1. Why is it important for Geno to establish research collaboration with the U.S? Sverre Bjørnstad Sverre Bjørnstad

2. For dairy farmers and consumers - sustainable breeding for the ultimate cow

3. Geno’s key figures 2003 Annual turnover: $ 31.000 million Book equity 59 %, $ 15 million Net profit: $ 100.000,- Employees: 278 Members and owners: 18.200 No. of inseminations: 575.000 Research and development: $ 2.7 million –No of PhD 11

5. Geno’s opportunities Unique database Simultaneously genetic gain on functional traits and production Very positive results from testing of NRF-cows in the U.S, Ireland and Northern Ireland –Creating an international scientific base on the NRF Fast growing international sales on NRF Support from Norwegian authorities in establishing international contacts We benefit from an excellent status on animal health in Norway

6. Creating value in functional genomics you need Unique cattle biobank A well functioning recording and input system covering more than 95 % of the total dairy cow population in Norway Data from 1978 covering individualised phenotypic information from about 7,5 million animals (cows and sires) Pedigree information covering more than 5 generations Central storage blood/serum and semen samples from bulls and bull dams The most comprehensive recording system for health conditions, including more than 60 diseases/diagnostic groups Information covering production measures, health, fertility and conformation Large daughter groups (200-300) Well structured and quality assured data located in a central database

7. Genetic trend NRF

8. No. of veterinary treatments

9. International research project with NRF California::NRF, SRB, Normand and Mont Beliard crossed with Holstein. Large dairies in California. Trial is run by Univ. Of Minnesota Nord-Irland:App 300 NRF-cows in herds and on Hillsborough Irland:30 heifers in 1999 on Moorepark 400 NRF - 400 NRF X Holstein - 400 Holstein on 50 farms. Starting in 2004 New US-initiativ this fall: USDA is willing to fund a seminar on a joint US-Norwegian effort to improve selection for health and fertility in dairy cows

10. Test results from California TraitHolsteinHolstein x Montbeliarde Holstein x Scandinavian Number294194120 Milk (kg)31,831,033,3 Fat (kg)1,10 1,17 Protein (kg)0,940,951,01 Fat + Protein (kg)2,102,002,24 Stillbirth12 %3 %5 % Dystocia1,591,261,19 SCS2,132,331,88

11. Dairy trends ”In ten years, a majority of Holstein calves will be crossbreds.The cattle most likely to be used will be popular European dairy breeds”. Leslie B. Hansen, Prof. Univ of Minnesota

13. Units of NRF-semen exported

14. Geno’s challenges Small resources for R&D, compared with the big companies Unlike oil, fish and skiing, Norwegian dairy production is not well known outside Norway The financial resources in the Ag-business is slowly declining

15. Conclusion There is a disparity between our potential and our financial and technological resources

16. Geno’s strategy Establish scientific platforms for marketing of NRF- germplasm Search for international funding –Appropriation bill thru U.S. Congress Establish alliances and cooperation with Univ. and researchers –Joint research projects; we have data and germplasm, find a partner with technology, knowledge and financial strength Where it is possible, make subsidiary companies where we invite investors to take part. Preferably outside core business

17. NRF x Holstein 14.953 kg 305 days Preg. 95 day after calving 50.000 lower SCC than average in herd