U.S. District Court Judge Robert W. Pratt has denied a motion by Asgrow Seed Company and DeKalb Genetics Corporation to dismiss a portion of the lawsuits that allege they misappropriated seed germplasm from Pioneer Hi-Bred International, Inc.

"This is a significant ruling for Pioneer,'' said Rick McConnell, Pioneer senior vice president for
research and product development. "Pioneer is spending millions every year to develop our
germplasm. This ruling takes us a step closer to stopping our competitors from using the fruit of our investment to develop their products - a practice that could put a farmer's productivity at risk by reducing the genetic diversity of the products they plant.''

Pioneer sued DeKalb, Asgrow and Cargill Inc. in the US District Court for the Southern District of
Iowa in Des Moines last fall. The suits alleged that the three competitors misappropriated Pioneer's proprietary seed germplasm. DeKalb and Asgrow both filed motions arguing that even though they used Pioneer genetics without permission, Pioneer could not legally prevent them from doing so.

Judge Pratt rejected that argument last Friday ruling that the federal law did not conflict with or
preempt Iowa law governing trade secrets, contracts or tort law. The ruling comes after Asgrow and DeKalb admitted in court April 29, 1999, that 25 of the 26 hybrids Pioneer identified in its initial filings did indeed contain Pioneer germplasm.

"While the strength of our case continues to grow, I'm disappointed that some of our competitors
don't recognize the value of protecting intellectual property,'' said McConnell. "Strong protection
stimulates investment in plant sciences and ultimately benefits consumers.''

The third defendant in the germplasm protection lawsuits, Cargill, did not file a similar motion to
dismiss. Rather, it issued a statement in February that it had found "problem areas'' in its breeding program.

Pioneer Hi-Bred International, Inc., is the world's leading supplier of agricultural genetics and is the leading developer and integrator of agricultural technology. Headquartered in Des Moines, Iowa, Pioneer develops, produces, and markets a full line of seeds, forage/grain additives and services to grain and livestock producers, grain processors and other customers worldwide.

Company news release
N1987