DuPont 2011 Annual Report Download - page 6

Table of Contents
Part I
ITEM 1. BUSINESS, continued
Pioneer's research and development focuses on integrating high yielding germplasm with value added proprietary and/or licensed native and biotechnology
traits with local environment and service expertise. Pioneer uniquely develops integrated products for specific regional application based on local product
advancement and testing of the product concepts. Research and development in this arena requires long-term commitment of resources, extensive regulatory
efforts and collaborations, partnerships and business arrangements to successfully bring products to market. Pioneer licenses biotechnology traits from third
parties as a normal course of business. To protect its investment, the business employs the use of patents covering germplasm and native and biotechnology
traits in accordance with country laws.
Pioneer is actively pursuing the development of innovations for corn hybrid, soybean varieties, canola, sunflower, wheat and rice based on market
assessments of the most valuable opportunities. In corn hybrids, programs include innovations for drought and nitrogen efficiency, insect protection and
herbicide tolerance. In soybean varieties, programs include products with high oleic content, multiple herbicide tolerance and insect protection.
Pioneer has seed production facilities located throughout the world. Seed production is performed directly by the business or contracted with independent
growers and conditioners. Pioneer's ability to produce seeds primarily depends upon weather conditions and availability of reliable contract growers.
Pioneer markets and sells seed product primarily under the Pioneer ® brand but also sells and distributes products utilizing additional brand names. Pioneer
promotes its products through multiple marketing channels around the world. In the corn and soybean markets of the U.S. Corn Belt, Pioneer® brand products
are sold through a specialized force of independent sales representatives. Outside of North America Pioneer's products are marketed through a network of
subsidiaries, joint ventures and independent producer-distributors.
DuPont Crop Protection serves the global production agriculture industry with crop protection products for field crops such as wheat, corn, soybean and rice;
specialty crops such as fruit, nut, vine and vegetables; and non-crop segments, including forestry and land management. Principal crop protection products are
weed control, disease control and insect control products. Crop Protection products are marketed and sold to growers and other end users through a network of
wholesale distributors and crop input retailers. The sales growth of the business' insect control portfolio is led by DuPontTM Rynaxypyr® insecticide, a product
registered for sale in over 80 countries and sold under four key brands for use across a broad range of core agricultural crops.
The major commodities, raw materials and supplies for the Agriculture segment include: corn and soybean seeds, benzene and carbamic acid related
intermediates, copper, insect control products, natural gas, soybeans and sulfonamides.
Agriculture segment sales outside the U.S. accounted for 54 percent of the segment's total sales in 2011.
Electronics & Communications
Electronics & Communications (E&C) is a leading supplier of differentiated materials and systems for photovoltaics, consumer electronics, displays and
advanced printing that enable superior performance and lower total cost of ownership for customers. The segment leverages DuPont's strong materials and
technology base to target attractive growth opportunities in photovoltaic materials, circuit and semiconductor fabrication and packaging materials, display
materials, packaging graphics, and ink-jet printing. In the growing photovoltaics market, E&C continues to be a leading supplier of metalization pastes and
backsheet materials for use in solar cells and modules. In 2011, the segment completed the acquisition of Innovalight, Inc., a company specializing in
advanced silicon inks and process technologies that increase the efficiency of crystalline silicon solar cells. The acquisition further strengthens the segment's
position as a leader in materials for the solar energy market, enabling a broader and more integrated photovoltaic materials and technology offering from the
business. The segment completed a $295 million expansion to support the DuPont TM Tedlar® polyvinyl fluoride films business. This included a $120 million
investment in capacity expansion to produce the raw materials that make the film, which was completed in 2010, and a multi-phase $175 million investment
of high-performance Tedlar ® PV2001 series oriented film production completed in 2011. Tedlar® films serve as the critical component of photovoltaic
module backsheets, providing long-term durability and performance in all weather conditions.
In the displays market, E&C continues to be a leading materials supplier for plasma displays. In 2011, the segment signed a technology licensing agreement
with a leading Asian manufacturer of active matrix organic light emitting diode (AMOLED) display products that will enable solution-process technology
developed by the manufacturer to be used in the segment's production of large AMOLED television displays.
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