Fitch Affs Rtgs Of Deere, John Deere Capital At 'A/F1'

Business Wire, July 25, 2003

Although financial measures remain somewhat weak for the rating due to poor economic conditions across the company's end markets, Deere's end profitability at current levels as clearly improved. That being said, it is not quite clear when Deere will reach normal cycle volumes. Deere remains subject to a host of industry-specific factors, including global weather, mad-cow fears, hoof-and-mouth outbreaks, currency fluctuations, trade tensions (including with the upcoming Doha talks in Cancun), U.S. and international farm policies, etc. that make the agricultural market exposed to more than just cyclical factors. Further strengthening of Deere's end markets, along with continued improving operational performance would be the principal factor in a resumption of a stable outlook.

Rating Summary

Deere & Co.

-- Senior debt 'A';

-- Commercial paper 'F1';

-- Rating Outlook Negative.

John Deere Capital Corp.

-- Senior debt 'A';

-- Subordinated debt 'A-';

-- Preferred stock 'A-';

-- Commercial paper 'F1';

-- Rating Outlook Negative.

John Deere Credit Ltd.

(Guaranteed by John Deere Capital Corp.)

-- Senior debt 'A';

-- Commercial paper 'F1';

-- Rating Outlook Negative.

John Deere Limited (Canada)

(Guaranteed by Deere & Co.)

-- Commercial paper 'F1'.

John Deere Limited (Australia)

(Guaranteed by Deere & Co.)

-- Senior debt 'A';

-- Commercial paper 'F1';

-- Rating Outlook Negative.

John Deere Credit Inc.

(Guaranteed by Deere & Co.)

-- Senior debt 'A';

-- Commercial paper 'F1'

-- Rating Outlook Negative.

John Deere Bank S.A.

(Guaranteed by John Deere Capital Corp.)

-- Senior debt 'A';

-- Commercial paper 'F1';

-- Rating Outlook Negative.

John Deere B.V.

(Guaranteed by Deere & Co.)

-- Senior debt 'A';

-- Commercial paper 'F1';

-- Rating Outlook Negative.

John Deere Finance S.A.

(Guaranteed by John Deere Capital Corp.)

-- Commercial paper 'F1';