<PAGE>
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
------------------
FORM 10-K/A
------------------
AMENDMENT NO. 1 TO
ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
FOR THE FISCAL YEAR ENDED OCTOBER 31, 1993
Commission file number 1-4121
DEERE & COMPANY
(Exact name of registrant as specified in its charter)
DELAWARE 36-2382580
(State of incorporation) (IRS Employer Identification No.)
JOHN DEERE ROAD, MOLINE, ILLINOIS 61265 (309) 765-8000
(Address of principal executive offices) (Zip Code) (Telephone Number)
SECURITIES REGISTERED PURSUANT
TO SECTION 12(b) OF THE ACT
TITLE OF EACH CLASS NAME OF EACH EXCHANGE ON WHICH REGISTERED
Common stock, $1 par value New York Stock Exchange
Chicago Stock Exchange
Frankfurt, Germany Stock Exchange
8.45% Debentures Due 2000 New York Stock Exchange
5-1/2% Convertible Subordinated
Debentures Due 2001 New York Stock Exchange
8% Debentures Due 2002 New York Stock Exchange
8-1/4% Notes Due 1996 New York Stock Exchange
9-1/8% Notes Due 1996 New York Stock Exchange
8.95% Debentures Due 2019 New York Stock Exchange
8-1/2% Debentures Due 2022 New York Stock Exchange
SECURITIES REGISTERED PURSUANT TO SECTION 12(G) OF THE ACT: NONE
Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the preceding 12 months (or for such shorter period that the registrant was
required to file such reports), and (2) has been subject to such filing
requirements for the past 90 days. Yes X No
--- ---
Indicate by check mark if disclosure of delinquent filers pursuant to Item 405
of Regulation S-K is not contained herein, and will not be contained, to the
best of registrant's knowledge, in definitive proxy or information statements
incorporated by reference in Part III of this Form 10-K or any amendment to this
Form 10-K. [X]
The aggregate quoted market price of voting stock of registrant held by
nonaffiliates at December 31, 1993 was $6,321,507,276. At December 31, 1993,
85,605,030 shares of common stock, $1 par value, of the registrant were
outstanding. DOCUMENTS INCORPORATED BY REFERENCE. Portions of the proxy
statement for the annual meeting of stockholders to be held on February 23, 1994
are incorporated by reference in Part III.
- - ------------------------------------------------------------------------------
Page 1 of 50
<PAGE>
Pursuant to Rule 15d-21 under the Securities Exchange Act of 1934, the
undersigned registrant (the "Registrant") hereby amends the following items,
financial statements, exhibits or other portions of its Annual Report on Form
10-K for the fiscal year ended October 31, 1993 to include the information and
financial statements required by Form 11-K with respect to The John Deere
Savings and Investment Plan and The John Deere Tax Deferred Savings Plan For
Hourly and Incentive Paid Employees (the "Plans") for the year ended October 31,
1993 as set forth in the pages attached hereto:
Index to Exhibits and Exhibits revised to add Exhibits 23.2, 23.3,
99.3 and 99.4, copies of which are attached, consisting of the
Consents of the Independent Auditors, Independent Auditors' Report,
and the Audited Financial Statements, Notes to Financial Statements,
and Supplemental Schedules of the Plans.
Page 2 of 50
<PAGE>
INDEX TO EXHIBITS
EXHIBIT
- - -------
3.1 Certificate of incorporation as amended (Exhibit 3.1 to Form
10-Q of registrant for the period ended April 30, 1993*)
3.2 Certificate of Designation Preferences and Rights of Series
A Participating Preferred Stock (Exhibit 3.2 to Form 10-Q of
registrant for the period ended April 30, 1993*)
3.3 By-laws, as amended (Exhibit 3.3 to Form 10-Q of registrant
for the quarter ended April 30, 1993*)
4.1 Indenture dated February 15, 1991 between registrant and
Citibank, N.A., as Trustee.
(Exhibit 4.1 to Form 10-Q of registrant for the quarter ended April
30, 1993*)
4.2 Credit agreements among registrant, John Deere Capital
Corporation, various financial institutions, and Chemical
Bank and Deutsche Bank, as Managing Agents, dated as of
December 15, 1993 (Exhibit 4.1 to 1993 Form 10-K of John
Deere Capital Corporation, Commission file no. 1-6458*)
4.3 Revolving evergreen credit facility REF loan agreement among
John Deere Limited, John Deere Finance Limited with a number
of banks dated March 26, 1993 and REF linked credit
agreement among registrant, John Deere Capital Corporation
and a number of banks dated as of March 26, 1993. (Exhibit
4.3 to Form 10-Q of registrant for the quarter ended April
30, 1993*)
4.4 Form common stock certificates (Exhibit 4.4 to Form 10-Q of
registrant for the quarter ended April 30, 1993*)
4.5 Rights Agreement dated as of December 9, 1987 as amended
between registrant and Morgan Shareholder Services Trust
Company (Exhibit 4.5 to Form 10-Q of registrant for the
quarter ended April 30, 1993*)
4.6 First Amendment to Rights Agreement, dated as of February
28, 1990 between registrant and First Chicago Trust Co. of
New York (Exhibit 4.6 to Form 10-Q of registrant for the
quarter ended April 30, 1993*)
4.7 Second Amendment to Rights Agreement, dated as of March 1,
1991 between registrant and First Chicago Trust Co. of New
York (Exhibit 4.7 to Form 10-Q of registrant for the quarter
ended April 30, 1993*)
Certain instruments relating to long-term debt constituting
less than 10% of the registrant's total assets, are not
filed as exhibits herewith pursuant to Item
601(b)(4)(iii)(A) of Regulation S-K. The registrant will
file copies of such instruments upon request of the
Commission.
9. Not applicable
10.1 Agreement dated May 11, 1993 between registrant and John
Deere Capital Corporation concerning agricultural retail
notes (Exhibit 10.1 to Form 10-Q of registrant for the
quarter ended April 30, 1993*)
Page 3 of 50
<PAGE>
EXHIBIT
- - -------
10.2 Agreement dated May 11, 1993 between registrant and John
Deere Capital Corporation relating to lawn and grounds care
retail notes (Exhibit 10.2 to Form 10-Q of registrant for
the quarter ended April 30, 1993*)
10.3 Agreement dated May 11, 1993 between John Deere Industrial
Equipment Company, a wholly-owned subsidiary of registrant
and John Deere Capital Corporation concerning industrial
retail notes (Exhibit 10.3 to Form 10-Q of registrant for
the quarter ended April 30, 1993*)
10.4 Agreement dated January 26, 1983 between registrant and John
Deere Capital Corporation relating to agreements on retail
notes with United States sales branches (Exhibit 10.4 to
Form 10-Q of registrant for the quarter ended April 30,
1993*)
10.5 John Deere Supplemental Pension Benefit Plan, as amended May
26, 1993. (Exhibit 10.5 to Form 10-Q of registrant for the
quarter ended April 30, 1993*)
10.6 1981 John Deere Incentive Stock Option Plan (Exhibit 10.6 to
Form 10-Q of registrant for the quarter ended April 30,
1993*)
10.7 1986 John Deere Stock Option Plan (Exhibit 10.7 to Form 10-Q
of registrant for the quarter ended April 30, 1993*)
10.8 1991 John Deere Stock Option Plan (Exhibit 10.8 to Form 10-Q
of registrant for the quarter ended April 30, 1993*)
10.9 Deere & Company Voluntary Deferred Compensation Plan
(Exhibit 10.9 to Form 10-Q of registrant for the quarter
ended April 30, 1993*)
10.10 John Deere Restricted Stock Plan (Exhibit 10.10 to Form 10-Q
of registrant for the quarter ended April 30, 1993*)
10.11 1993 Nonemployee Director Stock Ownership Plan (Exhibit to
Notice and Proxy Statement of registrant for the annual
shareholder meeting on February 24, 1993*)
11. Computation of net income per share**
12. Computation of ratio of earnings to fixed charges**
13. Not applicable
16. Not applicable
18. Not applicable
21. Subsidiaries**
22. Not applicable
23.1 Consent of Deloitte & Touche with respect to the Independent
Audit Report for the October 31, 1993 financial statements
of Deere & Company**
Page 4 of 50
<PAGE>
EXHIBIT
- - -------
23.2 Consent of Deloitte & Touche with respect to the Independent Audit
Report for The John Deere Savings and Investment Plan
23.3 Consent of Deloitte & Touche with respect to the Independent
Audit Report for the John Deere Tax Deferred Savings Plan
For Hourly and Incentive Paid Employees
24. Not applicable
27. Not applicable
28. Not applicable
99.1 Press Release dated December 9, 1987 announcing adoption of
Shareholder Rights Plan (Exhibit 99.1 to Form 10-Q of registrant for
the quarter ended April 30, 1993*)
99.2 Form of Letter to Shareholders dated December 10, 1987
describing Shareholder Rights Plan (Exhibit 99.2 to Form 10-
Q of registrant for the quarter ended April 30, 1993*)
99.3 John Deere Savings And Investment Plan
Independent Auditors' Report
Statements of Net Assets Available For
Benefits as of October 31, 1993, 1992 and
1991
Statements of Changes in Net Assets Available
For Benefits for the years ended October 31,
1993, 1992, 1991
Notes to Financial Statements
Supplemental Schedules
99.4 John Deere Tax Deferred Savings Plan For Hourly And Incentive Paid
Employees
Statements as of October 31, 1993, 1992 and 1991
Statements of Changes for the years ended
October 31, 1993, 1992 and 1991
Notes to Financial Statements
Supplemental Schedules
*Incorporated by reference. Copies of these exhibits are
available from the Company upon request.
**Copies of these exhibits were filed with the Commission with the
original Annual Report of the Company on Form 10-K for the fiscal year
ended October 31, 1993.
Page 5 of 50
<PAGE>
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this amendment to its Annual Report on Form 10-K to
be signed on its behalf by the undersigned, thereunto duly authorized.
DEERE & COMPANY
By: /s/ M. S. Plunkett
-------------------
M. S. Plunkett
Senior Vice President
Date: April 26, 1994
--------------
Page 6 of 50
<PAGE>
Exhibit 23.2
Deloitte &
Touche
Two Prudential Plaza
180 North Stetson Avenue
Chicago, Illinois 60601-6779
INDEPENDENT AUDITORS' CONSENT
Deere & Company:
We consent to the incorporation by reference in Registration Statements No. 2-
76637, 2-90384, 33-24397, and 33-49740 of Deere & Company on Form S-8 of our
report dated April 1, 1994 relating to the John Deere Savings & Investment Plan,
appearing in this Annual Report on Form 10-K of Deere & Company for the year
ended October 31, 1993.
/s/ Deloitte & Touche
- - ----------------------
DELOITTE & TOUCHE
April 1, 1994
Page 7 of 50
<PAGE>
Exhibit 23.3
Deloitte &
Touche
Two Prudential Plaza
180 North Stetson Avenue
Chicago, Illinois 60601-6779
INDEPENDENT AUDITORS' CONSENT
Deere & Company:
We consent to the incorporation by reference in Registration Statements
No. 33-15949 and 33-49740 of Deere & Company on Form S-8 of our report dated
April 1, 1994 relating to the John Deere Tax Deferred Savings Plan for Hourly
and Incentive Paid Employees, appearing in this Annual Report on Form 10-K of
Deere & Company for the year ended October 31, 1993.
/s/ Deloitte & Touche
- - ---------------------
DELOITTE & TOUCHE
April 1, 1994
Page 8 of 50
<PAGE>
Exhibit 99.3
JOHN DEERE SAVINGS AND INVESTMENT PLAN
FINANCIAL STATEMENTS
FOR THE YEARS ENDED OCTOBER 31, 1993, 1992 AND 1991
AND
SUPPLEMENTAL SCHEDULES FOR THE YEAR ENDED OCTOBER 31, 1993
AND
INDEPENDENT AUDITORS' REPORT
* * * * * * * * * * * *
Page 9 of 50
<PAGE>
JOHN DEERE SAVINGS AND INVESTMENT PLAN
TABLE OF CONTENTS
PAGE
----
Independent Auditors' Report . . . . . . . . . . . . . . . . . . . . 2
Financial Statements for the Years Ended
October 31, 1993, 1992` and 1991:
Statements of Net Assets Available for Benefits . . . . . . . . . 3
Statements of Changes in Net Assets Available
for Benefits . . . . . . . . . . . . . . . . . . . . . . . . . 4
Notes to Financial Statements . . . . . . . . . . . . . . . . . . 5
Supplemental Schedules: . . . . . . . . . . . . . . . . . . . . . 16
Item 27a - Schedule of Assets Held for Investment Purposes
at October 31, 1993
Item 27d - Schedule of Reportable Transactions for the
Year Ended October 31, 1993
Supplemental Schedules Omitted As Not Applicable:
Item 27a - Schedule of Assets Held for Investment Purposes
(Investment Assets Which Were Acquired and
Disposed of Within the Plan Year)
Item 27b - Schedule of Loans or Fixed Income Obligations
Item 27c - Schedule of Leases in Default or Classified
as Uncollectible
Item 27e - Schedule of Nonexempt Transactions
Page 10 of 50
<PAGE>
Deloitte &
Touche
Two Prudential Plaza Telephone: (312) 946-3000
180 North Stetson Avenue Facsimile: (312) 946-2600
Chicago, Illinois 60601-6779
INDEPENDENT AUDITORS' REPORT
Deere & Company:
We have audited the accompanying statements of net assets available for benefits
of the John Deere Savings and Investment Plan as of October 31, 1993, 1992 and
1991 and the related statements of changes in net assets available for benefits
for the years then ended. These financial statements are the responsibility of
the Plan's management. Our responsibility is to express an opinion on these
financial statements based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audits provide a reasonable basis for our opinion.
In our opinion, such financial statements present fairly, in all material
respects, the net assets available for benefits of the Plan as of October 31,
1993, 1992 and 1991 and the changes in net assets available for benefits for the
years then ended in conformity with generally accepted accounting principles.
As discussed in Note 5 to the financial statements, the Plan changed its
accounting for benefits payable to participants who have withdrawn from
participation from the Plan and restated the 1991 and 1992 financial statements
for the change.
Our audits were conducted for the purpose of forming an opinion on the basic
financial statements taken as a whole. The supplemental schedules listed on
page 1 are presented for the purpose of additional analysis and are not a
required part of the basic financial statements, but are supplementary
information required by the Department of Labor's Rules and Regulations for
Reporting and Disclosure under the Employee Retirement Income Security Act of
1974. These schedules are the responsibility of the Plan's management. Such
schedules have been subjected to the auditing procedures applied in the audits
of the basic 1993 financial statements and, in our opinion, are fairly stated in
all material respects when considered in relation to the basic financial
statements taken as a whole.
/s/ Deloitte & Touche
- - ---------------------
DELOITTE & TOUCHE
April 1, 1994
Page 11 of 50
<PAGE>
JOHN DEERE SAVINGS AND INVESTMENT PLAN
STATEMENTS OF NET ASSETS AVAILABLE FOR BENEFITS
OCTOBER 31, 1993, 1992 AND 1991
(IN THOUSANDS OF DOLLARS)
<TABLE>
<CAPTION>
- - --------------------------------------------------------------------------------
1993 1992 1991
---- ---- ----
<S> <C> <C> <C>
ASSETS
Investments - at market value:
Deere & Company common stock $ 32,597 $ 24,128 $ 19,103
Fixed rate bank
and insurance contracts 306,489 285,436 251,430
Fixed Interest Fund 1,777 1,827 1,788
Fidelity U.S. Equity Index Portfolio 84,173 72,977 62,310
Fidelity Puritan Fund 31,479 12,857 6,127
Fidelity Overseas Equity Fund 11,238
Fidelity Magellan Fund 74,603 37,818 21,706
Fidelity Intermediate Bond Fund 1,335
Fidelity Retirement Money
Market Portfolio 4,770 5,633 4,743
Fidelity U.S. Government
Reserve Pool 14,322 6,548 5,886
Loans to participants 15,930 14,595 12,743
--------- --------- ---------
Total 578,713 461,819 385,836
Due from brokers 677 72
--------- --------- ---------
Total Assets 579,390 461,891 385,836
--------- --------- ---------
LIABILITIES
Due to brokers 147
--------- --------- ---------
Total Liabilities 147
--------- --------- ---------
Net Assets Available for Benefits $579,390 $461,891 $385,689
--------- --------- ---------
--------- --------- ---------
</TABLE>
See Notes to Financial Statements.
Page 12 of 50
<PAGE>
JOHN DEERE SAVINGS AND INVESTMENT PLAN
STATEMENTS OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS
FOR THE YEARS ENDED OCTOBER 31, 1993, 1992 AND 1991
(IN THOUSANDS OF DOLLARS)
- - -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Year Ended Year Ended Year Ended
October 31, 1993 October 31, 1992 October 31,1991
---------------- ---------------- ---------------
<S> <C> <C> <C>
ADDITIONS
Investment income:
Dividends $ 11,079 $ 7,436 $ 2,528
Interest 24,487 23,327 20,797
---------- ---------- ----------
Total 35,566 30,763 23,325
---------- ---------- ----------
Net appreciation (depreciation)
in fair value of
investments 41,270 (2,956) 21,814
---------- ---------- ----------
Contributions:
Employee 42,429 43,056 41,510
Employer 7,322 9,338 18,625
---------- ---------- ----------
Total 49,751 52,394 60,135
---------- ---------- ----------
Transfer from previous
trust account 3,688
---------- ---------- ----------
Total 126,587 83,889 105,274
---------- ---------- ----------
DEDUCTIONS
Withdrawals 8,847 7,218 2,754
Loan cancellations 241 469 59
---------- ---------- ----------
Total 9,088 7,687 2,813
---------- ---------- ----------
Excess of additions
over deductions 117,499 76,202 102,461
Net Assets Available
for Benefits:
Beginning of year 461,891 385,689 283,228
---------- ---------- ----------
End of year $579,390 $461,891 $385,689
---------- ---------- ----------
---------- ---------- ----------
</TABLE>
See Notes to Financial Statements.
Page 13 of 50
<PAGE>
JOHN DEERE SAVINGS AND INVESTMENT PLAN
NOTES TO FINANCIAL STATEMENTS
FOR THE YEARS ENDED OCTOBER 31, 1993, 1992 AND 1991
- - -----------------------------------------------------------
(1) DESCRIPTION OF PLAN
The following is a general description of the John Deere Savings and
Investment Plan (the Plan). This description applies to each of the years
for which financial statements are presented. See Note (2) for a brief
description of the changes in the Plan's policies and procedures as of
January 1991. For a more complete description of the Plan's provisions,
participants should make reference to the Plan agreement.
GENERAL
The Plan was established July 1, 1984 by Deere & Company (the Company) for
eligible employees of the Company and its subsidiaries. The purpose of the
Plan is to encourage those employees to provide for their financial
security through regular savings and to assist them through matching
contributions from the Company's profits. It is subject to the provisions
of the Employee Retirement Income Security Act of 1974 (ERISA). Expenses
of the Plan are paid by the Company.
ELIGIBILITY
Employees are eligible to participate in the Plan if they are salaried
employees on the United States payrolls of the Company or its participating
subsidiaries and have completed at least one year of service.
CONTRIBUTIONS
An eligible employee may elect to enter into a written Salary Deferral
Agreement (the Agreement) with the Company and agree to accept a reduction
in compensation equal to any whole percentage of such compensation per
payroll period, not to exceed 15 percent, up to a maximum amount
established by the Internal Revenue Service. The maximum amount for the
1993 calendar year was $8,994. Employees may amend or revoke their
Agreements as of the first day of any payroll period by completing a form
established for that purpose.
An amendment or revocation becomes effective with the first payroll period
of the calendar month following receipt of the form by the administrator of
the Plan.
The Company's matching contributions to the Plan, which are made on a
calendar-year basis, are determined by multiplying the participating
employee's salary deferrals, up to a maximum of six percent of the
employee's earnings, by a percentage determined in accordance with the Plan
agreement. This percentage is based on the profitability of the Company in
the preceding fiscal year ended October 31. The percentages applicable to
the 1991, 1992 and 1993 calendar years were 75 percent, 30 percent and 30
percent respectively.
Page 14 of 50
<PAGE>
Contributions are sent to the Plan Trustee on each payroll period ending
date, or the last working day prior to that date if the latter is an
unscheduled working day. Contributions are invested by the Trustee in the
appropriate funds as soon as practicable following receipt. Monies may be
held and invested by the Trustee in short-term investment funds until
designated investments have been purchased.
The salary deferrals and Company contributions are considered tax deferred
under sections 401(a) and 401(k) of the Internal Revenue Code.
FUND ELECTIONS
Eligible employees enrolled in the Plan may elect to invest a percentage of
their contributions, together with the matching contribution by the
Company, in one or more funds in multiples of 10 percent.
A description of the primary investments in each fund follows:
The Deere & Company Common Stock Fund is invested in common stock of the
Company.
The Blended Interest Fund is invested in investment contracts issued by
banks and insurance companies.
The Fixed Interest Fund is invested in zero coupon bonds and high-quality
fixed interest investments.
The Fidelity U.S. Equity Index Portfolio is invested in the common stocks
of the 500 companies that make up the Standard & Poor's 500 Stock Index.
The Fidelity Puritan Fund is invested in dividend-paying common stocks,
preferred stocks and bonds of all types and qualities paying interest.
The Fidelity Overseas Equity Fund is invested in securities of companies
located in the Americas (other than the U. S.), the Far East and Pacific
Basin, and Western Europe.
The Fidelity Magellan Fund is invested in a wide range of U.S. and
foreign common stocks of all types of companies with growth potential.
The Fidelity Intermediate Bond Fund is invested in bonds rated BBB or
better with an average maturity of between three and ten years.
The Fidelity Retirement Money Market Portfolio is invested in debt
instruments maturing in one year or less, including high-quality
commercial paper, certificates of deposit, repurchase agreements and
bankers' acceptances.
The Fidelity U.S. Government Reserve Pool is a short-term investment fund
paying interest.
Page 15 of 50
<PAGE>
A listing of the funds and the number of participants in each fund at October
31, 1993, 1992 and 1991 follows. The number of participants shown below
includes both active participants and former employees who have elected deferred
distributions.
<TABLE>
<CAPTION>
Name of Fund Number of Participants
------------ ----------------------
1993 1992 1991
---- ---- ----
<S> <C> <C> <C>
Deere & Company Common Stock Fund 3,703 4,149 3,887
Blended Interest Fund 9,641 9,928 10,131
Fixed Interest Fund 109 120 126
Fidelity U.S. Equity Index Portfolio 4,446 4,503 4,403
Fidelity Puritan Fund 2,773 1,679 1,007
Fidelity Overseas Equity Fund 942 0 0
Fidelity Magellan Fund 4,444 3,235 2,046
Fidelity Intermediate Bond Fund 223 0 0
Fidelity Retirement Money Market Portfolio 575 643 515
</TABLE>
LOANS
Employees who participate in the Plan are eligible to borrow against the
balances in their accounts. Loans must amount to at least $1,000 and are
limited to the lesser of $50,000 (reduced by the participant's highest
outstanding loan balance during the immediately preceding one year period)
or 50 percent of their account balances on the effective dates of the
loans, may not exceed 54 months in duration and are disbursed to applicants
monthly. Repayment is intended to be made via semi-monthly payroll
deductions. Interest is assessed at a rate which is determined after
reviewing the published prime interest rate, the 5-year consumers' savings
rate and the current yield of the Blended Interest Fund. Loans outstanding
at October 31, 1993 have maturities ranging from November 1993 through
October 1998 and bear interest at rates ranging from 8.5 percent to 11.0
percent per annum. There are no loans in default.
DISTRIBUTIONS
All distributions under the Plan are lump-sum. Distributions are not
permitted while the participants are employed by the Company unless a
distribution is required to meet legal requirements. Participants who have
terminated employment with the Company or retired may elect an immediate
distribution or may defer this distribution up to age 70 1/2. The
beneficiary of a participant who died may elect a deferred distribution
payable not later than five years after the participant's death.
Distributions from the Deere & Company Common Stock Fund may be in cash or
whole shares and residual cash. Distributions from all of the other funds
are in cash.
ADMINISTRATION
The Company is Administrator of the Plan. Fidelity Management Trust
Company (Fidelity), Boston, Massachusetts, is the Plan Trustee, Investment
Manager and Recordkeeper. Prior to December 5, 1990, State Street Bank &
Trust Company, Boston, Massachusetts, was the Plan Trustee and Hewitt
Associates, Lincolnshire, Illinois, was the Recordkeeper.
Page 16 of 50
<PAGE>
(2) AMENDMENTS
In January 1991, the Plan was amended and restated in its entirety. One
change was to increase the number of investment options to seven investment
funds. Participants were permitted to invest their existing account
balances and future salary deferrals in the Blended Interest Fund, the
Fixed Interest Fund, the Deere & Company Common Stock Fund, or in one or
more of four Fidelity mutual funds described in Note (1).
Participants were provided with a brochure, dated December 1, 1990, which
outlined the benefits of the Plan, described the investment options, fund
objectives and potential risks associated therewith, and detailed the
procedures for making Plan transactions.
Effective May 1, 1992, the Plan was amended to permit participation by
eligible salaried employees of Funk Manufacturing Company (Funk), a
subsidiary of the Company. Previously, Funk maintained the Funk Savings
Plan which covered certain salaried and hourly employees. As of May 1,
1992, the Funk Savings Plan was split into two separate plans: (a) the Funk
Savings Plan for Salaried Employees and (b) the Funk Savings Plan for
Hourly Employees. Following adoption of the Plan by Funk and its approval
for merger of the Funk Savings Plan for Salaried Employees with the Plan,
the assets and liabilities of the salaried employees participating in the
Funk Savings Plan for Salaried Employees were transferred into the Plan.
As of January 1, 1993, the Plan was amended to allow participants to invest
their contributions in two additional Fidelity mutual funds - the Fidelity
Intermediate Bond Fund and the Fidelity Overseas Equity Fund.
(3) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The Plan's financial statements have been prepared on the accrual basis.
Investments in the Deere & Company Common Stock Fund, the Fixed Interest
Fund and the six Fidelity mutual funds are stated at market value. The
fixed rate bank and insurance contracts and short-term investment funds are
stated at cost which approximates market.
Interest on bank and insurance contracts and short-term investment funds is
accrued daily and credited to the funds at the end of each month. Dividends
are accrued in the Deere & Company Common Stock Fund as of the record date
and are reflected as an increase in the fund's net asset value on that day.
They are not reported separately as dividends. Dividends in other funds
are recorded on the day that they are declared (which is also the date of
record) and are allocated to participants' accounts on that day. Earnings,
including unrealized appreciation or depreciation in market value of
investments, are allocated daily among participants based on the ratio of
their respective account balances as of the close of the preceding day.
Page 17 of 50
<PAGE>
(4) INVESTMENTS
The cost and market value of the Plan's investments in thousands of dollars are
summarized below:
<TABLE>
<CAPTION>
October 31, 1993 October 31, 1992
---------------- ----------------
Shares/ Shares/
Units Cost Market Units Cost Market
----- ---- ------ ----- ---- ------
<S> <C> <C> <C> <C> <C> <C>
Deere & Company
common stock 421,970 $ 26,221 $ 32,597 610,842 $27,018 $24,128
-------- -------- ------- -------
Fixed rate bank and insurance contracts
with:
Provident National Assurance Company
at 8.60%, Maturing December 31, 1991
Principal Mutual Life Insurance Company
at 8.70%, Maturing 25% in each year on
June 30, 1989 through 1992
Northwestern National Life Insurance
Company at 8.81%, Maturing 50% in
each year on June 30, 1990 and 1992
Northwestern National Life Insurance
Company at 8.92%, Maturing 50% in
each year on September 30, 1990 and 1992
CNA Insurance Company at 9.19%,
Maturing 33 1/3% in each year on
June 30, 1991 through 1993 5,226 5,226 5,226
Aetna Life Insurance Company at 8.77%,
Maturing 33 1/3% on July 1, 1991
and on June 30, 1992 and 1993 5,138 5,138 5,138
Aetna Life Insurance Company at 9.01%,
Maturing 33 1/3% in each year on
December 31, 1990 and 1992 and
January 3, 1994 4,596 4,596 4,596 8,760 8,760 8,760
<CAPTION>
October 31, 1991
-----------------
Shares/
Units Cost Market
------ ---- ------
<S> <C> <C> <C>
Deere & Company
common stock 338,113 $15,888 $19,103
------- -------
Fixed rate bank and insurance contracts
with:
Provident National Assurance Company
at 8.60%, Maturing December 31, 1991 22,101 22,101 22,101
Principal Mutual Life Insurance Company
at 8.70%, Maturing 25% in each year on
June 30, 1989 through 1992 4,101 4,101 4,101
Northwestern National Life Insurance
Company at 8.81%, Maturing 50% in
each year on June 30, 1990 and 1992 3,741 3,741 3,741
Northwestern National Life Insurance
Company at 8.92%, Maturing 50% in
each year on September 30, 1990 and 1992 5,198 5,198 5,198
CNA Insurance Company at 9.19%,
Maturing 33 1/3% in each year on
June 30, 1991 through 1993 9,971 9.971 9,971
Aetna Life Insurance Company at 8.77%,
Maturing 33 1/3% on July 1, 1991
and on June 30, 1992 and 1993 9,839 9,839 9,839
Aetna Life Insurance Company at 9.01%,
Maturing 33 1/3% in each year on
December 31, 1990 and 1992 and
January 3, 1994 8,370 8,370 8,370
</TABLE>
Page 18 of 50
<PAGE>
<TABLE>
<CAPTION>
October 31, 1993 October 31, 1992 October 31, 1991
---------------- ---------------- -----------------
Shares/ Shares/ Shares/
Units Cost Market Units Cost Market Units Cost Market
----- ---- ------ ----- ---- ------ ------ ---- ------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Prudential Insurance Company of
America at 9.82%, Maturing 33 1/3%
in each year on March 31, 1991
through 1993 2,832 2,832 2,832 6,346 6,346 6,346
CNA Insurance Company at 9.35%,
Maturing 25% in each year on
September 30, 1991 through 1994 2,693 2,693 2,693 5,116 5,116 5,116 7,236 7,236 7,236
Confederation Life Insurance Company
at 8.75%, Maturing on July 6, 1994 4,596 4,596 4,596 4,557 4,557 4,557 4,379 4,379 4,379
Principal Mutual Life Insurance Company
at 8.45%, Maturing 33 1/3% in each year
on October 1, 1991, 1993 and 1994 3,318 3,318 3,318 6,356 6,356 6,356 6,104 6,104 6,104
Metropolitan Life Insurance Company
at 8.70%, Maturing 50% on March 31,
1993 and 50% on September 30, 1993 10,884 10,884 10,884 10,430 10,430 10,430
Metropolitan Life Insurance Company
at 9.75%, Maturing 50% in each year
on June 30, 1994 and 1995 13,648 13,648 13,648 12,918 12,918 12,918 12,260 12,260 12,260
Metropolitan Life Insurance Company
at 8.62%, Maturing 50% on September 30,
1992 and 50% on March 31, 1994 6,316 6,316 6,316 6,040 6,040 6,040 11,585 11,585 11,585
Allstate Insurance Company at 8.54%,
Maturing 50% on December 30, 1994
and 50% on April 30, 1995 7,898 7,898 7,898 7,560 7,560 7,560 7,254 7,254 7,254
New York Life Insurance Company
at 9.22%, Maturing 33 1/3% in each
year on March 31, 1992 through 1994 4,890 4,890 4,890 9,236 9,236 9,236 13,163 13,163 13,163
</TABLE>
Page 19 of 50
<PAGE>
<TABLE>
<CAPTION>
October 31, 1993 October 31, 1992 October 31, 1991
---------------- ---------------- -----------------
Shares/ Shares/ Shares/
Units Cost Market Units Cost Market Units Cost Market
----- ---- ------ ----- ---- ------ ----- ---- ------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Confederation Life Insurance Company
at 9.10%, Maturing on December 31, 1994 9,076 9,076 9,076 9,023 9,023 9,023 8,615 8,615 8,615
Confederation Life Insurance Company
at 8.90%, Maturing on December 31, 1992 5,512 5,512 5,512 5,272 5,272 5,272
Principal Mutual Life Insurance Company
at 9.36%, Maturing 50% on September 30,
1994 and 50% on March 31, 1995 15,447 15,447 15,447 14,673 14,673 14,673 13,974 13,974 13,974
Aetna Life Insurance Company at 8.80%,
Maturing 50% on June 3, 1996 and 50%
on July 1, 1996 9,558 9,558 9,558 8,785 8,785 8,785 8,074 8,074 8,074
Aetna Life Insurance Company at 7.47%,
Maturing 50% on February 1, 1996
and 50% on April 1, 1996 19,535 19,535 19,535 18,027 18,027 18,027 16,618 16,618 16,618
Peoples Security Life at 8.60%,
Maturing 50% on March 1, 1996
and 50% on May 1, 1996 17,575 17,575 17,575 16,184 16,184 16,184 14,901 14,901 14,901
Sun Life of Canada at 7.62%,
Maturing 50% on June 1, 1996
and 50% on September 1, 1996 20,806 20,806 20,806 19,333 19,333 19,333 10,067 10,067 10,067
Sun Life of Canada at 8.70%,
Maturing 50% on June 1, 1996
and 50% on July 1, 1996 9,021 9,021 9,021 8,299 8,299 8,299 7,635 7,635 7,635
Hartford Life Insurance Company
at 8.45%, Maturing 50% on August 1,
1995 and 50% on December 31, 1995 14,066 14,066 14,066 12,970 12,970 12,970 11,959 11,959 11,959
Massachusetts Mutual Life Insurance
Company at 9.02%, Maturing on
October 2, 1995 13,442 13,442 13,442 12,808 12,808 12,808 12,237 12,237 12,237
</TABLE>
Page 20 of 50
<PAGE>
<TABLE>
<CAPTION>
October 31, 1993 October 31, 1992 October 31, 1991
---------------- ----------------- ----------------
Shares/ Shares/ Shares/
Units Cost Market Units Cost Market Units Cost Market
----- ---- ------ ----- ---- ------ ----- ---- ------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Hartford Life Insurance Company at
5.34%, Open maturity 15,746 15,746 15,746
Provident National Assurance Company,
at 7.10%, Maturing 50% on October 1,
1996 and 50% on November 1, 1996 11,272 11,272 11,272 10,525 10,525 10,525
Prudential Insurance Company of
America, at 7.61%, Maturing on
February 1, 19978,974 8,974 8,974 8,974 8,340 8,340 8,340
Provident National Assurance Company,
at 7.68%, Maturing 50% on November 1,
1996 and 50% on April 1, 1997 12,135 12,135 12,135 11,269 11,269 11,269
Lincoln National Life Insurance Company,
at 6.34%, Maturing 50% on March 1,
1997 and 50% on May 1, 1997 8,596 8,596 8,596 8,081 8,081 8,081
Bankers Trust Company, at 5.29%,
Maturing on November 1, 1994 8,132 8,132 8,132 8,172 8,172 8,172
CIGNA, at 7.72%, Open maturity 14,075 14,075 14,075 13,066 13,066 13,066
Confederation Life Insurance Company
at 6.27%, Maturing December 31, 1997 5,219 5,219 5,219
Sun Life of Canada at 6.07%, Maturing
September 1, 19975,211 5,211 5,211
Lincoln National Life Insurance Company
at 6.17%, Maturing 50% on September 1,
1997 and 50% on December 31, 1997 8,337 8,337 8,337
Pacific Mutual Life Insurance Company
at 5.67%, Maturing 50% on June 1, 1997
and 50% on October 31, 1997 7,568 7,568 7,568
</TABLE>
Page 21 of 50
<PAGE>
<TABLE>
<CAPTION>
October 31, 1993 October 31, 1992 October 31, 1991
---------------- ---------------- -----------------
Shares/ Shares/ Shares/
Units Cost Market Units Cost Market Units Cost Market
----- ---- ------ ----- ---- ------ ------ ---- ------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Bankers Trust Company at 5.4256786%,
Maturing June 30, 1995 10,245 10,245 10,245
Lincoln National Life Insurance
Company at 5.17%, Maturing 50% on
January 2, 1997 and 50% on July 2, 1997 10,154 10,154 10,154
Sun Life Insurance of America at 5.37%,
Maturing 50% on January 1, 1997 and
50% on February 1, 1998 10,046 10,046 10,046
Prudential Life Insurance Company of
America at 5.26%, Maturing 50% on
June 30, 1998 and 50% on September 30,
1998 10,044 10,044 10,044
-------- -------- --------- --------- --------- ---------
Total 306,489 306,489 285,436 285,436 251,430 251,430
-------- -------- --------- --------- --------- ---------
Fixed Interest Fund
Zero coupon bond at 7.15%,
Maturing February 15, 1994 145,256 1,704 1,777 155,753 1,684 1,827 165,373 1,653 1,788
-------- -------- --------- --------- --------- ---------
Fidelity U. S. Equity
Index Portfolio 4,804,407 76,803 84,173 4,627,592 69,720 72,977 4,162,336 53,316 62,310
-------- -------- --------- --------- --------- ---------
Fidelity Puritan Fund 1,945,547 30,144 31,479 889,133 12,785 12,857 437,661 5,778 6,127
-------- -------- --------- --------- --------- ---------
Fidelity Overseas Equity Fund 413,927 10,248 11,238
-------- --------
Fidelity Magellan Fund 987,072 66,772 74,603 575,519 38,614 37,818 312,762 19,861 21,706
-------- -------- --------- --------- --------- ---------
Fidelity Intermediate Bond Fund 121,548 1,305 1,335
-------- --------
</TABLE>
Page 22 of 50
<PAGE>
<TABLE>
<CAPTION>
October 31, 1993 October 31, 1992 October 31, 1991
---------------- ---------------- -----------------
Shares/ Shares/ Shares/
Units Cost Market Units Cost Market Units Cost Market
----- ---- ------ ----- ---- ------ ----- ---- ------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Fidelity Retirement Money
Market Portfolio 4,770,463 4,770 4,770 5,633,333 5,633 5,633 4,742,754 4,743 4,743
-------- -------- -------- -------- -------- --------
Fidelity U.S. Government
Reserve Pool 14,322,195 14,322 14,322 6,547,679 6,548 6,548 5,885,680 5,886 5,886
-------- -------- -------- -------- -------- --------
Loans to participants 15,930 15,930 14,595 14,595 12,743 12,743
-------- -------- -------- -------- -------- --------
Total investments $554,708 $578,713 $462,033 $461,819 $371,298 $385,836
-------- -------- -------- -------- -------- --------
-------- -------- -------- -------- -------- --------
</TABLE>
The trustee maintains shares for the fixed rate bank and insurance contracts at
one dollar per share. For report presentation, shares for fixed rate contracts
have been rounded to thousands.
Page 23 of 50
<PAGE>
(5) BENEFITS PAYABLE TO TERMINATED EMPLOYEES
In 1993, the Company changed its method of accounting for benefits payable
to terminated employees to conform with recently issued guidance for
accounting and reporting for defined contribution plans as promulgated by
the 1993 AICPA Audit and Accounting Guide - "AUDITS OF EMPLOYEE BENEFIT
PLANS." As a result $10,812, $586,043 and $192,035 as of October 31, 1991,
October 31, 1992 and October 31, 1993, respectively, have been reclassified
back into net assets available for benefits and presented in accordance
with the aforementioned accounting guidance.
(6) TAX STATUS
The Internal Revenue Service has issued a determination letter dated
March 10, 1987 indicating that the Plan is qualified under the Internal
Revenue Code. The Plan's management believes the Plan is being operated in
accordance with applicable rules and regulations and, thus, is exempt from
federal income taxes.
Employees participating in the Plan are subject to federal income taxes on
the balances in their accounts for the calendar year in which distributions
are made by the Trustee.
Page 24 of 50
<PAGE>
SUPPLEMENTAL SCHEDULES
Page 25 of 50
<PAGE>
JOHN DEERE SAVINGS AND INVESTMENT PLAN
ITEM 27A - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES AT OCTOBER 31, 1993
<TABLE>
<CAPTION>
Shares/ (000's Omitted)
Units Cost Market
----- ---- ------
<S> <C> <C> <C>
Deere & Company
common stock 421,970 $ 26,221 $ 32,597
-------- --------
Fixed rate bank and insurance contracts
with:
Aetna Life Insurance Company at 9.01%,
Maturing 33 1/3% in each year on
December 31, 1990 and 1992 and
January 3, 1994 4,596 4,596 4,596
CNA Insurance Company at 9.35%,
Maturing 25% in each year on
September 30, 1991 through 1994 2,693 2,693 2,693
Confederation Life Insurance Company
at 8.75%, Maturing on July 6, 1994 4,596 4,596 4,596
Principal Mutual Life Insurance Company
at 8.45%, Maturing 33 1/3% in each year
on October 1, 1991, 1993 and 1994 3,318 3,318 3,318
Metropolitan Life Insurance Company
at 9.75%, Maturing 50% in each year
on June 30, 1994 and 1995 13,648 13,648 13,648
Metropolitan Life Insurance Company
at 8.62%, Maturing 50% on September 30,
1992 and 50% on March 31, 1994 6,316 6,316 6,316
Allstate Insurance Company at 8.54%,
Maturing 50% on December 30, 1994
and 50% on April 30, 1995 7,898 7,898 7,898
New York Life Insurance Company
at 9.22%, Maturing 33 1/3% in each
year on March 31, 1992 through 1994 4,890 4,890 4,890
</TABLE>
Page 26 of 50
<PAGE>
ITEM 27A - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES AT OCTOBER 31, 1993
<TABLE>
<CAPTION>
Shares/ (000's Omitted)
Units Cost Market
----- ---- ------
<S> <C> <C> <C>
Confederation Life Insurance Company
at 9.10%, Maturing on December 31, 1994 9,076 9,076 9,076
Principal Mutual Life Insurance Company
at 9.36%, Maturing 50% on September 30,
1994 and 50% on March 31, 1995 15,447 15,447 15,447
Aetna Life Insurance Company at 8.80%,
Maturing 50% on June 3, 1996 and 50%
on July 1, 1996 9,558 9,558 9,558
Aetna Life Insurance Company at 7.47%,
Maturing 50% on February 1, 1996
and 50% on April 1, 1996 19,535 19,535 19,535
Peoples Security Life at 8.60%,
Maturing 50% on March 1, 1996
and 50% on May 1, 1996 17,575 17,575 17,575
Sun Life of Canada at 7.62%,
Maturing 50% on June 1, 1996
and 50% on September 1, 1996 20,806 20,806 20,806
Sun Life of Canada at 8.70%,
Maturing 50% on June 1, 1996
and 50% on July 1, 1996 9,021 9,021 9,021
Hartford Life Insurance Company
at 8.45%, Maturing 50% on August 1,
1995 and 50% on December 31, 1995 14,066 14,066 14,066
Massachusetts Mutual Life Insurance
Company at 9.02%, Maturing on
October 2, 1995 13,442 13,442 13,442
Provident National Assurance Company,
at 7.10%, Maturing 50% on October 1,
1996 and 50% on November 1, 1996 11,272 11,272 11,272
</TABLE>
Page 27 of 50
<PAGE>
ITEM 27A - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES AT OCTOBER 31, 1993
<TABLE>
<CAPTION>
Shares/ (000's Omitted)
Units Cost Market
----- ---- ------
<S> <C> <C> <C>
Prudential Insurance Company of
America, at 7.61%, Maturing on
February 1, 1997 8,974 8,974 8,974
Provident National Assurance Company,
at 7.68%, Maturing 50% on November 1,
1996 and 50% on April 1, 1997 12,135 12,135 12,135
Lincoln National Life Insurance Company,
at 6.34%, Maturing 50% on March 1,
1997 and 50% on May 1, 1997 8,596 8,596 8,596
Bankers Trust Company, at 5.29%,
Maturing on November 1, 1994 8,132 8,132 8,132
CIGNA, at 7.72%, Open maturity 14,075 14,075 14,075
Confederation Life Insurance Company
at 6.27%, Maturing December 31, 1997 5,219 5,219 5,219
Sun Life of Canada at 6.07%, Maturing
September 1, 1997 5,211 5,211 5,211
Lincoln National Life Insurance Company
at 6.17%, Maturing 50% on September 1,
1997 and 50% on December 31, 1997 8,337 8,337 8,337
Pacific Mutual Life Insurance Company
at 5.67%, Maturing 50% on June 1, 1997
and 50% on October 31, 1997 7,568 7,568 7,568
Bankers Trust Company at 5.4256786%,
Maturing June 30, 1995 10,245 10,245 10,245
Lincoln National Life Insurance
Company at 5.17%, Maturing 50% on
January 2, 1997 and 50% on July 2, 1997 10,154 10,154 10,154
Sun Life Insurance of America at 5.37%,
Maturing 50% on January 1, 1997 and
50% on February 1, 1998 10,046 10,046 10,046
</TABLE>
Page 28 of 50
<PAGE>
ITEM 27A - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES AT OCTOBER 31, 1993
<TABLE>
<CAPTION>
Shares/ (000's Omitted)
Units Cost Market
----- ---- ------
<S> <C> <C> <C>
Prudential Life Insurance Company of
America at 5.26%, Maturing 50% on
June 30, 1998 and 50% on September 30,
1998 10,044 10,044 10,044
--------- ---------
Total 306,489 306,489
--------- ---------
Fixed Interest Fund
Zero coupon bond at 7.15%,
Maturing February 15, 1994 145,256 1,704 1,777
--------- ---------
Fidelity U. S. Equity
Index Portfolio 4,804,407 76,803 84,173
--------- ---------
Fidelity Puritan Fund 1,945,547 30,144 31,479
--------- ---------
Fidelity Overseas Equity Fund 413,927 10,248 11,238
--------- ---------
Fidelity Magellan Fund 987,072 66,772 74,603
--------- ---------
Fidelity Intermediate Bond Fund 121,548 1,305 1,335
--------- ---------
Fidelity Retirement Money
Market Portfolio 4,770,463 4,770 4,770
--------- ---------
Fidelity U.S. Government
Reserve Pool 14,322,195 14,322 14,322
--------- ---------
Loans to participants 15,930 15,930
--------- ---------
Total investments $554,708 $578,713
--------- ---------
--------- ---------
</TABLE>
The trustee maintains shares for the fixed rate bank and insurance contracts at
one dollar per share. For report presentation, shares for fixed rate contracts
have been rounded to thousands.
Page 29 of 50
<PAGE>
JOHN DEERE SAVINGS AND INVESTMENT PLAN
ITEM 27D - SCHEDULE OF REPORTABLE TRANSACTIONS FOR THE YEAR ENDED OCTOBER 31,
1993
<TABLE>
<CAPTION>
TRANSACTION BY FUND TOTAL TOTAL NUMBER OF
OR CARRIER PURCHASES SALES PERCENT TRANSACTIONS
- - ------------------ --------- ----- ------- ------------
<S> <C> <C> <C> <C>
BLENDED INTEREST FUND $102,126,764 $73,133,607 37.9 507
DEERE & COMPANY STOCK FUND 31,693,281 44,147,662 16.4 500
PURITAN 22,391,747 5,640,331 6.1 432
MAGELLAN 41,500,357 13,230,645 11.8 473
U. S. EQUITY INDEX 17,198,100 15,362,006 7.0 474
</TABLE>
There have been no transactions with the same person involving property other
than securities and no transactions with respect to securities with a person.
Page 30 of 50
<PAGE>
Exhibit 99.4
JOHN DEERE TAX DEFERRED SAVINGS PLAN
FOR HOURLY AND INCENTIVE PAID EMPLOYEES
FINANCIAL STATEMENTS
FOR THE YEARS ENDED OCTOBER 31, 1993, 1992 AND 1991
AND
SUPPLEMENTAL SCHEDULES FOR THE YEAR ENDED OCTOBER 31, 1993
AND
INDEPENDENT AUDITORS' REPORT
* * * * * * * * * * * *
Page 31 of 50
<PAGE>
JOHN DEERE TAX DEFERRED SAVINGS PLAN
FOR HOURLY AND INCENTIVE PAID EMPLOYEES
TABLE OF CONTENTS
Page
----
Independent Auditors' Report . . . . . . . . . . . . . . . . . . . 2
Financial Statements for the Years Ended
October 31, 1993, 1992 and 1991:
Statements of Net Assets Available for Benefits. . . . . . . . 3
Statements of Changes in Net Assets Available
for Benefits . . . . . . . . . . . . . . . . . . . . . . . . 4
Notes to Financial Statements. . . . . . . . . . . . . . . . . 5
Supplemental Schedules . . . . . . . . . . . . . . . . . . . . . . 15
Item 27a - Schedule of Assets Held for Investment Purposes
at October 31, 1993
Item 27d - Schedule of Reportable Transactions for the
Year Ended October 31, 1993
Supplemental Schedules Omitted As Not Applicable:
Item 27a - Schedule of Assets Held for Investment Purposes
(Investment Assets Which Were Acquired and
Disposed of Within the Plan Year)
Item 27b - Schedule of Loans or Fixed Income Obligations
Item 27c - Schedule of Leases in Default or Classified
as Uncollectible
Item 27e - Schedule of Nonexempt Transactions
Page 32 of 50
<PAGE>
Deloitte &
Touche
Two Prudential Plaza Telephone: (312) 946-3000
180 North Stetson Avenue Facsimile: (312) 946-2600
Chicago, Illinois 60601-6779
INDEPENDENT AUDITORS' REPORT
Deere & Company:
We have audited the accompanying statements of net assets available for benefits
of the John Deere Tax Deferred Savings Plan for Hourly and Incentive Paid
Employees as of October 31, 1993, 1992 and 1991 and the related statements of
changes in net assets available for benefits for the years then ended. These
financial statements are the responsibility of the Plan's management. Our
responsibility is to express an opinion on these financial statements based on
our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audits provide a reasonable basis for our opinion.
In our opinion, such financial statements present fairly, in all material
respects, the net assets available for benefits of the Plan as of October 31,
1993, 1992 and 1991 and the changes in net assets available for benefits for the
years then ended in conformity with generally accepted accounting principles.
As discussed in Note 5 to the financial statements, the Plan changed its
accounting for benefits payable to participants who have withdrawn from
participation from the Plan and restated the 1991 and 1992 financial statements
for the change.
Our audits were conducted for the purpose of forming an opinion on the basic
financial statements taken as a whole. The supplemental schedules listed on
page 1 are presented for the purpose of additional analysis and are not a
required part of the basic financial statements, but are supplementary
information required by the Department of Labor's Rules and Regulations for
Reporting and Disclosure under the Employee Retirement Income Security Act of
1974. These schedules are the responsibility of the Plan's management. Such
schedules have been subjected to the auditing procedures applied in the audits
of the basic 1993 financial statements and, in our opinion, are fairly stated in
all material respects when considered in relation to the basic financial
statements taken as a whole.
/s/ Deloitte & Touche
- - ---------------------
DELOITTE & TOUCHE
April 1, 1994
Page 33 of 50
<PAGE>
JOHN DEERE TAX DEFERRED SAVINGS PLAN
FOR HOURLY AND INCENTIVE PAID EMPLOYEES
STATEMENTS OF NET ASSETS AVAILABLE FOR BENEFITS
OCTOBER 31, 1993, 1992 AND 1991
(IN THOUSANDS OF DOLLARS)
- - --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
1993 1992 1991
---- ---- ----
<S> <C> <C> <C>
Assets
- - ------
Investments - at market value:
Deere & Company common stock $16,891 $ 9,619 $ 10,161
Fixed rate bank and insurance contracts 52,602 41,454 31,415
Fixed Interest Fund 173 182 168
Fidelity U.S. Equity Index Portfolio 16,748 13,930 10,882
Fidelity Puritan Fund 5,679 1,861 633
Fidelity Overseas Equity Fund 2,228
Fidelity Magellan Fund 13,435 5,905 2,732
Fidelity Intermediate Bond Fund 204
Fidelity Retirement
Money Market Portfolio 1,986 1,681 611
Fidelity U.S. Government
Reserve Pool 1,940 2,107 814
Loans to participants 164 285
-------- -------- --------
Total 112,050 77,024 57,416
Contributions receivable 382 256 254
Due from brokers 351 29
-------- -------- --------
Total Assets 112,783 77,309 57,670
-------- -------- --------
Liabilities
- - -----------
Due to brokers 78
-------- -------- --------
Total Liabilities 78
-------- -------- --------
Net Assets Available for Benefits $112,783 $77,309 $57,592
-------- -------- --------
-------- -------- --------
</TABLE>
See Notes to Financial Statements.
Page 34 of 50
<PAGE>
JOHN DEERE TAX DEFERRED SAVINGS PLAN
FOR HOURLY AND INCENTIVE PAID EMPLOYEES
STATEMENTS OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS
FOR THE YEARS ENDED OCTOBER 31, 1993, 1992, AND 1991
(IN THOUSANDS OF DOLLARS)
- - --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Year Ended Year Ended Year Ended
October 31, 1993 October 31, 1992 October 31, 1991
---------------- ---------------- ----------------
<S> <C> <C> <C>
Additions
- - ---------
Investment income:
Dividends $ 1,892 $ 1,141 $ 376
Interest 3,731 3,081 2,297
-------- -------- --------
Total 5,623 4,222 2,673
-------- -------- --------
Net appreciation (depreciation)
in fair value of investments 13,398 (2,302) 5,511
-------- -------- --------
Contributions:
Employee 18,543 14,805 15,002
Employer 60 11
-------- -------- --------
Total 18,603 14,816 15,002
-------- -------- --------
Transfer from previous
trust account 4,026
-------- -------- --------
Total 37,624 20,762 23,186
-------- -------- --------
Deductions
- - ----------
Withdrawals 2,140 1,044 687
Loan cancellations 10 1
-------- -------- --------
Total 2,150 1,045 687
-------- -------- --------
Excess of additions
over deductions 35,474 19,717 22,499
Net Assets Available
for Benefits:
Beginning of year 77,309 57,592 35,093
-------- -------- --------
End of year $112,783 $77,309 $57,592
-------- -------- --------
-------- -------- --------
</TABLE>
See Notes to Financial Statements.
Page 35 of 50
<PAGE>
JOHN DEERE TAX DEFERRED SAVINGS PLAN
FOR HOURLY AND INCENTIVE PAID EMPLOYEES
NOTES TO FINANCIAL STATEMENTS
FOR THE YEARS ENDED OCTOBER 31, 1993, 1992 AND 1991
(1) DESCRIPTION OF PLAN
The following is a general description of the John Deere Tax Deferred
Savings Plan for Hourly and Incentive Paid Employees (the Plan). This
description applies to each of the years for which financial statements are
presented. See Note (2) for a brief description of the changes in the
Plan's policies and procedures as of January 1991. For a more complete
description of the Plan's provisions, participants should make reference to
the Plan agreement.
GENERAL
The Plan was established September 1, 1987 by Deere & Company (the Company)
for certain eligible employees of the Company or its participating
subsidiaries. The purpose of the Plan is to provide employees a tax
deferred method of savings and investment. It is subject to the provisions
of the Employee Retirement Income Security Act of 1974 (ERISA). Expenses
of the Plan are paid by the Company.
ELIGIBILITY
Employees are eligible to participate in the Plan if they are residents or
citizens of the United States, are regular, full time employees covered by
a collective bargaining agreement (or in a group to whom this Plan has been
extended) and have completed at least one year of service.
CONTRIBUTIONS
An eligible employee may elect to become a participant under the Plan by
filing a Tax Deferred Agreement (the Agreement) with the Company
authorizing it to reduce the participant's compensation during the period
of the employee's participation. The reduction in compensation must be not
less than $10.00 nor more than $174.00 for each payroll period.
Participants may amend or revoke their Agreements as of the first payroll
period of the month subsequent to the filing of the appropriate forms. In
addition, effective October 1, 1991, in a year in which there exists
consolidated prebonus, pretax income of the Company, a Profit Sharing
Contribution may be payable to a participant. In such event, a participant
may elect to defer all or part of their share of such contributions (in 25
percent increments) and direct that the deferred portion be deposited to
the participant's plan account at the time such profit sharing contribution
is paid to the participant.
Contributions are sent to the Plan Trustee as soon as practicable following
each payroll period and are invested by the Trustee in the appropriate
funds as specified by the participants. Monies may be held and invested by
the Trustee in short-term investment funds until designated investments
have been purchased.
All contributions are considered tax deferred under sections 401(a) and
401(k) of the Internal Revenue Code.
Page 36 of 50
<PAGE>
FUND ELECTIONS
An eligible employee enrolled in the Plan may elect to invest the
contributions in one or more investment funds.
A description of the primary investments in each fund follows:
The Deere & Company Common Stock Fund is invested in common stock of the
Company.
The Blended Interest Fund is invested in investment contracts issued by
banks and insurance companies.
The Fixed Interest Fund is invested in zero coupon bonds and high-quality
fixed interest investments.
The Fidelity U.S. Equity Index Portfolio is invested in the common stocks
of the 500 companies that make up the Standard & Poor's 500 Stock Index.
The Fidelity Puritan Fund is invested in dividend-paying common stock,
preferred stock and bonds of all types and qualities paying interest.
The Fidelity Overseas Equity Fund is invested in securities of companies
located in the Americas (other than the U. S.), the Far East and Pacific
Basin, and Western Europe.
The Fidelity Magellan Fund is invested in a wide range of U.S. and foreign
common stocks of all types of companies with growth potential.
The Fidelity Intermediate Bond Fund is invested in bonds rated BBB or
better with an average maturity of between three and ten years.
The Fidelity Retirement Money Market Portfolio is invested in debt
instruments maturing in one year or less, including high-quality commercial
paper, certificates of deposit, repurchase agreements and bankers'
acceptances.
The Fidelity U.S. Government Reserve Pool is a short-term investment fund
paying interest.
Page 37 of 50
<PAGE>
A listing of the funds and the number of participants in each fund at October
31, 1993, 1992 and 1991 follows. The number of participants shown below
includes both active participants and former employees who have elected deferred
distributions.
<TABLE>
<CAPTION>
Name of Fund Number of Participants
- - ------------ ----------------------
1993 1992 1991
---- ---- ----
<S> <C> <C> <C>
Deere & Company Common Stock Fund 4,625 4,901 4,924
Blended Interest Fund 4,751 4,503 4,146
Fixed Interest Fund 40 42 42
Fidelity U.S. Equity Index Portfolio 2,156 2,153 1,998
Fidelity Puritan Fund 1,267 644 296
Fidelity Overseas Equity Fund 436
Fidelity Magellan Fund 2,025 1,313 693
Fidelity Intermediate Bond Fund 97
Fidelity Retirement Money Market Portfolio 507 444 205
</TABLE>
LOANS
The Plan does not have a loan provision for participants. Loans
outstanding at October 31, 1993 are due from participants in the former
Funk Savings Plan for Hourly Employees which was merged with the Plan on
May 1, 1992. Those loans have maturities ranging from November 1993
through April 1997 and bear interest at rates ranging from 9.5 percent to
11.25 percent per annum. There are no loans in default.
DISTRIBUTIONS
All distributions under the Plan are lump-sum. Distributions are not
permitted while the participants are employed by the Company unless a
distribution is required to meet legal requirements. Participants who have
terminated employment with the Company or retired may elect an immediate
distribution or may defer this distribution up to age 70 1/2. The
beneficiary of a participant who died may elect a deferred distribution
payable not later than five years after the participant's death.
Distributions from the Deere & Company Common Stock Fund may be in cash or
whole shares and residual cash. Distributions from all of the other funds
are in cash.
HARDSHIP WITHDRAWALS
Effective September 1, 1988, participants in the Plan, under Internal
Revenue Service guidelines, may request hardship withdrawals for heavy and
immediate financial needs which cannot be reasonably met from other
resources of the participant.
ADMINISTRATION
The Company is Administrator of the Plan. Fidelity Management Trust
Company (Fidelity), Boston, Massachusetts, is the Plan Trustee, Investment
Manager and Recordkeeper. Prior to December 5, 1990, State Street Bank &
Trust Company, Boston, Massachusetts, was the Plan Trustee and Hewitt
Associates, Lincolnshire, Illinois, was the Recordkeeper.
Page 38 of 50
<PAGE>
(2) AMENDMENTS
Effective January 1, 1991, the Plan was adopted by John Deere Commercial
Products, Inc. (Commercial Products), a subsidiary of the Company. On that
date the Plan was amended to include the terms and provisions applicable to
and for the benefit of only the eligible hourly paid employees of
Commercial Products.
As of January 1, 1991, the Plan was amended to increase the number of
investment options to seven investment funds. Participants were permitted
to invest their existing account balances and future wage deferrals in the
Blended Interest Fund , the Fixed Interest Fund, the Deere & Company Common
Stock Fund or in one or more of four Fidelity mutual funds described in
Note (1).
Participants were provided with a brochure, dated December 1, 1990, which
outlined the benefits of the Plan, described the investment options, fund
objectives and potential risks associated therewith, and detailed the
procedures for making Plan transactions.
Effective May 1, 1992, the Plan was amended to permit participation by
eligible hourly employees of Funk Manufacturing Company (Funk), a
subsidiary of the Company. Previously, Funk maintained the Funk Savings
Plan which covered certain salaried and hourly employees. As of May 1,
1992, the Funk Savings Plan was split into two separate plans: (a) the Funk
Savings Plan for Salaried Employees and (b) the Funk Savings Plan for
Hourly Employees. Following adoption of the Plan by Funk and its approval
for merger of the Funk Savings Plan for Hourly Employees with the Plan, the
assets and liabilities of the hourly employees participating in the Funk
Savings Plan for Hourly Employees were transferred into the Plan.
As of January 1, 1993, the Plan was amended to allow participants to invest
their contributions in two additional Fidelity mutual funds - the Fidelity
Intermediate Bond Fund and the Fidelity Overseas Equity Fund.
(3) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The Plan's financial statements have been prepared on the accrual basis.
Investments in the Deere & Company Common Stock Fund, the Fixed Interest
Fund and the six Fidelity mutual funds are stated at market value. The
fixed rate bank and insurance contracts and short-term investment funds are
stated at cost which approximates market.
Interest on bank and insurance contracts and short-term investment funds is
accrued and credited to the funds at the end of each month. Dividends are
accrued in the Deere & Company Common Stock Fund as of the record date and
are reflected as an increase in the fund's net asset value on that day.
They are not reported separately as dividends. Dividends in other funds
are recorded on the day that they are declared (which is also the date of
record) and are allocated to participants' accounts on that day. Earnings,
including unrealized appreciation or depreciation in market value of
investments, are allocated daily among participants based on the ratio of
their respective account balances as of the close of the preceding day.
Page 39 of 50
<PAGE>
(4) INVESTMENTS
The cost and market value of the Plan's investments in thousands of dollars are
summarized below:
<TABLE>
<CAPTION>
October 31, 1993 October 31, 1992 October 31, 1991
---------------- ---------------- ----------------
Shares/ Shares/ Shares/
Units Cost Market Units Cost Market Units Cost Market
----- ---- ------ ----- ---- ------ ----- ---- ------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Deere & Company
common stock 218,660 $10,735 $16,891 243,509 $12,132 $ 9,619 179,844 $ 8,662 $10,161
-------- -------- -------- -------- -------- --------
Fixed rate bank and
insurance contracts with:
Principal Mutual Life Insurance
Company at 8.70%, Maturing 25%
each year on July 1, 1989 through
1992. 825 825 825
Northwestern National Life
Insurance Company at 8.81%,
Maturing 50% each year on June 30,
1990 and 1992 675 675 675
Northwestern National Life
Insurance Company at 8.92%,
Maturing 50% each year on
September 30, 1990 and 1992 800 800 800
Aetna Life Insurance Company
at 9.01%, Maturing 33 1/3% each
year on December 31, 1990 and
1992 and January 3, 1994 837 837 837 1,580 1,580 1,580 1,473 1,473 1,473
</TABLE>
Page 40 of 50
<PAGE>
<TABLE>
<CAPTION>
October 31, 1993 October 31, 1992 October 31, 1991
---------------- ---------------- ----------------
Shares/ Shares/ Shares/
Units Cost Market Units Cost Market Units Cost Market
----- ---- ------ ----- ---- ------ ----- ---- ------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Prudential Insurance Company of
America, at 9.82%, Maturing
33 1/3% each year on March 31,
1991 through 1993 657 657 657 1,216 1,216 1,216
Confederation Life Insurance
Company at 8.75%, Maturing
July 6, 1994 374 374 374 375 375 375 364 364 364
Principal Mutual Life Insurance
Company at 8.45%, Maturing
33 1/3% each year on October 1,
1991, 1993 and 1994 630 630 630 1,196 1,196 1,196 1,120 1,120 1,120
Metropolitan Life Insurance Company
at 8.70%, Maturing 50% on March 31,
1993 and 50% on September 30, 1993 1,814 1,814 1,814 1,695 1,695 1,695
Metropolitan Life Insurance Company
at 9.75%, Maturing 50% each year on
June 30, 1994 and 1995 2,189 2,189 2,189 2,051 2,051 2,051 1,899 1,899 1,899
Metropolitan Life Insurance Company
at 8.62%, Maturing 50% on September 30,
1992, and 50% on March 31, 1994 1,179 1,179 1,179 1,116 1,116 1,116 2,088 2,088 2,088
New York Life Insurance Company at
9.22%, Maturing 33 1/3% each year on
March 31, 1992 through 1994 691 691 691 1,292 1,292 1,292 1,796 1,796 1,796
Principal Mutual Life Insurance Company
at 9.36%, Maturing 50% on September 30,
1994 and 50% on March 31, 1995 3,735 3,735 3,735 3,513 3,513 3,513 3,264 3,264 3,264
</TABLE>
Page 41 of 50
<PAGE>
<TABLE>
<CAPTION>
October 31, 1993 October 31, 1992 October 31, 1991
---------------- ---------------- ----------------
Shares/ Shares/ Shares/
Units Cost Market Units Cost Market Units Cost Market
----- ---- ------ ----- ---- ------ ----- ---- ------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Aetna Life Insurnace Company at
7.47%, Maturing 50% on February 1,
1996 and 50% on April 1, 1996 3,409 3,409 3,409 3,145 3,145 3,145 2,900 2,900 2,900
Aetna Life Insurance Company at
8.80%, Maturing 50% on June 3,
1996 and 50% on July 1, 1996 2,427 2,427 2,427 2,230 2,230 2,230 1,406 1,406 1,406
Peoples Security Life at 8.60%,
Maturing 50% on March 1, 1996 and
50% on May 1, 1996 1,818 1,818 1,818 1,674 1,674 1,674 1,541 1,541 1,541
Sun Life of Canada at 8.70%,
Maturing 50% on June 1, 1996 and
50% on July 1, 1996 3,074 3,074 3,074 2,828 2,828 2,828 2,602 2,602 2,602
The Hartford Life Insurance Company
at 8.45%, Maturing 50% on August 1,
1995 and 50% on December 31, 1995 3,295 3,295 3,295 3,038 3,038 3,038 2,801 2,801 2,801
Massachusetts Mutual Life Insurance
Company at 9.02%, Maturing October 2,
1995 3,355 3,355 3,355 3,165 3,165 3,165 2,950 2,950 2,950
Lincoln National Life Insurance
Company at 6.34%, Maturing 50% on
March 1, 1997 and 50% on May1, 1997 4,308 4,308 4,308 4,050 4,050 4,050
CIGNA at 7.72%, Open maturity 1,624 1,624 1,624 1,508 1,508 1,508
Provident National Life Insurance
Company at 7.10%, Maturing 50%
on October 1, 1996 and 50% on
November 1, 1996 3,365 3,365 3,365 3,142 3,142 3,142
</TABLE>
Page 42 of 50
<PAGE>
<TABLE>
<CAPTION>
October 31, 1993 October 31, 1992 October 31, 1991
---------------- ---------------- ----------------
Shares/ Shares/ Shares/
Units Cost Market Units Cost Market Units Cost Market
----- ---- ------ ----- ---- ------ ----- ---- ------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Provident National Life Insurance
Company at 7.68%, Maturing 50% on
November 1, 1996 and 50% on April 1,
1997 3,317 3,317 3,317 3,080 3,080 3,080
Lincoln National Life Insurance
Company at 6.17%, Maturing 50% on
September 1, 1997 and 50% on
December 31, 1997 4,172 4,172 4,172
Pacific Mutual Life Insurance
Company at 5.67%, Maturing 50%
on June 1, 1997 and 50% on
October 31, 1997 4,788 4,788 4,788
Prudential Insurance Company of
America at 5.26%, Maturing 50%
on June 30, 1998 and 50% on
September 30, 1998 4,015 4,015 4,015
-------- -------- -------- -------- -------- --------
Total 52,602 52,602 41,454 41,454 31,415 31,415
-------- -------- -------- -------- -------- --------
Fixed Interest Fund
Zero coupon bond at 7.15%,
Maturing February 15, 1994 14,162 166 173 15,508 168 182 15,508 155 168
-------- -------- -------- -------- -------- --------
Fidelity U. S. Equity
Index Portfolio 955,963 15,322 16,748 883,310 13,339 13,930 726,951 9,322 10,882
-------- -------- -------- -------- -------- --------
Fidelity Puritan Fund 350,963 5,484 5,679 128,722 1,860 1,861 45,218 598 633
-------- -------- -------- -------- -------- --------
Fidelity Intermediate
Bond Fund 18,573 199 204
-------- -------- -------- -------- -------- --------
Fidelity Magellan Fund 177,760 12,083 13,435 89,862 6,011 5,905 39,376 2,486 2,732
-------- -------- -------- -------- -------- --------
</TABLE>
Page 43 of 50
<PAGE>
<TABLE>
<CAPTION>
October 31, 1993 October 31, 1992 October 31, 1991
---------------- ---------------- ----------------
Shares/ Shares/ Shares/
Units Cost Market Units Cost Market Units Cost Market
----- ---- ------ ----- ---- ------ ----- ---- ------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Fidelity Overseas
Equity Fund 82,046 2,015 2,228
-------- -------- -------- -------- -------- --------
Fidelity Retirement
Money Market Portfolio 1,985,813 1,986 1,986 1,681,263 1,681 1,681 610,771 611 611
-------- -------- -------- -------- -------- --------
Fidelity U. S. Government
Reserve Pool 1,940,307 1,940 1,940 2,106,869 2,107 2,107 814,075 814 814
-------- -------- -------- -------- -------- --------
Loans to participants 164 164 285 285
-------- -------- -------- -------- -------- --------
Total investments $102,696 $112,050 $ 79,037 $ 77,024 $ 54,063 $ 57,416
-------- -------- -------- -------- -------- --------
-------- -------- -------- -------- -------- --------
</TABLE>
The trustee maintains shares for the fixed rate bank and insurance contracts at
one dollar per share. For report presentation, shares for fixed rate contracts
have been rounded to thousands.
Page 44 of 50
<PAGE>
(5) BENEFITS PAYABLE TO TERMINATED EMPLOYEES
In 1993, the Company changed its method of accounting for benefits payable
to terminated employees to conform with recently issued guidance for
accounting and reporting for defined contribution plans as promulgated by
the 1993 AICPA Audit and Accounting Guide - "Audits of Employee Benefit
Plans." As a result $43,244, $166,255 and $154,755 as of October 31, 1991,
October 31, 1992 and October 31, 1993, respectively, have been reclassified
back into net assets available for benefits and presented in accordance
with the aforementioned accounting guidance.
(6) TAX STATUS
The Internal Revenue Service has issued a determination letter indicating
that the Plan, as adopted on February 1, 1987 and effective as of September
1, 1987, is qualified under the Internal Revenue Code. The Plan's
management believes that the Plan is being operated in accordance with
applicable rules and regulations and, thus, is exempt from federal income
tax.
Employees participating in the Plan are subject to federal income taxes on
the balances in their accounts for the calendar year in which distributions
are made by the Trustee.
Page 45 of 50
<PAGE>
SUPPLEMENTAL SCHEDULES
Page 46 of 50
<PAGE>
JOHN DEERE TAX DEFERRED SAVINGS PLAN
FOR HOURLY AND INCENTIVE PAID EMPLOYEES
ITEM 27A - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES AT OCTOBER 31, 1993
<TABLE>
<CAPTION>
(000's Omitted)
---------------
Shares/
Units Cost Market
----- ---- ------
<S> <C> <C> <C>
Deere & Company
common stock 218,660 $10,735 $16,891
--------- ---------
Fixed rate bank and
insurance contracts with:
Aetna Life Insurance Company
at 9.01%, Maturing 33 1/3% each
year on December 31, 1990 and
1992 and January 3, 1994 837 837 837
Confederation Life Insurance
Company at 8.75%, Maturing
July 6, 1994 374 374 374
Principal Mutual Life Insurance
Company at 8.45%, Maturing
33 1/3% each year on October 1,
1991, 1993 and 1994 630 630 630
Metropolitan Life Insurance Company
at 9.75%, Maturing 50% each year on
June 30, 1994 and 1995 2,189 2,189 2,189
Metropolitan Life Insurance Company
at 8.62%, Maturing 50% on September 30,
1992, and 50% on March 31, 1994 1,179 1,179 1,179
New York Life Insurance Company at
9.22%, Maturing 33 1/3% each year on
March 31, 1992 through 1994 691 691 691
Principal Mutual Life Insurance Company
at 9.36%, Maturing 50% on September 30,
1994 and 50% on March 31, 1995 3,735 3,735 3,735
Aetna Life Insurnace Company at
7.47%, Maturing 50% on February 1,
1996 and 50% on April 1, 1996 3,409 3,409 3,409
</TABLE>
Page 47 of 50
<PAGE>
ITEM 27A - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES AT OCTOBER 31, 1993
<TABLE>
<CAPTION>
(000's Omitted)
---------------
Shares/
Units Cost Market
----- ---- ------
<S> <C> <C> <C>
Aetna Life Insurance Company at
8.80%, Maturing 50% on June 3,
1996 and 50% on July 1, 1996 2,427 2,427 2,427
Peoples Security Life at 8.60%,
Maturing 50% on March 1, 1996 and
50% on May 1, 1996 1,818 1,818 1,818
Sun Life of Canada at 8.70%,
Maturing 50% on June 1, 1996 and
50% on July 1, 1996 3,074 3,074 3,074
The Hartford Life Insurance Company
at 8.45%, Maturing 50% on August 1,
1995 and 50% on December 31, 1995 3,295 3,295 3,295
Massachusetts Mutual Life Insurance
Company at 9.02%, Maturing October 2,
1995 3,355 3,355 3,355
Lincoln National Life Insurance
Company at 6.34%, Maturing 50% on
March 1, 1997 and 50% on May1, 1997 4,308 4,308 4,308
CIGNA at 7.72%, Open maturity 1,624 1,624 1,624
Provident National Life Insurance
Company at 7.10%, Maturing 50%
on October 1, 1996 and 50% on
November 1, 1996 3,365 3,365 3,365
Provident National Life Insurance
Company at 7.68%, Maturing 50% on
November 1, 1996 and 50% on April 1,
1997 3,317 3,317 3,317
Lincoln National Life Insurance
Company at 6.17%, Maturing 50% on
September 1, 1997 and 50% on
December 31, 1997 4,172 4,172 4,172
</TABLE>
Page 48 of 50
<PAGE>
ITEM 27A - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES AT OCTOBER 31, 1993
<TABLE>
<CAPTION>
(000's Omitted)
---------------
Shares/
Units Cost Market
----- ---- ------
<S> <C> <C> <C>
Pacific Mutual Life Insurance
Company at 5.67%, Maturing 50%
on June 1, 1997 and 50% on
October 31, 1997 4,788 4,788 4,788
Prudential Insurance Company of
America at 5.26%, Maturing 50%
on June 30, 1998 and 50% on
September 30, 1998 4,015 4,015 4,015
--------- ---------
Total 52,602 52,602
--------- ---------
Fixed Interest Fund
Zero coupon bond at 7.15%,
Maturing February 15, 1994 14,162 166 173
--------- ---------
Fidelity U. S. Equity
Index Portfolio 955,963 15,322 16,748
--------- ---------
Fidelity Puritan Fund 350,963 5,484 5,679
--------- ---------
Fidelity Intermediate
Bond Fund 18,573 199 204
--------- ---------
Fidelity Magellan Fund 177,760 12,083 13,435
--------- ---------
Fidelity Overseas
Equity Fund 82,046 2,015 2,228
--------- ---------
Fidelity Retirement
Money Market Portfolio 1,985,813 1,986 1,986
--------- ---------
Fidelity U. S. Government
Reserve Pool 1,940,307 1,940 1,940
--------- ---------
Loans to participants 164 164
--------- ---------
Total investments $102,696 $112,050
--------- ---------
--------- ---------
</TABLE>
The trustee maintains shares for the fixed rate bank and insurance contracts at
one dollar per share. For report presentation, shares for fixed rate contracts
have been rounded to thousands.
Page 49 of 50
<PAGE>
JOHN DEERE TAX DEFERRED SAVINGS PLAN FOR HOURLY AND INCENTIVE PAID EMPLOYEES
ITEM 27D - SCHEDULE OF REPORTABLE TRANSACTIONS FOR THE YEAR ENDED
OCTOBER 31, 1993
<TABLE>
<CAPTION>
TRANSACTION BY FUND TOTAL TOTAL NUMBER OF
OR CARRIER PURCHASES SALES PERCENT TRANSACTIONS
<S> <C> <C> <C> <C>
BLENDED INTEREST FUND $22,989,792 $11,942,945 45.3 557
DEERE & COMPANY STOCK FUND 7,739,778 9,988,917 23.0 522
PURITAN 4,339,497 790,704 6.7 369
MAGELLAN 8,436,167 2,401,101 14.0 436
U. S. EQUITY INDEX 4,369,673 3,179,077 9.8 460
</TABLE>
There have been no transactions with the same person involving property other
than securities and no transactions with respect to securities with a person.
Page 50 of 50
