NEWS
Delta and Pine Land Company
P.O. Box 157
Scott, Mississippi 38772
- --------------------------------------------------------------------------
Contact: Investors Media
Tom Jagodinski Jonathan Gasthalter/Cassandra Bujarski
Delta and Pine Land Company Citigate Sard Verbinnen
662-742-4518 212-687-8080
DELTA AND PINE LAND COMPANY ACQUIRES TECHNOLOGY
LICENSES FROM DUPONT
Broadens Herbicide Tolerance Product Portfolio for Cotton and Soybeans
Acquires Licenses to Transgenic Traits for Cotton and Certain Enabling
Technologies
------------------------------------------------------------------------------
SCOTT, MS, JULY 3, 2006 -- Delta and Pine Land Company (NYSE:DLP)
("D&PL" or the "Company"), a leading commercial breeder, producer and marketer
of cotton planting seed, today announced that it has acquired several licenses
from DuPont (NYSE: DD) subsidiary Pioneer Hi-Bred International, Inc., including
its OptimumTM GATTM herbicide tolerance technology for cotton and soybeans,
enabling the Company to enhance its leading product portfolio. Additionally, the
Company has acquired licenses for other products developed by the DuPont
biotechnology research program and certain enabling technologies for use in
cotton, soybeans and other crops.
OptimumTM GATTM trait developed by DuPont will provide farmers with
expanded weed control options and help optimize yield. This herbicide tolerance
technology makes plants tolerant to both glyphosate and ALS herbicides,
including sulfonylureas. Previously, DuPont announced plans to commercialize
OptimumTM GATTM in Pioneer(R) brand corn and soybeans and also secured
significant global outlicense agreements. D&PL and DuPont, through its
subsidiary Pioneer Hi-Bred International, Inc., are partners in a joint venture,
DeltaMax Cotton LLC, which was initially formed to develop and commercialize
glyphosate tolerance technology in cotton. The Company also announced that it
has reached an agreement to license soybean lines suitable for planting in the
Southern soybean market through the involvement of GreenLeaf Genetics LLC.
Tom Jagodinski, President and CEO of D&PL said, "We are pleased to
build on our strategic plan by gaining access to these new and exciting
technologies and expanding our partnership with DuPont. We look forward to
bringing our farmer customers increased cotton and soybean technology choices,
while adding a second herbicide tolerance gene to the DeltaMax joint venture."
"We are excited that the world's largest cotton seed company licenses
OptimumTM GATTM for cotton globally and soybeans in the U.S.," stated Erik
Fyrwald, Group Vice President, DuPont Agriculture and Nutrition. "Today's
announcement validates our trait pipeline and OptimumTM GATTM, extending the
acreage served globally."
D&PL will pay DuPont $20.5 million in connection with this transaction
and expects to account for it in the fourth quarter. Technology fee sharing for
the OptimumTM GATTM technology for cotton is essentially consistent with the
existing terms in the DeltaMax Collaboration agreement.
D&PL plans to announce its earnings for its third quarter ended May 31,
2006 on July 6, 2006, before the market opens.
About Delta and Pine Land Company
Delta and Pine Land Company is a leading commercial breeder, producer
and marketer of cotton planting seed. Headquartered in Scott, Mississippi, with
multiple offices in eight states and facilities in several foreign countries,
D&PL also breeds, produces and markets soybean planting seed in the U.S. For
more information, please refer to the Company's Web site at
http://www.deltaandpine.com.
# # #
Certain matters discussed in this release are "forward-looking statements,"
including statements about the Company's future plans, goals and other events,
which have not yet occurred. These statements are intended to qualify for the
safe harbors from liability provided by the Private Securities Litigation Reform
Act of 1995. They can generally be identified because the context of such
statements will include words such as "believes," "anticipates," "expects" or
words of similar import. It is the nature of agricultural seed businesses that
supply, demand and their timing are affected by many variables, including
commodity prices, weather and government policy. Due to the seasonal nature of
the seed business, the Company typically incurs losses in its first and fourth
quarters. Additional risks and uncertainties with respect of the Company's
business and forward looking statements are set forth in the Company's latest
filings with the Securities and Exchange Commission.
D&PL is a registered trademark of Delta and Pine Land Company. OptimumTM GATTM
are registered trademarks of Pioneer Hi-Bred International, Inc.