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UPDATE 1-Monsanto sees FY09 results at low end of forecast

Published 05/27/2009, 08:50 AM
Updated 05/27/2009, 08:56 AM
MON
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* Profit seen meeting low end of outlook for FY 2009

* Competition on Roundup stronger than expected

* Free cash flow seen at $1.4 billion

* Shares fall 4.1 percent

KANSAS CITY, May 27 (Reuters) - Monsanto Co said on Wednesday that stronger-than-expected competition in the herbicide business would push fiscal-year results to the low end of its earnings forecast, and investors responded by pushing its shares down more than 4 percent.

For the year ending on Aug. 31, Monsanto, the world's largest seed company, now expects ongoing earnings of about $4.40 per share, the lowest point in its previously announced range of $4.40 to $4.50.

Monsanto said it expected third-quarter earnings of $1.15 per share. Analysts were looking for $1.58, according to Reuters Estimates.

The company also said it expected to generate about $1.4 billion in free cash for the full year.

Shares of St. Louis based Monsanto fell 4.1 percent to $81.78 in premarket trading. (Reporting by Carey Gillam; Editing by Lisa Von Ahn)

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