin Australia opportunityOver-the-top window of application Roundup Ready Flex Cotton Roundup ReadyCotton(< 4 lf.) Emergence LaybyPreharvest Harvest20 4. Round 2: Stacked Traits Stacking Biotech Traits Adds New Dimension to Market PotentialMultiplying Margin Opportunities Monsanto U.S. Biotech Intensity Index*Average number of biotech traits per biotech acre1.6Cotton (2 Traits) 1.5 Corn (3 Traits)1.5 Soybeans (1 Trait)1.4 1.3 1.21.2 1.1 1.0 1 199619971998 1999 2000 2001 2002 20032004F 2005F2006F U.S. Biotech Margin Opportunities 2004 Preliminary* Corn Cotton16 million 52 million10 million 1.242 million1.5biotechbiotech X =biotech X= intensity biotechintensitymarginmargin Acres indexacres indexopportunitiesopportunities21 * Monsanto Traits Only 5. Round 2: Stacked Traits Corn and Cotton Stacking Strategy Unlocks Value U.S. Cotton Trait AcresAcres planted with Monsanto cotton technology (millions)15 Roundup Ready cotton Bollgard I & II cottonStacked cotton Value proposition most12 apparent in stacked traits 9 Rapid penetration of technology demonstrates 6 value, cost and yield 3 advantages for growers 0 Double- and triple-stacked 1998199920002001200220032004F corn and cotton provide solid U.S. Corn Trait Acres defense against me too competitive entriesAcres planted with Monsanto corn technology (millions)45 Stacked corn40 Stacked trait acres in corn YieldGard corn borer and rootworm35 Roundup Ready corn increased by more than 80%30 in 200425201510 5 0 1998 1999200020012002 20032004F Source: Monsanto estimates 22 6. Round 2: Stacked Traits YieldGard Plus Protects Roots and Stalks All Season Product Concept APPROVEDStacks corn rootworm and cornborer control into one productFirst double-insect trait in corn BenefitsAll-season protection against thetwo leading insect pests in cornSeed inventory managementthrough fewer SKUs Available Market14-19 million acres in U.S. StatusFood and feed approvals in U.S.,Canada and JapanCorn RootCorn Stalk plusProtectionCommercial launch 2005Protection 23 7. Round 3: Pipeline Potential Builds on EstablishedPlatform Continued Growth from Rounds 1 & 2 Improved Food and Feed Biotech Traits Biotech Yield Traits Round 1Round 2 Round 3 24 8. Round 3: Food, Feed and Yield Traits Pipeline Products Reach New Markets and Expand Base in Corn, Soybeans and Cotton Food Healthier Oil SoyYield (Low LinolenicFeedMid Oleic Omega-3 Soy Omega- Low Saturate)Enhanced HighDrought TolerantImproved Protein SoyLysine CornCorn, Soy, Cotton(Beta Conglycinin) Low Linolenic Cold Tolerant High Lysine Corn Soy Corn Improved ProteinSoyNitrogenUtilization CornCommercialized Agronomic Traits YieldGard RoundupYieldGard Corn BorerReady Corn, RootwormBollgard I & IISoy, Cotton Corn Cotton2nd Generation Roundup Ready YGCB Borer II YGRW II CornAgronomic Traits Flex CottonCorn 25 9. Round 3: Food Omega-3 Biofortification a Food Industry Breakthrough Omega-3 Deficiency Implicated in CVDOmega-3 fatty acids are essentialJapan Recommendations Ratio dietary omega-6:3 4:1 are for a ratio of 4:1in human diet: omega-6 to omega-3 CanadaAmerican Heart Assn & American Dietetic UKAssn and 1,600+ research studies supporthealth benefits US Diet 80:1Product Concept 50 CV deaths/100,000 200Vegetable oils enriched with bio-available omega-3 % general population stating they 39.1%consider their diet deficient inBenefit32.0%New consumer product options for 30.9%29.4%omega-rich foods 24.9% 23.1%Qualified health claims Folic Acid 18.7%Whole GrainsEnvironmental sustainability Omega-3 Soy Protein Vitamin C Vitamin EEconomical supply Fiber26 Source: NMI, Health & Wellness Trends Report, 2003; FF&N, 2003 10. Round 3: Yield Traits Drought Stress Tolerance Is One of Potential New Agronomic Traits in Pipeline Product Drought tolerance offers yield and environmental benefits on all acres by improving water use Also offers cost savings on irrigated acresStatus: Phase 1 of developmentAvailable Market 3 possible markets Yield insurance on all acres to protect against water deficits Yield enhancement on all acres through improved water use Cost savings on irrigated acresValue Considerations Pricing depends on choice of market Stack with weed and insect control traits enhances margin opportunity 27 11. Mid-Term Earnings Growth Rate Is Achievablefrom Higher 2004 BaseSeeds and traits projected to grow significantlyBreeding advancements continue to improve seedperformanceSecond-generation and stacked traits offer unmatchedbenefits to growers Roundup shifts focus toward improving return on capitalRoundup remains major source of free cash flowR&D advancements accelerate longer term growth 10% EPS CAGR in 2005 and 2006 from Ongoing Business with Strong Free Cash Flow 28 12. Fiscal Year 2004 Guidance Has Increased Gradually Reflecting Stronger Performance in Seeds and TraitsFiscal Year 2004 Targets Earnings Per Share Ongoing $1.55 - $1.60 Quarterly GuidanceBusiness$1.62 per share firstEarnings Per Share GAAP Basis$0.79 - $0.84nine months actual$(0.02) to $(0.07) inFree Cash Flow $500M rangethe fourth quarter SG&A as a % of Sales 22% rangeR&D as a % of Sales10% rangeCapital Expenditures$250M 29 13. Restructuring Actions Nearly Complete, Setting UpFocused Operations at Reduced CostEstimated Costs and Savings Associated with ImplementingStrategic ActionsFiscal Estimated EstimatedEstimatedEstimatedSG&A asR&D as YearCost to Cash EffectNon-CashSavings PercentPercent ImplementEffect* of Sales of Sales $135M $20M - $26M$205M after- $70M after-after-tax orafter-tax or2004tax or $0.76 tax or $0.26 22% 10% $0.50 per $0.07 - $0.10 per shareper share share per share $80M - $95Mafter-tax or2005 NoneNone None20% 10% $0.30 - $0.35 per share $90M - $105M after-High2006 NoneNone None10% tax or $0.33 - teens $0.39 per share 63% complete through 963% complete through 9 months ended May 31, 2004 months ended May 31, 2004 * Includes $69M effect from goodwill adjustment related to global wheat businessglobal 30 14. Free Cash Flow Guidance for Fiscal Year 2004Approximately $500MFree Cash Flow Year-to-DateNine Months Ended May 31, 2003 Nine Months Ended May 31, 2004$ Millions Net income and noncash items $1,200 $1,000 $800Capital $600Free cash flowspending and Working capital $400 other investing and other balance $200359activities sheet changes* 172 $0-$200-$400-$600-$800-$1,000-$1,200*Includes $(400M) for PCB litigation settlement in 2004, and pension contributions of $(150M) in 2004 and $(35M) in 2003 31 15. ROC Improves With Earnings Growth and SignificantBalance Sheet Improvements Earnings Accelerate Capture savings seed and traitfromgrowth restructuring Reduce inventories Reduce receivables 25% in 200347% in 2003 22% in 200643% in 2006 Invested Capital Manage capitalexpenditures belowROC TargetsdepreciationComing October 6, 2004 32 16. A Clear Focus To Deliver On CommitmentsForecasted 10 percent EPS CAGR from ongoing business in 2005+Seeds and traits growth is eminently achievable As necessary, cost actions are implementedFree cash flow generation is solidCash being returned to shareowners in dividends, sharerepurchases Monsanto is unique among technology companies with this level of leadershipFunding own growth with substantial returns to shareowners Significant first mover advantage commercially Proven, highly productive new product pipelineManagement team is dedicated to delivering on commitments and is building track record33 17. Reconciliation of Non-GAAP Financial Measures Reconciliation of Free Cash FlowFiscal Year 2004 9 Months Ended$ Millions TargetMay 31, 2004Net Cash Provided (Required) by Operations$750 $112 Net Cash Provided (Required) by Investing Activities $(250) $60 Free Cash Flow $500 $172Net Cash Provided (Required) by Financing Activities N/A$(126) $46 Net Increase (Decrease) in Cash and Cash Equivalents N/A*Approximate figures only Reconciliation of Non-GAAP EPS3 Months Ending$ MillionsAugust 31, 2004 Fiscal Year 2004 9 Months EndedTargetTargetMay 31, 2004$(0.31)-$(0.36)Net Income (Loss) $0.79-$0.84 $1.15 --Cumulative Effect of Change in Accounting Principle -- -- $(0.31)-$(0.36)Income (Loss) Before Cumulative Effect of Accounting Change $0.79-$0.84$1.15 $0.252004 Restructuring Charges Net$0.46$0.21 $0.04Estimated 2004 Discontinued Operations and Related$0.04--Restructurings Net--2000 and 2002 Restructuring Charges Net---- --Goodwill Impairment Charge for Global Wheat Business$0.26$0.26 $(0.02)-$(0.07)Net Income (Loss) from Ongoing Business $1.55-$1.60$1.62 34