Monsanto Company Long Term Investor Investigation

An investor in MON stock filed a lawsuit on behalf of purchasers of the common stock of Monsanto Company between January 7, 2009 and May 27, 2010, over alleged violations of Federal Securities Laws by Monsanto Company. Meanwhile an investigation on behalf of current long term investors of Monsanto Company (NYSE:MON), including those who also purchased prior to January 2009 and continue to hold those shares, over possible breaches of fiduciary duty by certain members of the board of directors and certain of officers of Monsanto Company was announced.

Monsanto Company, located St. Louis, MO, along with its subsidiaries, is a worldwide provider of agricultural products for farmers. According to the complaint filed in the United States District Court for the Eastern District of Missouri the plaintiff alleges on behalf of purchasers of the common stock of Monsanto Company between January 7, 2009 and May 27, 2010, that Monsanto Company and certain of its officers and executives violated the Exchange Act by failing between January 7, 2009 and May 27, 2010, to disclose material adverse facts about its true financial condition, business and prospects. Then on May 27, 2010, Monsanto Company announced that it was “dramatically” repositioning its Roundup® business, lowering its full-year 2010 guidance to $2.40 to $2.60 a share from $3.10 to $3.30 a share, and lowering its free cash flow guidance. Monsanto Company also announced that its guidance for Roundup® and other glysophate-based products was now $50 to $200 million, down from $600 million on April 7, 2010. On this news, so the lawsuit, Monsanto’s stock price fell from a price of $52.66 prior to the announcement to close at $50.27 on extremely heavy volume. Shares of Monsanto Company (MON) traded recently at $57.18 per share, down from its 52weekHigh of $87.06 per share and almost $140 per share during 2008.