Conference/Talk Location Presentation Date, 2009 ASFMRA Ag Innovations Research Overview Population and Income Drives the Demand for Corn and Soybean +13% +36% +21% The growth in world population over the last 10 years The growth in global income over the last 10 years The growth in meat consumption (Beef +14%, Pork +11%, Chicken +45%) over the last decade +34% +52% +6% The growth in world corn consumption over the last decade The growth in world soybean consumption over the last decade The growth in world crop area harvested over the last decade • Agricultural Productivity Gains Mean More Food, Feed And Fuel From The Same Land Area Population and historic data from Global Insights Crop and livestock historic data from USDA “Last 10 years/decade” = 1998 - 2008 Pioneer Worldwide Research Centers Redwood Redwood Falls, Falls, Falls, MN MN MN Redwood Falls, MN Redwood Redwood Falls, MN Morden, Morden, Morden, Manitoba Manitoba Morden, Morden, Morden, Manitoba Manitoba Manitoba Manitoba Moorhead, Moorhead, Moorhead, MN MN MN Eau Eau Eau Claire, Claire, Claire, WI WI WI Saskatoon, Saskatoon, Saskatoon, Saskatchewan Saskatchewan Saskatchewan Saskatchewan Saskatoon, Saskatoon, Saskatoon, Saskatchewan Edmonton, Edmonton, Edmonton, Alberta Alberta Alberta Alberta Edmonton, Edmonton, Edmonton, Alberta Brookings, Brookings, Brookings, SD SD SD SD Brookings, Brookings, Brookings, SD Arlington, Arlington, Arlington, WI WI WI WI Arlington, Arlington, Arlington, WI Willmar, Willmar, Willmar, MN MN Willmar, Willmar, Willmar, MN MN MN MN Epuiseau, Epuiseau, Epuiseau, France France France France Epuiseau, Epuiseau, Epuiseau, France Janesville, Janesville, Janesville, WI WI Janesville, Janesville, Janesville, WI WI WI WI Mankato, Mankato, Mankato, MN MN MN MN Mankato, Mankato, Mankato, MN Algona, Algona, Algona, IA IA IA Dallas Dallas Center, Center, Center, IA IA IA Dallas Center, IA Dallas Dallas Center, IA Marion, Marion, Marion, IA IA Marion, Marion, Marion, IA IA IA IA Johnston, Johnston, Johnston, IA IA IA IA Johnston, Johnston, Johnston, IA Connell, Connell, Connell, WA WA WA Princeton, Princeton, Princeton, IL IL IL IL Princeton, Princeton, Princeton, IL Ithaca, Ithaca, Ithaca, MI MI Ithaca, Ithaca, Ithaca, MI MI MI MI Pace, Pace, Pace, France France France France Pace, Pace, Pace, France Wulfshagen, Wulfshagen, Wulfshagen, Germany Germany Germany Germany Wulfshagen, Wulfshagen, Wulfshagen, Germany Greven, Greven, Greven, Germany Germany Germany Germany Greven, Greven, Greven, Germany Georgetown, Georgetown, Georgetown, Ontario Ontario Ontario Ontario Georgetown, Georgetown, Georgetown, Ontario Woodstock, Woodstock, Woodstock, Ontario Ontario Ontario Ontario Woodstock, Woodstock, Woodstock, Ontario Eschbach, Eschbach, Eschbach, Germany Germany Germany Parndorf, Parndorf, Parndorf, Austria Austria Austria Austria Parndorf, Parndorf, Parndorf, Austria Coteau-du-Lac, Coteau-du-Lac, Coteau-du-Lac, Quebec Quebec Quebec Quebec Coteau-du-Lac, Coteau-du-Lac, Coteau-du-Lac, Quebec Chatham, Chatham, Ontario Ontario Ontario Chatham, Ontario Chatham, Chatham, Ontario Macomb, Macomb, IL IL IL Macomb, IL Macomb, Macomb, IL Napoleon, Napoleon, Napoleon, OH OH OH OH Napoleon, Napoleon, Napoleon, OH OH York, York, York, NE NE York, York, York, NE NE NE NE LaSalle, LaSalle, LaSalle, CO CO LaSalle, LaSalle, LaSalle, CO CO CO CO Woodland, Woodland, Woodland, CA CA CA CA Woodland, Woodland, Woodland, CA Richmond, Richmond, CA CA CA Richmond, CA Richmond, Richmond, CA Redwood Redwood Redwood City, City, CA CA Redwood Redwood Redwood City, City, City, City, CA CA CA CA Manhattan, Manhattan, Manhattan, KS KS Manhattan, Manhattan, Manhattan, KS KS KS KS Lawrence, Lawrence, Lawrence, KS KS Lawrence, Lawrence, Lawrence, KS KS KS KS Garden Garden Garden City, City, KS KS Waimea, Waimea, Waimea, HI HI HI HI Garden Garden Garden City, City, City, City, KS KS KS KS Waimea, Waimea, Waimea, HI HI Plainview, Plainview, Plainview, TX TX TX TX Plainview, Plainview, Plainview, TX TX Kunia, Kunia, Kunia, HI HI Kunia, Kunia, Kunia, HI HI HI HI Los Los Los Mochis, Mochis, Mochis, Mexico Mexico Mexico Windfall, Windfall, Windfall, IN IN Windfall, Windfall, Windfall, IN New New New Holland, Holland, PA PA New New New Holland, Holland, Holland, Holland, PA PA PA PA Wilmington, Wilmington, DE DE DE Wilmington, DE Wilmington, Wilmington, DE Newark, Newark, DE DE DE Newark, DE Newark, Newark, DE Champaign, Champaign, IL IL IL Champaign, IL Champaign, Champaign, IL Princeton, Princeton, IN IN IN Princeton, IN Princeton, Princeton, IN Miami, Miami, Miami, MO MO MO MO Miami, Miami, Miami, MO Taft, Taft, Taft, TX TX TX TX Taft, Taft, Taft, TX IL IL Mascoutah, Mascoutah, Mascoutah, IL IL IL Union Union Union City, City, TN TN Union Union Union City, City, City, City, TN TN TN TN West West West Memphis, Memphis, Memphis, AR AR AR Memphis, AR West West West Memphis, AR Cairo, Cairo, Cairo, GA GA GA GA Cairo, Cairo, Cairo, GA Salinas, Salinas, Salinas, PR PR PR Puerto Puerto Puerto Vallarta, Vallarta, Vallarta, Mexico Mexico Mexico Tlajomulco, Tlajomulco, Mexico Mexico Mexico Tlajomulco, Mexico Tlajomulco, Tlajomulco, Mexico Irapuato, Irapuato, Mexico Mexico Mexico Irapuato, Mexico Irapuato, Irapuato, Mexico Sorriso, Sorriso, Sorriso, Brazil Brazil Brazil Brazil Sorriso, Sorriso, Sorriso, Brazil Arica, Arica, Arica, Chile Chile Chile Chile Arica, Arica, Arica, Chile San San San Felipe, Felipe, Chile Chile San San San Felipe, Felipe, Felipe, Felipe, Chile Chile Chile Chile Viluco, Viluco, Viluco, Chile Chile Chile Chile Viluco, Viluco, Viluco, Chile Temuco, Temuco, Temuco, Chile Chile Chile Hodmezovasarhely, Hodmezovasarhely, Hodmezovasarhely, Hungary Hungary Hodmezovasarhely, Hodmezovasarhely, Hodmezovasarhely, Hungary Hungary Hungary Hungary Afumati, Afumati, Afumati, Romania Romania Romania Romania Afumati, Afumati, Afumati, Romania Ahmetbey, Ahmetbey, Ahmetbey, Turkey Turkey Turkey Turkey Ahmetbey, Ahmetbey, Ahmetbey, Turkey Cremona, Cremona, Cremona, Italy Italy Italy Italy Cremona, Cremona, Cremona, Italy Gurgaon, Gurgaon, Gurgaon, India India India India Gurgaon, Gurgaon, Gurgaon, India Toukh, Toukh, Toukh, Egypt Egypt Egypt Egypt Toukh, Toukh, Toukh, Egypt Aussonne, Aussonne, Aussonne, France France France Sevilla, Sevilla, Sevilla, Spain Spain Spain Spain Sevilla, Sevilla, Sevilla, Spain Tieling, Tieling, Tieling, China China Tieling, Tieling, Tieling, China China China China Kaha, Kaha, Kaha, Egypt Egypt Egypt Egypt Kaha, Kaha, Kaha, Egypt Xinxiang, Xinxiang, Xinxiang, China China Xinxiang, Xinxiang, Xinxiang, China China China China Lucknow, Lucknow, Lucknow, India India India India Lucknow, Lucknow, Lucknow, India Palanpur, Palanpur, Palanpur, India India India Sanya, Sanya, Sanya, China China China China Sanya, Sanya, Sanya, China Montech, Montech, Montech, France France France France Montech, Montech, Montech, France Lopburi, Lopburi, Lopburi, Thailand Thailand Thailand Hyderabad, Hyderabad, Hyderabad, India India India General General General Santos, Santos, Santos, Philippines Philippines Philippines Santos, Philippines General General General Santos, Philippines Bangalore, Bangalore, Bangalore, India India Bangalore, Bangalore, Bangalore, India India India India Palmas, Palmas, Palmas, Brazil Brazil Brazil Brazil Palmas, Palmas, Palmas, Brazil Brasilia, Brasilia, Brasilia, Brazil Brazil Brazil Brazil Brasilia, Brasilia, Brasilia, Brazil Jakarta, Jakarta, Jakarta, Indonesia Indonesia Indonesia Indonesia Jakarta, Jakarta, Jakarta, Indonesia Itumbiara, Itumbiara, Itumbiara, Brazil Brazil Brazil Toledo, Toledo, Toledo, Brazil Brazil Brazil Brazil Toledo, Toledo, Toledo, Brazil Passo Passo Passo Fundo, Fundo, Fundo, Brazil Brazil Brazil Pergamino, Pergamino, Pergamino, Argentina Argentina Pergamino, Pergamino, Pergamino, Argentina Argentina Argentina Argentina Harare, Harare, Harare, Zimbabwe Zimbabwe Zimbabwe Delmas, Delmas, Delmas, South South South Africa Africa Africa South Africa Delmas, Delmas, Delmas, South Africa Wagga Wagga Wagga Wagga, Wagga, Wagga, Australia Australia Australia Wagga, Australia Wagga Wagga Wagga Wagga, Australia Toowoomba, Toowoomba, Toowoomba, Australia Australia Australia Australia Toowoomba, Toowoomba, Toowoomba, Australia 06/08 Growing Value From Elite Germplasm Corn Soybean Documented yield advantage Clear technology leader 2008 NCGA Yield Contest Y Series Soybean launch in 2008 Average of 5 percent/acre yield advantage 1st Place – Pioneer wins 4 of 8 events 2nd in 7 of 8 events 3rd in 7 of 8 events Demonstrated superior genetic potential Mining 80-plus years of pedigree data to maximize performance Marker-based molecular breeding Proprietary market technology for defensive traits (e.g., cyst nematode and brown stem rot) Enhanced yield Market-by-market positioning Surpassed the 100 bu/acre ceiling in 2005 World record yield @154 bu/ac in 2007; USDA industry avg. = 41.2 bu/ac EnClass® System Technology Evaluation Zones Consistent market share growth Delivering Superior Performance • Right Product Right Acre™ • Combining germplasm strength and trait stability to create the highest performing product portfolio in the industry 97 new hybrids 39 new platforms 36 new triple-stack products 36 new double-stack products 14 new Roundup Ready 2 hybrids • • Performance Predictability • Genotype by environment interaction Trait by germplasm interaction Product positioning • • • Advanced Technologies Build on Leadership Position • AYT™ system doubling rate of genetic gain Optimum® AcreMax™ products Pipeline of drought tolerance, increased yield and nitrogen use efficiency genes • • New Technologies Will Advance Ag Practices Yield Enhancement Three-pronged technological solutions: - conventional breeding - molecular breeding - transgenic breeding Y Series varieties available (made with AYT) 2007 world record in soybean production at 154 bushels per acre using AYT Yield Enhancement Drought Tolerance Average annual loss of $8 billion globally Unique testing environments Four most advanced drought leads will enter phase two decisions in 2008 With Trait Without Trait Drought Tolerance Nitrogen Responsiveness Average nitrogen cost = $87/acre Maintain yield using less nitrogen Increase yield at current nitrogen levels Industry-leading testing environments Numerous early stage validated leads • Pioneer® Brand Experimental Hybrid Farmers Will See the Difference Check Hybrid Traits: Today and In the Future The Better Bt™ Pioneer® brand hybrids with Herculex® I trait Anthracnose Stalk Rot Resistance Optimum®GAT ® YGCB® Without Optimum®GAT® Trait Pioneer® brand hybrids with Herculex® RW trait Untreated Check Susceptible Hybrid Without Trait YieldGard® Plus Resistant Hybrid With Trait Pioneer Agronomy Science rootworm efficacy trial, Orange City, Iowa, 2006 • Better Products Mean Better Protection Herculex Insect Protection technology by Dow AgroSciences and Pioneer Hi-Bred ®™Herculex and the HX logo are registered trademarks of Dow AgroSciences LLC ®YieldGard is a registered trademark used under license from Monsanto Company. With Optimum®GAT® Trait Provides tolerance to glyphosate and ALS Optimum® Brand Products Differentiated input traits and systems developed by Pioneer Superior solutions for maximizing crop potential Additional high quality Optimum products in pipeline Y Series Soybeans • • • • • The best class of new soybean products in our history More than fifty (50) Y series varieties available in 2009 across all maturities Developed using AYT™ (Accelerated Yield Technology) Potential to add 19 million bushels of soybeans into 2009 U.S. production Improved agronomic stability across the class The First To Improve Oil Traits For Consumers and Grain Processors Helps food industry eliminate trans fatty acids Food industry uses 6-8 billion pounds of hydrogenated soybean oil per year Low linolenic soybeans currently on the market Full pipeline of soybean oil traits High Oleic High Oleic/High Stearic Enhanced Meal Traits • High Oleic/ High Stearic High Oleic Low Lin Commodity 0% High Oleic Soybean Oil: The Better Solution Linolenic Linoleic Oleic Sats 100% DuPont Biofuels Development Milestones Differentiated Transformative Seed & Crop Protection Solutions • IndustrySelect® Ethanol Hybrids - Commercial • Increased Ethanol II – Phase 1 • Increased Yield I – Phase 1 Biobutanol Agricultural Inputs Seeds and Crop Protection • Initial Targets Achieved • US & EU Fleet Testing Underway • UK Plant Startup and Market Intro by YE 2007 Advanced Fuels Butanol Only DuPont has total technology package that brings crop inputs and processing technologies • Cellulosic Fuels • DOE Project • Demonstration Unit - 2010 Biofuels from Biomass Delivering the Total Technology Package to the Biofuels Market 2009 Crop Genetics Pipeline - Corn Industry Leading Germplasm Serves as Superior Platform for Robust Technology Pipeline Gene/Trait ID Valueadded Insect Protection & Weed Control Broad-scale Agronomics & Disease Resistance Value Trait Low Anthracnose Stalk Rot Resistance Low Drought Tolerance I Med Drought Tolerance II High Nitrogen Use Efficiency High Increased Yield High Optimum® GAT®* Med Optimum® AcreMax™ 1 Med Optimum® AcreMax™ 2 High Next Generation Insect Control Med Seed Production Technology Low Improved Ethanol & Feed Value II High Improved Ethanol & Feed Value III Each bar represents the lead event for each project. Discovery is an ongoing process for all traits and projects in the pipeline. Value capture includes revenue, out-licensing opportunity and cost avoidance. Discovery Proof of Concept Early Dev. Adv. Dev. Pre-Launch 1 2 3 4