This call will include statements concerning future events and financial results. Because these statements are based on assumptions and factors that involve risk and uncertainty, the company's actual performance may vary in a material way from those expressed or implied in any forward-looking statements. A description of the factors that may cause such a variance is included in the Safe Harbor language in our most recent 10-K and in today's press release.Today's conference call revolves around the results that confirm the momentum in our U.S. business in the second quarter and the step-up those results create for Monsanto's full year earnings and free cash flow outlook, as we've raised our guidance above the high end of our initial ranges for each. Given that, I'll let Pierre walk you through our financial results to give you the context of our strong 2012. Then Hugh will take a deeper look at where we stand in our overall strategy and how we see the layers of growth building from where we are today. Pierre Courduroux Thanks, Bryan. And good morning to everybody on the line. The second quarter was a record quarter for Monsanto. But more importantly, it provides the evidence of our business strength and creates the confidence we have in our full year performance as we increase our guidance expectations. So today, I will build by review around the step-up in our full year earnings and free cash guidance on Slide 4. We raised our ongoing EPS expectations above the high end of our initial guidance to $3.49 to $3.54 per share. We also raised our free cash outlook to $1.6 billion to $1.8 million, also above the high end of our initial range. This is a significant step-up that confirms that the momentum we saw in the business has translated into financial results.
And before I go through the details, let me emphasize a couple of points. First, the completion of this quarter gives us the data points to confirm the strength we anticipated in our U.S. business. During this quarter, we've seen the translation of early indicators, like the strong order book and deferred revenues, into our financials. Second, with a record second quarter, we have an early punctuation mark on what we see as a great year. The strong showing in the U.S. builds nicely on the growth from our Latin American business. In just 2 quarters, it's clear we're delivering on our expectations of greater international growth, more balance across our businesses and continued expansion of our U.S. base. In fact, with the strong U.S. performance, we now see the U.S. becoming the largest contributor to our overall growth for the year. But it is nicely complemented by the strong and expected growth from our international business. Most importantly, if you take all of that together, we now expect to deliver ongoing earnings growth in the range of the high-teens this year, and that speaks to the great overall year we see in 2012.If we now go to Slide 5, I will walk you through our financial results and give you the context for our increased guidance. For the quarter, ongoing earnings per share were $2.28 compared with $1.87 in prior year, an increase of more than 20%. That performance makes this second quarter a record in terms of ongoing EPS, as well as total sales and gross profit in our important Seeds and Genomics segment. That record quarter means that the second quarter will be our most significant earnings driver this year, and in turn, it changes the seasonality of our earnings flow in 2012. Given the combination of the absolute growth in our business, the early strong demand in the U.S. and a couple of timing benefits, the first half results largely capture the growth we expect to reach in our full year guidance. This has a practical effect on our full year earnings pattern as the stronger first half performance and timing shift also means that we expect overall earnings for the second half of the year to be effectively flat when compared with last year. Read the rest of this transcript for free on seekingalpha.com