2009 News Releases and Information

MOLINE, Illinois (June 4, 2009) - John Deere is using the CTT show in Moscow to announce two new Russian dealers and affirm its commitment to growing the Russian and CIS (Commonwealth of Independent States) markets – continuing a presence that dates back to the 1880s and the company's first sales in the country.

The dealers, UST (Universal Spetstechnica), based in Moscow, and ACT (Agro-Construction Technologies), based in Krasnodar, will together cover much of Russia. UST's territory will be the Central, Urals, Siberia and Volga Federal districts of Russia, while ACT will represent the Southern Federal district of Russia.

UST is already well known in the forklift and industrial equipment arena. ACT, which has also been a John Deere agricultural dealer, will service Sochi, site of the 2014 Winter Olympics.

"Both of these organizations share the John Deere commitment to selling and supporting equipment that gives customers outstanding productivity, maximum uptime and low daily operating costs," said Domenic Ruccolo, senior vice president of Sales & Marketing, John Deere Construction & Forestry.

"These customer needs are universal – they know no one language. We are pleased to partner with UST and ACT and serve those who work on Russia's infrastructure and natural resources." Ruccolo said. "Together with our dealers, we will meet and exceed their expectations."

Product Offerings

John Deere construction product offerings from UST and ACT in Russia will run the gamut, including the small (313 and 317 skid steers), the medium (J-Series backhoes, including a special side-shift 325J) and large production models (844K four-wheel drive loader, 872G grader, and 850J dozer with outside "C"-mount blade). Seven K-Series loaders and two articulated dump trucks will also be introduced to the market, as they have been in North America.

"All machines are John Deere-powered units and will be introduced from now into 2010," Ruccolo said. "They feature tried and true John Deere designs but have features unique to the Russian market, including cold weather start packages."

A complete list of models to be offered in Russia:

• 313, 317, 328 skid steers.
• 444K, 544K, 624K, 644K, 724K, 744K, 844K loaders.
• 325J, 710J backhoes.
• 772G, 872G graders.
• 850J crawler dozer.
• 350D and 450D articulated dump trucks.

Dealer Signings Follow Kaluga Development

The signing of UST and ACT celebrated at the CTT show is just the latest chapter in John Deere's commitment to Russia. In 2008, Deere signed an agreement with the Russian government and local authorities to invest approximately $80 million in a central operations center, which includes a distribution center for replacement parts and a training facility in the Kaluga region, 38 miles southwest of Moscow.

In its initial stage, the 98-acre facility in the Kaluga region will accommodate a 322,000-square-foot replacement parts distribution center, a training facility for dealer personnel, including a product demonstration site, and a whole goods distribution facility. In 2005, Deere established a manufacturing and assembly facility for seeding equipment in Orenburg.

A Long History

John Deere has a long history of agricultural and forestry equipment sales to Russia. In the late 1920s, the company sold Russian customers a significant number of plows as well as its famous Waterloo Boy tractors. In 1928 to 1932 alone, Deere exported 8,187 tractors to the Soviet Union. Tractor sales in 1930 accounted for nearly 10 percent of the company's total sales.

Deere has served the forestry market in Russia for over 30 years. In 2002, Deere opened a forestry sales branch in St. Petersburg, and an agricultural sales branch office in Moscow followed, which currently supervises a network of 11 dealers located throughout the country's key farming regions.

John Deere (Deere & Company — NYSE: DE) is a world leader in providing advanced products and services for agriculture, forestry, construction, lawn and turf care, landscaping and irrigation. John Deere also provides financial services worldwide and manufactures and markets engines used in heavy equipment. Since it was founded in 1837, the company has extended its heritage of integrity, quality, commitment and innovation around the globe. John Deere Construction & Forestry produces more than 120 machine models and distributes its construction, forestry and worksite products through a network of more than 1,300 dealer locations worldwide.