Monument Circle Acquisition Corp (MON): My biggest concern with MON’s 25-Feb-201...

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Re: Democritus_of_Abdera post# 101

Tuesday, 03/16/2010 6:41:21 AM

Tuesday, March 16, 2010 6:41:21 AM

My biggest concern with MON’s 25-Feb-2010 presentation is not the revenue shifting from 2Q10 to 3Q10, which is inconsequential in the overall scheme of things. Rather, my concern is the arithmetic in slide #13, which purports to show how RR2Y soybeans will be a better deal for farmers than legacy RR even after legacy RR goes off-patent in the US in 2014 (#msg-45533175).

http://www.monsanto.com/pdf/investors/2010/02_25_10.pdf

My problem with slide #13 is the $28/acre figure (shown in the slide as “~2.8” units per acre), which is a projection based on future yield improvements rather than a hard number. Without this $28/acre contribution, legacy RR would have an $8/acre advantage for farmers vs RR2Y instead of a $20/acre deficit.

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