1. Joint R&D and Commercialization
Collaboration for Future Growth
March 21, 2007
MARCH 21, 2007

2. Forward-Looking Information
As It Pertains to BASF: As It Pertains to Monsanto:
Certain statements contained in this presentation are quot;forward-
This presentation contains forward-looking statements under the
looking statements,quot; such as statements concerning the company's
U.S. Private Securities Litigation Reform Act of 1995. These
future product performance, regulatory approvals, business and
statements are based on current expectations, estimates and
financial plans and other non-historical facts. These statements are
projections of BASF management and currently available
based on current expectations and currently available information.
information. They are not guarantees of future performance, involve
However, since these statements are based on factors that involve
certain risks and uncertainties that are difficult to predict and are
risks and uncertainties, the company's actual performance and
based upon assumptions as to future events that may not prove to
results may differ materially from those described or implied by
be accurate.
such forward-looking statements. Factors that could cause or
Many factors could cause the actual results, performance or
contribute to such differences include, among others: the success
achievements of BASF to be materially different from those that
of the companies’ research and development activities; the costs of
may be expressed or implied by such statements. Such factors
and the companies’ abilities to access and enforce intellectual
include those discussed in BASF’s Form 20-F filed with the
property needed for the collaboration; the costs and requirements
Securities and Exchange Commission. We do not assume any
of regulatory compliance and the speed with which approvals are
obligation to update the forward-looking statements contained in
received; public acceptance of biotechnology products; and other
this presentation.
risks and factors detailed in the company's most recent periodic
report to the SEC. Undue reliance should not be placed on these
forward-looking statements, which are current only as of the date of
this presentation. The company disclaims any current intention or
obligation to update any forward-looking statements or any of the
factors that may affect actual results.
2

3. Joint R&D Collaboration Conference Call Agenda
Ms. Scarlett Foster
1 Introduction and Overview Vice President, Investor Relations
Monsanto
Mr. Hugh Grant
2 Monsanto Overview Chairman, President and CEO
Monsanto
Dr. Jürgen Hambrecht
3 BASF Overview Chairman of the Board of Executive Directors
BASF
Mr. Peter Oakley
4 Deal Structure Member of the Board of Executive Directors
BASF
Dr. Robb Fraley
5 R&D and Commercial Opportunity Chief Technology Officer
Monsanto
6 Q&A Period
3

4. Technology Collaboration Creates Joint
Pipeline Focused on Yield and Stress
FOCUS Establishment of a joint technology and
commercialization collaboration that combines the
expertise of both companies to create extraordinary
R&D pipeline for yield and stress traits
DISCOVERY Each company maintains independent discovery
programs, which will generate leads to be nominated
into development in joint R&D pipeline
DEVELOPMENT Nominated projects are jointly funded at 50-50 cost
sharing through each phase of development
COMMERCIALIZATION Emerging products are commercialized by Monsanto
under a broad-licensing approach to seed companies
across Monsanto’s existing three commercial
channels. Value from commercialization is shared at
60% for Monsanto and 40% for BASF
4

5. For Monsanto, Collaboration Offers Opportunity to
Increase Commercial Certainty for Most-Valuable Traits
KEY MOTIVATION WHY WORK
Market demand has BASF has technology and
FOR WITH BASF?
evolved – with farmers discovery capability that has
COLLABORATION
interested in tools that the potential to transform, not
boost yield and there is a just replicate, what has
central belief that already been commercialized
Monsanto can create more Collaboration is consistent
value for farmers with Monsanto’s R&D
Monsanto is oriented philosophy – bringing in a
around innovation and range of technology and
broad licensing to market; making it broadly available to
Opportunity to bring more the market
traits to more farmers more BASF is well positioned to
quickly design products as a steady
stream of upgrades that
In pursuing the opportunity
emerge more rapidly from
to boost yield, the broadest
development and increase
R&D program will have the
the probability of commercial
best probability of
success
commercial success
BASF brings an attractive and
complementary intellectual-
property portfolio
5

6. BASF’s Focus on Growth Clusters
Business Product Process
model innovation innovation
Plant
Biology
Biotechnology White
Biotechnology
(e.g. industrial biotechnology for
enzyme catalysis, fermentation)
Raw
Chemistry Material
Change
Energy
Management Nano-
technology
Physics
6

7. For BASF, Collaboration Links Exceptional Discovery
Capabilities to a Significant Commercial Opportunity
KEY MOTIVATION WHY WORK
BASF has in place a Monsanto has an established
FOR WITH
promising early discovery development pipeline and
COLLABORATION MONSANTO?
platform – employing experience with regulatory
novel “metabolic process and commercial
profiling” approach – with channels
significant opportunity in Monsanto is a strong partner,
the yield and stress arena committed to the Ag industry,
BASF was interested in a and focused on bringing
strong partner with a solutions to farmers through
clear vision and strategy innovation and collaboration;
to deliver novel Monsanto is the most
discoveries to farmers successful company in the
industry delivering traits
Collaboration creates new
broadly to commercial markets
market opportunities by
Combining BASF’s discovery
accelerating market
technologies with Monsanto’s
access for BASF’s
seed distribution network
established platform in
allows both companies to
plant sciences
serve farmers with innovative
Collaboration creates
agricultural products more
greater certainty in
rapidly
delivering commercially
viable products
7

8. Discovery at BASF
Look at yield Look inside
Look at plant
+ + 0 6.00 10.00 14.00 18.00 22.00
8.00 12.00 16.00 20.00 24.00
BASF Plant Science Metanomics
Crop Design
Gene selection
Information
+ Metanomics
Promising platform for gene function identification combining high throughput
phenotypic plant screening, metabolic profiling and field testing
8

9. Discovery at BASF
Key Features Benefits
Fast growing genetic library – over 1.5 Intimately understand the function of
million metabolic profiles for more than genes and gene networks
35,000 genes
Sophisticated and integrated IT System Allows instant access to known properties
to allow rapid data mining and functions in order to focus efforts on
candidates with highest potential for
success
Fully automated high throughput quot;livequot; Validate leads on 24/7 basis, before field
crop screening trials
• Quick and thorough IP generation
• Focus resources on development of highest potentials early
• Accelerated introduction of new products to the market
9

10. Focus on Yield and Stress Represents Single Most
Promising Opportunity in Agriculture Over Next Decade
TRENDS DRIVING MARKET POTENTIAL
AGRICULTURAL RESEARCH
Given the trends driving
Yield
international agriculture over the
Per-acre productivity is paramount to
next decade, a targeted R&D
farmers
approach to driving yield and
Biofuels
stress is ideally situated to deliver
U.S. will need 25M+ acres of corn and
practical solutions to farmers to
10M+ acres of soybeans to supply
address these trends
biofuel needs by 2010
EU has established biofuel target of
Key targets of the collaboration
>5% of total transportation fuel by 2010
include:
Water Boosting the inherent yield potential
Agriculture consumes 75% of the of seed
world’s freshwater Helping to minimize the uncertainty in
farming by buffering against the
Nitrogen Use effects of environmental stress
Elevated petroleum prices have Helping key crops better utilize the
spotlighted the costs of nitrogen-based moisture and nutrients available in
fertilizers the soil
10

11. Collaboration Creates Unified Focus on Yield That
Extends From Discovery Through Commercialization
INTENSIFIED YIELD LICENSEES
& STRESS
MONSANTO
PIPELINE
DISOVERY
Collaboration creates
REGIONAL BRANDS
PROGRAM
a new joint pipeline
focused on stepping
up the volume of leads BASF
and certainty of DISCOVERY NATIONAL BRANDS
commercial success PROGRAM
in the emerging
category of “yield”
traits for corn,
soybeans, cotton and
canola
DISCOVERY DEVELOPMENT COMMERCIALIZATION
• Each company maintains • Jointly funded at 50% - • Products commercialized
independent discovery 50% level through each by Monsanto across its
programs stage of development three commercial channels
• Projects nominated for • Potential $1.5/€1.2 billion • Value shared 60% to
development to jointly devoted to discovery and Monsanto, 40% to BASF
STRUCTURE managed board development over the life
of the collaboration
• Harnesses Monsanto’s
existing development and
regulatory infrastructure
11

12. As Market Needs Evolve, R&D Collaboration Ideally
Positioned to Serve Growing Opportunity to Drive Yield
SECOND DECADE: YIELD
FIRST DECADE: WEEDS AND BUGS
In the second decade, we jointly focus on
First decade of biotech characterized by
a series of solutions to more complex
singular solutions to singular problems,
problems. These are best accomplished
by one company at a time.
through a partnership.
1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2009 2010 2011 2012 2013 2014 2015
2008
REGULATORY AND COMMERCIAL
TRACK FOR YIELD-ORIENTED TRAITS
1996 2006
2005
2003
Introduction of first large-scale Third year of
One billionth
First-ever second- 2007
biotech trait by Monsanto: successful
cumulative acre
generation trait Establishment of joint R&D
Roundup Ready soybeans and field testing
of biotech traits
commercialized by collaboration between BASF and
Bollgard cotton of first-
planted
Monsanto: Bollgard Monsanto accelerates focus on yield-
generation
II cotton related traits
1997 biotech
First widespread
First biotech trait in corn drought
planting of triple-
introduced by Monsanto: tolerant trait
stacked traits in
YieldGard Corn Borer by Monsanto
corn
12

13. Built on Backbone of Existing Platforms,
Joint Pipeline Poised for Advancement
DISCOVERY PHASE I PHASE II PHASE III PHASE IV
Gene/Trait Identification Proof of Concept Early Development Advanced Development Pre-Launch
24 TO 48 MONTHS 12 TO 24 MONTHS 12 TO 24 MONTHS 12 TO 24 MONTHS 12 TO 36 MONTHS
INDEPENDENT DISCOVERY JOINT-FUNDED DEVELOPMENT
2nd- Generation
Monsanto Independent Discovery Drought-tolerant
Program Drought-tolerant corn
corn
Grain yield Higher-yielding
Water-use canola
Environmental stress
efficiency
tolerance Higher-yielding
soybeans soybeans
BASF Independent Discovery
Drought-tolerant Higher-yielding
Program
cotton corn
Yield increase
Nitrogen-
Environmental stress utilization corn
tolerance
In addition to 8 projects already contributed to the newly created
pipeline, the combined discovery efforts would create new products
and upgrades, which could add six or more new product
opportunities over the lifetime of the collaboration
13

14. By Generating More Leads, Joint Pipeline Increases
Probability of Success for Yield and Stress Traits
INTENSIFIED YIELD LICENSEES
& STRESS
PIPELINE MONSANTO
DISOVERY
Collaboration creates
PROGRAM REGIONAL BRANDS
a new joint pipeline
focused on stepping
up the volume of leads
BASF
and certainty of
DISCOVERY NATIONAL BRANDS
commercial success in
PROGRAM DEVELOPMENT OF
the emerging category SUCCESSIVE UPGRADES
of “yield” traits for TO CREATE A “FAMILY” OF
PRODUCTS
corn, soybeans,
cotton and canola
DISCOVERY DEVELOPMENT COMMERCIALIZATION
• Pairs two separate, but • Greater volume of leads • Broad-licensing approach
complementary discovery and cost sharing reduce allows for products to
engines risk of failure, increasing reach broadest market
probability of commercial possible, allowing farmers
• Increased rate of discovery,
success to choose traits in the seed
unlocking more sources of
KEY brands they prefer for the
genes than ever before • Successive upgrades
greatest performance
emerge sooner, creating
ADVANTAGES • With combined effort,
steady stream of traits in a
products should advance at
“product family” in each
faster-than-average
crop
development timelines, esp.
in early-phase research
14

15. By Unlocking Yield Opportunity, Collaboration
Creates New Value for Farmers
ADVANTAGE OF BASF-MONSANTO
VALUE PROPOSITION FOR FARMERS
COLLABORATION
Combining complementary discovery
1. Transformational New Tools programs creates an advanced pipeline
focused on yield and stress
Larger pool of gene candidates is
expected to generate products that hit
2. Better-Performing Products yield targets in earlier generations than
would have previously been possible
Enhanced discovery engine accelerates
creation of a steady stream of product
3. More Rapid Innovation upgrades in a “product family” in each
crop and successive upgrades emerge
sooner
Distribution is built on Monsanto’s
4. Availability of Traits in the Seed of historical broad-license approach,
making the newest, best traits available in
Choice the seed brands farmers choose to use
15