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Updated February 2011 Corporate Presentation Classification: PUBLIC
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Syngenta Corporate Presentation. Updated February 2011.
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Page 1: Corporate presentation

Updated February 2011

Corporate Presentation

Classification: PUBLIC

Page 2: Corporate presentation

3

Who we are and what we do

Syngenta is one of the world’s leading companies with more than 26,000 employees in over 90 countries dedicated to our purpose: Bringing plant potential to life.

Our Crop Protection and Seeds products help growers increase crop yields and productivity. We contribute to meeting the growing global demand for food, feed and fuel and are committed to protecting the environment, promoting health and improving the quality of life.

Classification: PUBLIC

Page 3: Corporate presentation

Global challenges

Classification: PUBLIC

Page 4: Corporate presentation

55

Demand is driven by population growth and land scarcity

Classification: PUBLIC

19602 people

2005>4 people

People fed per hectare

2030>5 people

19502.5 billion

20056.5 billion

2030

>8 billion

World population

Source: FAO, World Bank statistics, Syngenta

Page 5: Corporate presentation

66

Growing more with less

● Limited resources: land, water

● Changes in climatic patterns

● Environmental sustainability

● Need for innovative and integrated technology solutions

Classification: PUBLIC

Basket: corn, soybean, wheat, rice1, %

World population growth2, bn

1 Source: USDA, January 20102 Source: UN World Population Prospects: 2008 Revision, Medium variant

0

2

4

6

8

10

1950 2030201019901970 2050

1960 2010100

150

200

250 Yield

Acreage

Page 6: Corporate presentation

77

Se-ries1

10%

15%

20%

25%

30%

Market Fundamentals – 2010/11

● Crop price rebound in H2- Weather related supply

concerns - Sustained Chinese

imports

● Yields back to trend after 2009 record levels

● Feed: remains the main driver of demand uncertainty

● Fundamental drivers remain: population, diet

Classification: PUBLIC

*STU ratio for combined corn, soy, wheat and rice per USDA defined marketing season**Equally weighted basket of corn (C1 Cmdty), soybeans (S 1 Cmdty), rice (RR1 COMB Cmdty), wheat (W 1 Cmdty). Prices in $/bu and $/cwt converted to $/ton. Prices: last update 13.01.11Source: WASDE Jan 2011 for STU, Bloomberg for prices, Syngenta analysis

01/02 02/03 03/0404/0505/0606/07 07/0808/0909/10 10/11E

-

100

200

300

400

Stocks-to-use ratio*%

Crop price index**

Jan 2002 = 100

Page 7: Corporate presentation

88

Did you know that…?

By 2050, global population will rise

by about a third to 9 billion

people

but

Global calorie demand will increase by

50%

Classification: PUBLIC

Source: FAO, World Bank statistics, Syngenta

Page 8: Corporate presentation

99

Agricultural production: emerging markets drive future growth

Classification: PUBLIC

Global field crop production*Billion tons, est.

2020 Avg 2007-

2009

Rest of World

BRIC**~75% of

global productiongrowth

Developedcountries**

Source: FAO-OECD 2010/19 Agricultural Outlook, Syngenta Analysis

* Includes: wheat, oilseeds, rice, coarse grains ** BRIC = Brazil, Russia, India, China; Developed = NAFTA, EU, Japan, Australia

Page 9: Corporate presentation

1010

Challenges for global agriculture

● Huge rise in demand

● Limited farmland

● Limited water supplies

● Need to continue raising yields

Classification: PUBLIC

Only sustainable approach is to unlock the potential of plants

through innovation

We must do more with less

Page 10: Corporate presentation

Our industry

Classification: PUBLIC

Page 11: Corporate presentation

1212

Did you know that…?

Classification: PUBLIC

40% of the world’s food would not

exist without crop protection products.

That is why the world can produce enough food to provide every person

with more than 2700 calories

per day

Page 12: Corporate presentation

1313

Market overview 2009

Classification: PUBLIC

Global market: ~ $72 bn

Source: Syngenta Analysis, Philips McDougall

Conventional Seeds(~ $16 bn)

Crop Protection* (~ $40 bn)

GM Seeds(~ $11 bn)

Non-Crop Chemicals (~ $5.7 bn)

*Includes Seed Treatment

Page 13: Corporate presentation

1414

Competitors in 2009

Classification: PUBLIC

Sources: Companies Annual/Quarterly reports, Phillips McDougall, Agreworld, Syngenta Analysis

Page 14: Corporate presentation

Who we are and what we do

Classification: PUBLIC

Page 15: Corporate presentation

1616

We bring plant potential to life

Syngenta is one of the world’s leading companies with more than 26,000 employees in over 90 countries dedicated to our purpose: Bringing plant potential to life.

Our Crop Protection and Seeds products help growers increase crop yields and productivity. We contribute to meeting the growing global demand for food, feed and fuel and are committed to protecting the environment, promoting health and improving the quality of life.

Classification: PUBLIC

Page 16: Corporate presentation

1717

Syngenta at a glance

● A uniquely broad product portfolio

- A leader in crop protection

- Third in high-value commercial seeds

● World-class science

- $1 billion R&D investments in 2010

- 5,000 people in R&D around the world

● Global reach and experience

- Over 26,000 employees in more than 90 countries

● Commitment to working with customers

- Tailoring solutions to individual needs

Classification: PUBLIC

Page 17: Corporate presentation

1818

Sustained outperformance

20032004

20052006

20072008

20092010

5

6

7

8

9

10

11

12

-

2

4

6

8

10

12

14

16

18 CAGR+9%

● Emerging market growth

● Crop Protection market share gain

● Doubling size of Seeds business

● New products

● Innovative marketing

● Cost, capital efficiency

Classification: INTERNAL USE ONLY

Sales $bn EPS* $

* Fully diluted basis, excluding restructuring & impairmentSource: Syngenta

CAGR+26%

Page 18: Corporate presentation

1919

Did you know that…?

Syngenta products protect the potatoes for about

1,300,000 tonnes of

chips and crisps every year.

Classification: PUBLIC

Page 19: Corporate presentation

2020

Did you know that…?

Classification: PUBLIC

1 in 6 tomatoes is

grown using Syngenta seed

Page 20: Corporate presentation

2121

Did you know that…?

16% of the global market of

Sweetcorn, 50 million tonnes,

is from Syngenta seed

Classification: PUBLIC

Page 21: Corporate presentation

2222

Did you know that…?

4 million tonnes of cotton

are grown using our crop

protection products

That’s the equivalent of 20 billion T-Shirts every year

Classification: PUBLIC

Page 22: Corporate presentation

2323

Did you know that…?

Syngenta introduces 100 new

ornamental varieties every year

Classification: PUBLIC

Page 23: Corporate presentation

2424

Lawn & Garden*

Flowers

Growing Media**

Chemical Controls**

Turf & Ornamentals**

Syngenta has three businesses

Classification: PUBLIC

Crop Protection

Selective herbicides

Non-selective herbicides

Fungicides

Insecticides

Seed care

Seeds

Corn & Soybean

Diverse Field Crops

Vegetables

* Newly established in 2008 - Financial reporting for product lines in 2008 under Crop Protection and Seeds respectively** Reported as Professional Products under Crop Protection

Page 24: Corporate presentation

2525

Major product brands

Classification: PUBLIC

Insecticides control pests which reduce yields by damaging crops

Fungicides prevent and cure fungal disease

Herbicides control weeds that compete with crops for light and nutrients

Seed Care products for protecting young plants against insects and disease

Seeds for corn, soybean, sugar beet, cereals, oil crops; vegetables and flowers

Page 25: Corporate presentation

2626

Syngenta sales 2010: $ 11.6 bn

Classification: PUBLIC

Crop Protection Seeds

$ 8.8 bn (77%)

$ 2.8 bn(23%)

Selective Herbicides (26%)

Fungicides (30%)

Insecticides (17%)

Non-selective Herbicides (11%)

Crop Protection Seeds

Seed Care (9%)

Professional Products (5%)

Other (2%)

Corn & Soybean (58%)

Vegetables (10%)

Diverse Field Crops (23%)

Flowers (9%)

Page 26: Corporate presentation

2727

Syngenta sales by region 2010

Classification: PUBLIC

APAC

EAME

LATAM

NAFTA

Crop Protection Seeds

Sales 2010: $ 3.6 bn

Sales 2010: $ 2.5 bn

Sales 2010: $ 1.8 bn

Sales 2010: $ 3.7 bn

Total sales: $ 11.6 bn

Page 27: Corporate presentation

2828

Where our people are located

Classification: PUBLIC

NAFTA5,022

APAC4,687

EAME12,466

LATAM4,004

TOTAL* = 26,179* FTE at December 2010

Page 28: Corporate presentation

Syngenta businesses

Classification: PUBLIC

Page 29: Corporate presentation

3030

$ 2 649m$ 1 546m

$ 2 300m

$ 2 383m

Sales 2010: Crop Protection

Classification: PUBLIC

Regional sales - Total $ 8.8 bn

Seed Care

Non-selective Herbicides

Selective Herbicides

Fungicides

Insecticides

$ 2 308m

$ 987m

$ 2 662m

$ 1 475m

$ 838mOthers

$ 138m

AsiaPacific

NAFTA

Europe, Africa and Middle East

Latin America

Professional Products

$ 470m

Product line sales - Total $ 8.8 bn

Page 30: Corporate presentation

3131

Crop Protection: distinctive strategy to capture opportunities

Classification: PUBLIC

● New product growth, strong pipeline

● Global crop strength, reach

● Creating new markets

Portfolioexpansion

Costefficiency

Tailoredbusiness models

Page 31: Corporate presentation

3232

2010 sales: $27m +114%Peak est: >$350m 2010 sales: $87m +137%

Peak est: >$400m

New products: technology enables global growth

Classification: PUBLIC

2010 sales: $69m +22%Peak est: >$200m

2010 sales: $276m -2%Peak est: >$350m

Page 32: Corporate presentation

3333 Classification: PUBLIC

Plant Performance: building leadership

Takes yields to a new level vigor, greening, drought relief

Integration of technology, know-how & skills

Protects yield potentialfull crop programs, solutions

Reduces loss single product offers

PlantPerformance

Crop Enhancement

Crop Care

Pest Control

Page 33: Corporate presentation

3434

Sales 2010: Seeds

Classification: PUBLIC

Asia Pacific

Europe, Africa & Middle East

Latin America

Vegetables

Corn & Soybean

Product line sales $ 2.8 bn Regional sales $ 2.8 bn

NAFTA

$ 1 281m

$ 663m

$ 249m

$ 1 047m

$ 1 234m

$ 275m

DiverseField Crops

$ 337m

Flowers

$ 524m

Page 34: Corporate presentation

3535

Seeds: strong portfolio, depth and breadth

Classification: PUBLIC

Corn and Soybean

● NAFTA: portfolio transformation

● Europe: germplasm expansion

● LATAM: trait, soybean growth

● APAC: leading corn germplasm

Diverse Field Crops

● Sunflower: world-leading breeding

● Sugar beet: GM success in USA

● Oilseed rape: high value hybrids

● Cereals: wheat varieties, hybrid barley

● Rice: expanding APAC potential

Vegetables and Flowers

● Marker-assisted breeding expertise

● Acquisitions

● Consumer driven innovation

Leverag

ing

techn

olo

gy p

latform

s

Page 35: Corporate presentation

3636

Seeds strategy

Classification: PUBLIC

● Corn: transform portfolio

● Soybean: US, LATAM

● Vegetables: continue share growth

● Flowers: enhance leadership

● Capture emerging markets growth

Technology platforms

Integrated offers

High growthopportunities

Page 36: Corporate presentation

3737 Classification: PUBLIC

Seeds: market growth, technology

● Demand for higher yield drives broader technology adoption- hybrids, GM, stacks

● Increasing value● Growth across crops

Seeds and Traits market$bn

Corn & Soybean

Field Crops*

Vegetables,Flowers

2008 2020E

>$50

~$26

*Includes cereals and rice Source: Syngenta

>$35

2015E

Page 37: Corporate presentation

3838

US corn: achieving milestones, building strength

Classification: PUBLIC

LeadingSeed Care portfolio

Proprietarytriple stack Expanded

multi-stack options

Elite germplasm combinations

Strong distributor presence

Page 38: Corporate presentation

3939

Corn portfolio and pipeline to meet all agronomic needs

Classification: PUBLIC

LibertyLink®, a trademark of Bayer CropScience; Herculex®, a trademark of Dow AgroSciences LLC

Herculex® 1

Herculex® RW

Weeds Drought

Insect pressure

Triple stack +LibertyLink®

Drought tolerance

Page 39: Corporate presentation

4040

Diverse Field Crops: broad-based growth, differentiated portfolio

● Expansion across all regions

● Sugar beet:

- broad presence in key markets

- GM technology

● Sunflower:

- Strong growth in emerging markets

- herbicide tolerance, virus resistance, disease control

Growth at constant exchange rates

2010 sales: $524m, +13%

W Europe,AME+10%

E Europe+31%

NAFTA+11%

LATAM+62%

APAC+1%

EAMELATAMAPAC

EAMENAFTA

SunflowerSugar beet

Page 40: Corporate presentation

4141

Vegetables, Fresh Produce product innovation

Classification: PUBLIC

● Integrated global technology network

- strength in 14 major crops

- leading native traits, marker-assisted breeding

- >140 new varieties per annum

● Cross-regional sourcing

● Piloting downstream programs

- taste, nutrition, convenience

- retail branding

Page 41: Corporate presentation

4242

Vegetables: continuing outperformance

● 2010 market $4.3 billion: almost doubling by 2024*

● Syngenta Vegetables Seeds growth above market (+10% in both 2010 and 2011) and pricing at par

● High value crop focus: target #1 or #2 in key crops

● Industry pricing under pressure in 2010 after important increases in previous years

Classification: PUBLIC

Growth at constant exchange rates* Source: Syngenta estimates

EAME+7%

LATAM+27%

APAC+18%

NAFTA+13%

2010 sales: $663 million, +11%

Page 42: Corporate presentation

4343

in sugarcane: anticipating customer needs

● Germplasm, crop protection: integrated R&D

● First integrated mechanized planting system

● Launch 2011: $300m in orders to 2015

● Long term contracts with sugar mills

● Peak sales potential: >$500m

Page 43: Corporate presentation

4444

: integrated rice program

Program components:

● High quality seedlings

● seed care

● Mechanized transplanting

● Agronomic protocol

Page 44: Corporate presentation

4545

Chemicalcontrols

Growing media

Flowerseeds

Fertilizer

Market: $15bn

Lawn & Garden potential: professional focus

● Largest markets: NAFTA, Europe

Classification: PUBLIC

● 2010 sales: $807m*

● Focus on Professional:

Ornamentals, Golf, Turf

● Partnerships in Consumer

● Flowers acquisitions enhance

leadership

* Flower Seeds and Professional Products

Page 45: Corporate presentation

World-class science

Classification: PUBLIC

Page 46: Corporate presentation

4747

Did you know that…?

Some 5000 Syngenta employees

work in Research and Development

We spent around $1 billion in

2010 on R&D

Classification: PUBLIC

Page 47: Corporate presentation

4848

Major R&D sites located on three continents

Other sites

● Marker-assisted and seed breeding capabilities

● Global field station network

Global R&D capabilities

Classification: PUBLIC

GREENSBOROFormulationEnvironmental Science

SBIBiotechnology

R&D

JEALOTT’S HILLChemical DiscoveryWeed ControlFormulationBioscienceEnvironmental Science

STEINFungicides, Insecticides &Professional Products

GOAChemistry

BEIJINGBiotechnologyR&D

Page 48: Corporate presentation

4949

Value creation

Advanced output traits

New plant sciences

Long term

New business

Superior chemicals

Novel seed varieties

New crop solutions

Core businessgrowth

Medium term

Combined skills - most powerful R&T engine

Rich pipeline

Efficiency through capturing synergy

Technology leadership &

efficiency

Short term

Research and Development: engine for profitable growth

Classification: PUBLIC

Page 49: Corporate presentation

5050

Syngenta: a leader in research and development

* Source: Phillips MacDougall; Company section July 2009 and Agrifutura n°116, June 2009

Monsanto(20%)

Syngenta(19%)

Bayer(18.5%)

BASF (13%)

DuPont (13%)

Dow (8%)

$5.1bn investment from research based companies* Crop Protection

● Global molecules tailored to local markets

Seeds● Technology platforms● Vegetables: targeting consumer

appeal

Business Development ● Pioneering new technologies

Others(8.5%)

Classification: PUBLIC

Page 50: Corporate presentation

5151

Crop protection compounds: the long road to market

Classification: PUBLIC

Discover

100’000 compounds

5000 compounds

Profile

30

Evaluate

1 - 2

Support

Time

Page 51: Corporate presentation

5252

Sedaxane(SC fungicide)

Bicyclopyrone(herbicide)

Cyantraniliproleinsecticide

SYN 192fungicide

2011

– 2

014

Crop Protection pipeline: multi-crop potentialLateresearch

Earlydevelopment

Late development

Targetlaunch

Peaksales

Invinsa™, a trademark of AgroFresh Inc., a subsidiary of DAS

>$1.7bn

(stress tolerance)

Corn Soybean Cereals Vegetables Rice Sugar cane OthersSpecialty

Page 52: Corporate presentation

5353

po

st 2

014

Crop Protection pipeline: multi-crop potentialLateresearch

Earlydevelopment

Late development

Targetlaunch

Peaksales

Invinsa™, a trademark of AgroFresh Inc., a subsidiary of DAS

>$0.5bn

Fungicide

Herbicide

Insecticide

New cropenhancer

Corn Soybean Cereals Vegetables Rice Sugar cane OthersSpecialty

Page 53: Corporate presentation

5454

Corn Seeds pipeline: peak sales potential >$2 billion

Launched 2010

Abiotic stress

Biotic stress

Earlydevelopment

Late development

Initiallaunches

* Approved in Japan, Canada, Australia, New Zealand, Mexico, Philippines

2010

2010

Output traits

Peak

sales

>$2.0bn

post2015

Water opt., nitrogen use efficiency

2011*

2012

2010

2014next generation RW

CarbYield™post2015

Page 54: Corporate presentation

5555

Other input traits

Soybean Seeds pipeline: peak sales potential >$700 million

Herbicide tolerance

Earlydevelopment

Late development

Initiallaunches

* Native traits

HPPD solution 2016 / 17

Rust solution 2012*

Peak

sales

>$700m

GM insect resistancepost2015

Aphid management system

Launched2010*

2nd generation HTLaunched2010

2nd generationnematode resistance

Launched2010*

Page 55: Corporate presentation

5656

Molecular toxicology and environmental

science

BioinformaticsCombinatorial

chemistry

CroptransformationHigh throughput

screening

Marker-assistedbreeding

Biotechnology: a new paradigm for CP invention

Practical routes to novel crop varieties

Fast-tracking to market

Advancedformulation

Strength in genomics is key to building new markets

Genomics

Unique combination of technology platforms

Classification: PUBLIC

Advancedformulation

Page 56: Corporate presentation

Corporate Responsibility

Classification: PUBLIC

Page 57: Corporate presentation

5858

Our contribution: focused on the global challenges

● Corporate Responsibility: inherent in what we do

● Our contribution:

- increasing yields and crop quality

- improving resource efficiency in agriculture

- growing rural communities

- reducing our own footprint

- investment in R&D for the future of agriculture

Classification: PUBLIC

Page 58: Corporate presentation

5959

Grow more from less

Syngenta believes that farmers can

produce enough to meet the world’s needs

for food, fuel and fiber and safeguard the

only planet we have for future generations

– if we take a system-wide approach that

links technology, land and people. These

three elements build the foundation for a

sustainable production system in which

technology enables better solutions for

farmers to increase productivity and

profitability, to increase resource efficiency,

and help reach food security.

Classification: PUBLIC

Bet

ter

solu

tions

Resource efficiency

People Land

Technology

Rural economies

Page 59: Corporate presentation

6060

Better solutions

Choices on the farm

To ensure that farms meet their productivity potential, we need enabling and transparent regulations, to make safe technologies available to farmers.

Accelerating innovation

We need mechanisms to share innovation; protecting intellectual property helps stimulate research and development.

Sharing knowledge

Agriculture is based on knowledge supported by science; we need new partnerships to raise agronomy skills and share expertise.

Classification: PUBLIC

Page 60: Corporate presentation

6161

Resource efficiency

Preserving the land

We need to increase productivity on existing farmland.

High stakes for water

40% of water used for agriculture is wasted; we need solutions that increase water efficiency.

Vitality of biodiversity

Biodiversity and agriculture depend on each other; we need to protect the diversity of nature to secure our food supply and quality of life.

Classification: PUBLIC

Page 61: Corporate presentation

6262

Rural Communities

Building markets

Growing is not enough; farmers need supporting infrastructure and access to markets, finance and information.

Valuing farm work

Rural economies carry the weight of feeding the world; farming needs to be worthwhile and profitable.

Community development

We need agriculture to spur socio-economic development of rural communities.

Classification: PUBLIC

Page 62: Corporate presentation

6363

Food security: better food systems using fewer resources

● Sustainable production system

- recognizes connections between technology, land and people

● Limitation: availability of natural resources

● Improved access and distribution through enabling policies

Classification: PUBLIC

Technology

Land People

Food Security

Page 63: Corporate presentation

6464

Sustainable agriculture

Classification: PUBLIC

Avoidsdeforestation

Protects economic viability of farming

Preservesbiodiversity

Suits localconditions

and capacity

Ensures soilconservation

Maintainswater quality

Protects health & safety of community

Our commitment: contribute to sustainable agriculture in the production of healthy food and the conservation of biodiversity

Page 64: Corporate presentation

6565

Sustainable agriculture: Higher yields reduce poverty

● Our contribution to society and our business performance are mutually dependent

● Our products meet the needs of a fast-growing population

Classification: PUBLIC

Page 65: Corporate presentation

6666

Did you know that…?

Classification: PUBLIC

In 2010 Syngenta trained more

than 4 million farmers in

the safe use of crop protection products

Page 66: Corporate presentation

6767

Reducing the agricultural carbon footprint

Classification: PUBLIC

1 CO2e – Carbon dioxide equivalents2 mainly driven by increasing and protecting yield and enabling no tillage

-6051

-240

-75-157

Use benefitson the farm2

Syngenta operations Purchased energy Business travel Distribution Supply Farm level

0

Direct Indirect

Within control Outside control

● Positive contribution to climate change

● Reduce greenhouse gas emissions relative to EBIT by 40% by 2012

● Minimum tillage, nitrogen efficiency

● Biofuels: corn amylase, tropical sugar beet, key research partnerships

-684-301 -20

-299

Page 67: Corporate presentation

6868

Recognizing our performance

● Our responsible actions are widely recognized by stakeholders

● Syngenta is included in FTSE4Good and Dow Jones Sustainability Indexes

● 84% of our employees are proud to work for Syngenta

Classification: PUBLIC

Page 68: Corporate presentation

6969

Syngenta Foundation: coordinated focus and execution

Classification: PUBLIC

Landless workers

Commercial smallholder

Medium farm holder

Large farm holder

Income from agricultural activitiesNumber of land holdings

Syngenta focus

Subsistence smallholder

Foundation focus Syngenta focus

Access to markets Inadequate Moderate

Technology uptake Low Moderate to high

Infrastructure Poor Fair

Foundation focus

Segmentation for commercial smallholders

Page 69: Corporate presentation

7070 Classification: PUBLIC