Tag Archives: Hugh Grant

DoJ vs. Monsanto Seed Monopoly

More on some welcome news,, this time from William Neuman in the New York Times:
The Justice Department began an antitrust investigation of the seed industry last year, with an apparent focus on Monsanto, which controls much of the market for the expensive bioengineered traits that make crops resistant to insect pests and herbicides.

Why?

Critics charge that Monsanto has used license agreements with smaller seed companies to gain an unfair advantage over competitors and to block cheaper generic versions of its seeds from eventually entering the market. DuPont, a rival company, also claims Monsanto has unfairly barred it from combining biotech traits in a way that would benefit farmers.

Monsanto of course claims to be unfairly maligned, and its CEO, Hugh Grant, says:

“We were the first out of the blocks, and I think what you see now is a bunch of people catching up and aggressively competing, and I’m fighting with them,” Mr. Grant said. He said farmers chose the company’s products because they liked the results in the field, not because of any untoward conduct on Monsanto’s part.

Reality seems to differ: Continue reading →

Who Owns Monsanto?

The answer in 1939 turns out to be about the same as in 2010: minority shares by its own executives, and the majority by, well:
Last week’s survey of stockholders—lavish to the point of including pictures of “typical” Monsanto stockholders in the “typical” city of Cincinnati—was frankly designed to prove that Monsanto is not owned or run by any of “America’s 60 Families.”

Outstanding as of June 1, 1938, were 1,241,816 common shares held by 4,300 men, 4,084 women, 2,708 trusts, groups, institutions. Mr. Queeny holds only 3.4% has beneficial interest in about 4.5% more through relatives and trusts. One officer of the company owns 1.47%, no others own more than .25%.

The magazine named as “stockholders, once removed,” students in 42 universities which together own 1% of Monsanto and the 25,000,000 policyholders in 72 insurance companies which together own 3%. Tucked away in a graph was the fact that 81% of the company’s shares is owned in blocks of 101 or more shares ($102-to-$104 a share last week).

So, mostly funds in 1939. And 71 years later, it’s even more so. Continue reading →

DoJ vs. Monsanto

Well, it’s a start, as reported by Jack Kaskey for BusinessWeek, Monsanto’s Roundup Ready Soybeans Probed by Justice (Update4),
Jan. 14 (Bloomberg) — Monsanto Co., the world’s largest seed producer, said the U.S. Justice Department formally requested information on its herbicide-tolerant soybean seed business as part of an investigation.

The Justice Department issued a civil investigative demand seeking confirmation that competitors and farmers will have access to first-generation Roundup Ready soybean seeds following patent expiration in 2014, St. Louis-based Monsanto said today in a statement. The company has provided access to “millions of pages of documents” as it cooperates with inquiries into its business and the industry.

After Monsanto’s stock price fell, analysts tried to put a good spin on this:
The department’s focus on Roundup Ready soybeans “likely indicates no DOJ interest in the remainder of Monsanto” operations, Vincent Andrews, a New York-based analyst at Morgan Stanley, said today in a report. He rates the shares “overweight.“
He wishes.

Meanwhile, it’s not just DoJ: Continue reading →

Forbes: All Monsanto needs is Better PR

Forbes notes Monsanto has engineered a soybean with Omega-3 fatty acids:
Monsanto needs crowd-pleasers like this to get past its image problems. In economic terms, the company is a winner. It has created many billions of dollars of value for the world with seeds genetically engineered to ward off insects or make a crop immune to herbicides: Witness the vast numbers of farmers who prefer its seeds to competing products, and the resulting $44 billion market value of the company. In its fiscal 2009 Monsanto sold $7.3 billion of seeds and seed genes, versus $4 billion for second-place DuPont ( DD – news – people ) and its Pioneer Hi-Bred unit. Monsanto, of St. Louis, netted $2.1 billion on revenue of $11.7 billion for fiscal 2009 (ended Aug. 31). Its sales have increased at an annualized 18% clip over five years; its annualized return on capital in the period has been 12%. Those accomplishments earn it the designation as FORBES’ Company of the Year.

— The Planet Versus Monsanto, Robert Langreth and Matthew Herper, 12.31.09, 04:40 PM EST Forbes Magazine dated January 18, 2010

Why, sure, making lots of money is not just good thing, it’s the only thing! Certainly more valuable than any associated detriments. Detriments such as human birth defects studied in France, and Argentina, in addition to birth defects, diseases, and mass die-offs in amphibians, birds, and insects. Those detriments are just economic externalities.

Hey, monoculture is a sign of success, according to Forbes: Continue reading →