MOLINE, Ill., Aug. 31 /CNW/ -- The Deere & Company Board of Directors has
approved an investment plan to establish a manufacturing and parts center in
Russia. The project will be located near Moscow, in close proximity to the
Domodevedo International Airport.
The new site will have the capability to manufacture a broad range of
John Deere products, including tractors and harvesting equipment, as well as
construction and forestry products. At the same time, Deere will consolidate
several depots into one site to improve parts and after-sales service to
"Russia will be a major contributor to meeting the world's future needs
for food and forestry products," said Samuel R. Allen, president and chief
executive officer. "John Deere's products and solutions can greatly improve
agricultural and forestry productivity through the use of advanced technology.
Therefore, our investment in this new facility helps Deere prepare to
significantly contribute to the Russian government's vision for expanding
exports from Russia in these important sectors."
Allen said today's announcement is the first step to achieve the vision
for Russia that Deere announced in July 2009 at the US-Russia Business Summit
and indicated the company's intention to significantly expand its presence in
the country, which Deere views as an important growth market for agriculture,
forestry and construction equipment.
The project announced today complements Deere's planned investment in a
national operations and training center in the Kaluga region and its existing
seeding equipment manufacturing facility in Orenburg.
"Our strategic investments reflect Deere's confidence in the potential of
the Russian market, the strength of our dedicated dealers and employees, and
the support of the Russian national and local authorities, particularly in the
Kaluga, Orenburg, and Moscow Oblasts," said Mark von Pentz, president in John
Deere's Agriculture and Turf Division.
As government policies and market conditions allow, Deere intends to
expand the company's presence in Russia in its current facilities and in other
locations around the country, von Pentz said.
John Deere has been doing business in Russia for more than 100 years and
recently has invested to expand operations, employment and sales in the
Russian Federation. Today, Deere's dealer partners span the major agricultural
and forestry regions. In total, Deere has a network of more than 70 sales
locations across the country with employment in Russia at Deere and its
independent dealerships approaching 2000 people.
Deere opened a forestry sales branch in Saint Petersburg in 2002; an
agricultural sales branch in Moscow in 2003; a manufacturing facility for
seeding equipment in Orenburg in 2005; and added construction equipment sales
to the Moscow branch operations in 2009. The company also has announced its
intention to develop an operations and training center in Kaluga.
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.
For further information:
For further information: Ken Golden, Director, Strategic Public
Relations of Deere & Company, +1-309-765-5678