The winter months in the Northern Hemisphere agricultural markets provide
farmers with an opportunity to review their input costs for the 2006 season --
including new seed, trait and chemistry offerings . Seminis sales, which were not part of the
company's operations in the first quarter last year, were higher compared with
pro forma sales for the same period last year. In Europe, the increase was related to earlier timing of demand as
farmers opted for early purchases of Roundup herbicides in anticipation of the
implementation of an ecology tax in November.monsanto.

Notes to editors: Bollgard II, Roundup and Roundup Ready are registered
trademarks owned by Monsanto Company and its wholly owned subsidiaries."
The launch of Organic Choice also aligns with the Company 's strong
environmental track record. Patent Office, September 13, 2005.

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The company reported record net sales for the first quarter of fiscal year
2006, which were 31 percent higher than the same period in fiscal year 2005.


During the first quarter of fiscal year 2006, the company realized
increased U.S.
The newly granted patent for Bt in Plants gives Dow broad and exclusive
U.S.
Dow's patent on transgenic Bt in plants (United States Patent Number
6,943,282) will be in effect until 2021.com .

icangarden ecards

Operations Update
While the first quarter has historically been a smaller contributor to
overall company performance, Monsanto is off to a good start for its fiscal
year 2006.
Sales for Monsanto's Seeds and Genomics segment were $656 million for the
first quarter of fiscal year 2006, or 40 percent higher than the same period
last year.
The company's cost of goods sold for the quarter was also negatively
affected by higher costs within the Agricultural Productivity segment
associated with the 2005 U.m." Visitors may
need to download Windows Media Player(TM) prior to listening to the webcast.

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15)
Items Affecting Comparability - EPS Impact
Solutia-Related Charge - $0.40)
Diluted Earnings per Share from Ongoing Business
(For the definition of ongoing EPS, see note 1. Monsanto currently expects that corn and soybean acres will
remain relatively flat in the United States this season.monsanto.
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.,
ScottsMiracle-Gro is committed to providing gardeners with a broad range of
product solutions in the expanding organic market.

About ScottsMiracle-Gro
With more than $2 billion in worldwide sales and more than 6,000
associates , The Scotts Miracle-Gro Company, through its wholly-owned
subsidiary, The Scotts Company LLC, is the world's largest marketer of branded
consumer products for lawn and garden care, with products for professional
horticulture as well.scotts.mycogen.

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In Australia, cotton farmers increased their plantings of the company's
stacked cotton trait offering, Bollgard II with Roundup Ready cotton , leading
to record trait adoption in this market.


Agricultural Productivity Segment Detail

($ in millions) Net Sales Gross Profit

Agricultural First First First First
Productivity Quarter Quarter Quarter Quarter
2006 2005 2006 2005
Roundup and other
glyphosate-based
herbicides $549 $435 $182 $151
All other agricultural
productivity products 200 169 66 58
TOTAL Agricultural
Productivity $749 $604 $248 $209


($ in millions) Earnings Before Interest
+ Taxes (EBIT)
First First
Agricultural Productivity Quarter Quarter
2006 2005
EBIT (For a reconciliation of EBIT, see note 1.
Sales for Monsanto's Agricultural Productivity segment were $749 million
for the first quarter of fiscal year 2006, or 24 percent higher compared with
the same period last year.
References to Roundup herbicides in this release mean Roundup branded
herbicides, excluding lawn -and-garden herbicide products.

Mycogen Seeds is the leader in Silage-Specific* corn , the largest
sunflower seed producer, and a leading producer of seed corn, alfalfa,
soybeans and sorghum.com .

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13

Effective Tax Rate (Continuing Operations) 37% 45%

Comparison as a Percent of Net Sales:
Gross profit 45% 46%
Selling, general and administrative
expenses (SG+A) 25% 25%
Research and development expenses (excluding
acquired in-process R+D) 12% 11%
Income (loss ) from continuing operations
before income taxes 7% (21)%
Net income (loss) 4% (4)%


Comment from Monsanto Chairman, President and Chief Executive Officer Hugh
Grant:
"The contribution of our seeds and traits business continues to grow, as
more and more farmers throughout the world recognize the value and convenience
of our products for their farms.)


Seeds and Genomics Segment Detail

($ in millions) Net Sales Gross Profit
First First First First
Seeds and Genomics Quarter Quarter Quarter Quarter
2006 2005 2006 2005
Corn seed and traits $267 $227 $153 $128
Soybean seed and traits 173 180 114 115
Vegetable and fruit seed 125 - 63 -
All other crops seeds
and traits 91 61 56 39
TOTAL Seeds and Genomics $656 $468 $386 $282


($ in millions) Earnings Before Interest
+ Taxes (EBIT)
First First
Seeds and Genomics Quarter Quarter
2006 2005
EBIT (For a reconciliation of EBIT, see note 1. The primary contributor to the segment's growth in
the quarter was stronger-than -expected sales of Roundup herbicides in the
United States, Europe and Argentina. eastern time) today .
Presentation slides and a simultaneous audio webcast of the conference
call may be accessed by visiting the company's web site at
http://www.

About Monsanto Company
Monsanto Company (NYSE: MON) is a leading global provider of
technology-based solutions and agricultural products that improve farm
productivity and food quality. 31, 2005
Assets

Current Assets:
Cash and Cash Equivalents $1,006 $525
Short-Term Investments 168 150
Trade Receivables - Net of Allowances of
$289 and $275, respectively 1,413 1,473
Miscellaneous Receivables 338 370
Deferred Tax Assets 511 374
Inventories 1,890 1,664
Assets of Discontinued Operations 10 15
Other Current Assets 104 73
Total Current Assets 5,440 4,644

Property, Plant and Equipment - Net 2,355 2,378
Goodwill 1,433 1,248
Other Intangible Assets - Net 1,135 1,153
Noncurrent Deferred Tax Assets 535 680
Other Assets 438 476
Total Assets $11,336 $10,579

Liabilities and Shareowners' Equity

Current Liabilities:
Short -Term Debt $155 $282
Accounts Payable 370 369
Income Taxes Payable 171 208
Accrued Compensation and Benefits 159 273
Accrued Marketing Programs 530 457
Deferred Revenues 703 43
Grower Accruals 139 18
Contingent Purchase Price - Seminis 125 -
Liabilities of Discontinued Operations 4 11
Miscellaneous Short-Term Accruals 470 498
Total Current Liabilities 2,826 2,159

Long-Term Debt 1,445 1,458
Postretirement Liabilities 697 732
Long-Term Portion of Solutia-Related Reserve 183 184
Other Liabilities 431 433
Shareowners' Equity 5,754 5,613
Total Liabilities and Shareowners' Equity $11,336 $10,579

Debt to Capital Ratio: 22% 24%

Monsanto Company
Selected Financial Information
(Dollars in millions)
Unaudited

Statement of Consolidated Cash Flows Three Months Ended
Nov. With respect to the projected free cash flow guidance
provided under the caption "Outlook," Monsanto does not include any
estimates or projections of Net Cash Provided (Required) by Financing
Activities because in order to prepare any such estimate or
projection, Monsanto would need to rely on market factors and
conditions that are outside of its control.

Fiscal Year Three Months Ended
2006 Nov.
Mycogen markets Bt insect-resistant corn under the tradename Herculex*.

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S. In November and December,
farmers worked with their regional sales outlets to secure their orders for
the 2006 season. corn
trait revenues . Sales in the quarter also included revenue from the Seminis
vegetable and fruit seed business, which was not part of the company's
operations during the first quarter last year. (For a reconciliation
of free cash flow, see note 1. The call will focus
on these results, future expectations and an update of projects within the
company's R+D pipeline.4 264. 30,
2005 2004
EBIT - Seeds and Genomics Segment $19 $14
EBIT - Agricultural Productivity Segment 93 (228)
EBIT- Total 112 (214)
Interest Expense - Net 18 16
Income Tax Provision (Benefit)(1) 35 (190)
Net Income (Loss) $59 $(40)

(1) Includes the income tax provision (benefit) from continuing
operations and the income tax benefit on discontinued operations. Airing in key regional markets in the U.
As the largest provider of organic garden products in the U.com . Both Mycogen and Dow AgroSciences are
wholly-owned subsidiaries of The Dow Chemical Company (NYSE: DOW).
"This patent demonstrates our long-standing commitment to creating value
for growers by developing innovative agricultural technology," Siggelko said."
The patent for Bt in Plants was originally filed in 1988, but a decision
by the U. Committed to the principles of
sustainable development , Dow and its 43,000 employees seek to balance
economic, environmental and social responsibilities .dow.

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Key drivers for the quarter were stronger adoption of the company's stacked
cotton traits in Australia; stronger-than-expected purchases of Roundup
herbicides in the United States, Europe and Argentina; and increased U. As a
result, free cash flow was $638 million for the first quarter fiscal year
2006, compared with $770 million in the same quarter in fiscal year 2005.S.

Monsanto Company
Selected Financial Information
(Dollars in millions, except per share amounts)
Unaudited

Statement of Consolidated Operations Three Months Ended
Nov. "More gardeners today are
looking for organic options, and we are focused on being the industry leader
in providing them with those solutions," explains Bob Bernstock, president,
North America, for ScottsMiracle-Gro. "Our environmental commitment is enhanced with the
availability of the Organic Choice line. The Company also owns Smith + Hawken, a leading
brand of garden-inspired products that includes pottery, watering equipment,
gardening tools, outdoor furniture and live goods.
Produced naturally by soil bacteria, the insecticidal protein Bt (Bacillus
thuringiensis) can be expressed in plants so that crops are able to protect
themselves against insect pests. For more information
about The Dow Chemical Company , visit http://www.

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) $19 $14
Unusual Items Affecting EBIT None None

The Seeds and Genomics segment consists of the company's global seeds and
traits business, and genetic technology platforms.
Following the live broadcast, a replay of the webcast will be available on the
Monsanto Web site for three weeks. Both products also include 100 percent pelletized chicken manure
that serves as a fertilizer to the plant. The launch of
Miracle-Gro Organic Choice will increase that number even further.
Dow AgroSciences LLC, based in Indianapolis , Indiana, USA, is a global
leader in providing pest management, agricultural seed and biotechnology
products that improve the quality and quantity of the earth's food supply and
contribute to the health and quality of life of the world's growing
population.com .

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22 $0. dollar has caused liquidity concerns for farmers who pay for
inputs with local currency but receive grain payments at harvest in U.22 $(0.

Reconciliation of Free Cash Flow: Free cash flow represents the total
of cash flows from operations and investing activities, as reflected
in Monsanto's Statement of Consolidated Cash Flows presented in this
release.

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S.S. Key drivers for the quarter were:

-- Higher trait revenue from U. Early indications from the company's U. 30,
Target 2005 2004
Net Cash Provided by
Operations $1,300 - $1,375 $773 $769
Net Cash Provided (Required)
by Investing Activities (475) (135 ) 1
Free Cash Flow $825 - $900 $638 $770
Net Cash Provided (Required)
by Financing Activities N/A (157) (254)
Net Increase in Cash and
Cash Equivalents N/A $481 $516
Cash and Cash Equivalents at
Beginning of Period N/A $525 $1,037
Cash and Cash Equivalents at
End of Period N/A $1,006 $1,553

S. These proceedings ran from 1994 to 2003 and were ultimately
resolved in Dow's favor.dowagro.

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Seed and
Trait Sales

ST.
dollars. Net cash
required by investing activities was $135 million for first-quarter 2006,
compared to net cash provided of $1 million for the same 2005 quarter.
Monsanto confirmed that its full-year 2006 EPS guidance will be toward the
upper end of its previously announced range of $2.
Sales from the Seminis vegetable and fruit seed business also contributed
to increased sales for the quarter.com and clicking on "Investor Information. The following table reconciles
EBIT to the most directly comparable financial measure, which is net
income (loss). "Just like traditional Miracle-Gro
products, the Organic Choice line promises to grow plants twice as big.S.

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) $0.S.S. The company
also confirmed that its guidance for free cash flow in fiscal year 2006
remains in the range of $825 million to $900 million.
For the first quarter, the company's Roundup and other glyphosate-based
herbicide sales were $549 million, or 26 percent higher than the same period
last year.

Webcast Information
In conjunction with this announcement, Monsanto will hold a conference
call at 8 a.; developments
related to foreign currencies and economies; successful completion and
operation of recent and proposed 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 filings with
the SEC. Undue reliance should not be placed on these forward-looking
statements, which are current only as of the date of this release.22 $(0.22 $(0.33
Net Income (Loss) $0.6

Monsanto Company
Selected Financial Information
(Dollars in millions)
Unaudited


Condensed Statement of Consolidated
Financial Position As of As of
Nov., the Company's Scotts(R), Miracle-Gro(R) and Ortho(R)
brands are market-leading in their categories, as is the consumer Roundupb
brand, which is marketed in North America and most of Europe exclusively by
Scotts and owned by Monsanto. For more information on Mycogen Seeds, visit
http: //www.

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Stronger adoption of our traits in
Australia, coupled with stronger and earlier sales of Roundup herbicides and
the addition of the Seminis business, helped make this a record first quarter
for our company. The Company's brands are the most recognized in the
industry.

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Early Indicators From First Quarter Also Signal Strong Start to U.
"The first quarter, while historically a smaller part of our overall
financial results for the year, represents a positive starting point for our
business this fiscal year."

Market Conditions
The planting season is well under way in the Southern Hemisphere and is
nearing the mid-season point. These statements
are based on current expectations and currently available information. The
company disclaims any current intention or obligation to update any
forward-looking statements or any of the factors that may affect actual
results.48)
Income On Discontinued Operations - 0.S., an affiliate of Dow AgroSciences LLC, has been granted U.
"Issuance of this important patent demonstrates that Dow was the first to
invent transgenic Bt in plants," said Pete Siggelko, Dow AgroSciences vice
president for Plant Genetics and Biotechnology.
"We look forward to discussing patent licenses with companies interested in
commercializing insect-resistant Bt Plant technology.

* Trademark of Dow AgroSciences LLC

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LOUIS,

First Quarter First Quarter
($ in millions) 2006 2005
Net Sales By Segment
Corn seed and traits $267 $227
Soybean seed and traits 173 180
Vegetable and fruit seed 125 -
All other crops seeds and traits 91 61
TOTAL Seeds and Genomics $656 $468

Roundup and other glyphosate-based herbicides $549 $435
All other agricultural productivity products 200 169
TOTAL Agricultural Productivity $749 $604

TOTAL Net Sales $1,405 $1,072

Gross Profit $634 $491

Operating Expenses $518 $398

Interest Expense - Net $18 $16
Other Expense - Net $4 $307

Net Income (Loss ) $59 $(40)

Diluted Earnings (Loss) per Share $0. In Brazil, the continued strengthening of the
Real to the U. These
quarters reflect both the relative size of the company's U. corn traits business,
-- Broader adoption of cotton traits in Australia, and
-- The addition of sales from the Seminis vegetable and fruit seed
business.
seeds and traits business are promising and suggest continued growth in the
upcoming season.
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, including proceedings related to Solutia Inc.22 $(0. The
reconciliation of EPS to ongoing EPS is included on page 1 of this
release.

New TV Spot Features Miracle -Gro(R) Organic Choice(TM) Product Line

In Europe, Scotts' brands
include Weedol(R), Pathclear (R), Evergreen(R), Levington(R), Miracle-Gro(R),
KB(R), Fertiligene(R) and Substral(R).
Dow AgroSciences markets Bt insect-resistant cotton under the tradename
WideStrike*.4
billion.

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22 $(0.50 .S. central time (9 a. 30,
2005 2004

Operating Activities:
Net Income (Loss) $59 $(40)
Adjustments to reconcile cash provided
(required) by operations:
Items that did not require (provide) cash:
Depreciation and amortization expense 133 109
Bad-debt expense 14 10
Stock-based compensation expense 13 -
Tax benefit on employee stock options - 12
Excess tax benefits from stock-based compensation (10) -
Deferred income taxes 38 (249)
Equity affiliate expense - net 7 6
Solutia-related charge - 284
Other items that did not require (provide) cash (7) 7
Changes in assets and liabilities that provided
(required) cash, net of acquisitions:
Trade receivables 825 893
Inventories (221) (221)
Accounts payable and accrued liabilities (127) 6
PCB litigation settlement proceeds 5 -
Solutia-related payments (9) (21)
Pension contributions (61) (60)
Other items 114 33
Net Cash Provided by Operating Activities 773 769

Cash Flows Provided (Required) by
Investing Activities:
Purchases of short-term investments (18) -
Maturities of short-term investments - 201
Acquisitions of businesses, net of cash acquired (53) (158)
Technology and other investments (10) (9)
Capital expenditures (56) (39)
Other investment and property disposal proceeds 2 6
Net Cash Provided (Required) by
Investing Activities (135) 1

Cash Flows Provided (Required) by
Financing Activities:
Net change in financing with less than
90-day maturities (122) (22)
Short-term debt proceeds 4 -
Short-term debt reductions (6) -
Long-term debt proceeds 3 5
Long-term debt reductions (26) (208)
Payments on other financings (1) (1)
Treasury stock purchases - (35)
Stock option exercises 27 45
Excess tax benefits from stock-based compensation 10 -
Dividend payments (46) (38)
Net Cash Required by Financing Activities (157) (254)

Net Increase in Cash and Cash Equivalents 481 516
Cash and Cash Equivalents at Beginning of Period 525 1,037
Cash and Cash Equivalents at End of Period $1,006 $1,553

Monsanto Company
Selected Financial Information
(Dollars in millions)
Unaudited

1. EBIT, Ongoing EPS and Free Cash Flow: The presentations of EBIT,
ongoing EPS and free cash flow are not intended to replace net income
(loss), cash flows, financial position or comprehensive income
(loss), and they are not measures of financial performance as
determined in accordance with generally accepted accounting
principles (GAAP) in the United States.

Reconciliation of EBIT to Net Income (Loss): EBIT is defined as
earnings (loss ) before interest and taxes. For additional information, visit us
at http://www. Dow AgroSciences has approximately 5,500 people in more than 50
countries dedicated to its business, and has worldwide sales of US $3.

gardening attracting

Earnings per share (EPS) for the quarter, both on an as-reported and
ongoing basis , were 22 cents a share.
As expected, the first quarter of fiscal year 2006 also included the
continuing effect of an inventory step-up related to the Seminis acquisition
which reduced gross profit for the segment by $11 million in the quarter. The call may also include a discussion of Monsanto 's
strategic initiatives, product performance and other matters related to the
company's business .

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.

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) The decrease in the
quarter was related to lower proceeds from maturities of short-term
securities, which were partially offset by lower spending on acquisitions
compared with those expenditures in the same period in fiscal year 2005. business and the
importance of its seeds-and-traits business to Monsanto's earnings. For more information on Monsanto, see
http://www.6 264. 30, 2005 Aug. The following tables
reconcile EBIT and free cash flow to the respective most directly
comparable financial measure calculated in accordance with GAAP.S. patent
rights to Transgenic Bt in Plants, according to an announcement issued by the
U. rights to this technology.

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And, with the most significant part of our annual
business cycle still to come, we believe we are on track for another strong
fiscal year for our business.

15)

Diluted Earnings (Loss) per Share:
Income (Loss) From Continuing Operations $0.

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Cash Flow
For first-quarter fiscal year 2006, net cash provided by operations was
$773 million, compared with $769 million in first-quarter 2005. corn trait revenue.com . 30,
2005 2004
Net Sales $1,405 $1,072
Cost of Goods Sold 771 581
Gross Profit 634 491
Operating Expenses:
Selling, General and Administrative Expenses 350 266
Research and Development Expenses 168 119
Acquired In-Process Research and Development - 12
Restructuring Charges - 1
Total Operating Expenses 518 398
Income From Operations 116 93
Interest Expense 32 25
Interest Income (14) (9)
Solutia-Related Expenses 6 284
Other Expense (Income) - Net (2) 23
Income (Loss) From Continuing Operations
Before Income Taxes 94 (230)
Income Tax Provision (Benefit) 35 (104)
Income (Loss) From Continuing Operations 59 (126)
Discontinued Operations:
Income (Loss) From Operations of
Discontinued Businesses - -
Income Tax Benefit - (86)
Income On Discontinued Operations - 86
Net Income (Loss) $59 $(40)

EBIT (See note 1) $112 $(214)

Basic Earnings (Loss) per Share:
Income (Loss) From Continuing Operations $0.
Ongoing EPS is calculated excluding certain after-tax items which
Monsanto does not consider part of ongoing operations.

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68
Tax Benefit on Loss from European Wheat
and Barley Business - $(0.

Outlook
The second and third quarters of fiscal year 2006 are expected to be the
primary drivers for the company's fiscal year 2006 EPS results.) $93 $(228)
Unusual Items Affecting EBIT
Pre-tax charge associated with certain
liabilities in connection with the
Solutia bankruptcy - $(284)


The Agricultural Productivity segment consists primarily of crop
protection products, residential lawn-and-garden herbicide products, and the
company 's animal agricultural businesses.33
Net Income (Loss) $0. Earnings (loss) is
intended to mean net income (loss) as presented in the Statement of
Consolidated Operations under GAAP. First fully organic product the focus of advertising campaign

MARYSVILLE, Ohio, The Scotts Miracle-Gro
Company recently debuted a television campaign promoting its first fully
organic product line, Miracle-Gro(R) Organic Choice(TM), with consumers and
retailers. beginning this month,
the television commercial features a female consumer discussing how to
successfully grow tomatoes and vegetables with Organic Choice garden soil.

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Farmers in southern Brazil are also faced with an economic pinch
after two years of drought.S.m.48)
Income On Discontinued Operations - 0.
Miracle-Gro Organic Choice potting mix and garden soil contain 100 percent
organic ingredients, including sphagnum peat moss, compost and other
amendments.

Dow Chemical Subsidiary Granted U.S. Patent on Transgenic Bt in Plants

S . Patent Office was delayed by interference proceedings brought by
another company.

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In Australia , total cotton acres planted in the
country remained relatively flat year-over-year.
For the first quarter of fiscal year 2006, Monsanto recorded net income of
$59 million compared with a net loss of $40 million for the same period last
year.35 to $2. hurricane season and the continuing effect of
inventory management within the dairy business.15)

Weighted Average Shares Outstanding:
Basic Shares 268.6
Diluted Shares 273. "Not only are we one of the nation's largest
recyclers of organic waste , we've been a leader in providing organic products
to consumers for years," explains Rich Martinez , chief environmental officer
for ScottsMiracle-Gro."
The Company currently recycles more than 6 billion pounds of organic
material in the annual production of its growing media products. In the U. With annual sales of $40 billion, Dow serves
customers in 175 countries and a wide range of markets that are vital to human
progress: food, transportation, health and medicine, personal and home care ,
and building and construction, among others.

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Seeds and Traits Growth Roundup Business Drive Record First-Quarter Sales for Monsanto Company

(For a reconciliation of free cash flow, see note 1 .S.


Three Months Ended
Nov. INDIANAPOLIS, Mycogen Plant Seeds,
Inc . For more information about Dow AgroSciences, visit
http://www.
The Dow Chemical Company is a leader in science and technology, providing
innovative chemical, plastic and agricultural products and services to many
essential consumer markets.

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---

- - kjjkjk

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