John Deere to cut back production

22 March 2001



John Deere to cut back production

By FWi staff

GIANT US farm equipment manufacturer John Deere has announced production cutbacks in the face of slowing sales, reports the Financial Times.

The group, which did not specify the scale of cutbacks, said that it will probably report a second quarter earnings fall.

Cutbacks are expected to affect its construction equipment, grounds-care and large tractor operations.

In its agricultural sector, sales of row-crop tractors in North America has been flat, although hay, seeding and tillage equipment sales had been higher.

Analysts have suggested that foot-and-mouth disease and BSE in Europe could depress incomes and hit demand for farm equipment.

• Financial Times, 22 March, 2001, page 32