MOLINE, IL (March 23, 2006) — Deere & Company (NYSE: DE) today announced the expiration, as of 12:00 midnight, New York City time, on March 22, 2006, (the "Expiration Date") of its offer (the "Tender Offer") to purchase a portion of its debt securities subject to a total purchase price of $500 million, excluding accrued interest, fees and expenses (the "Maximum Tender Offer Amount"). According to information provided by Global Bondholder Services Corporation, the Depositary and Information Agent for the Tender Offer, an aggregate principal amount of $652,544,000 of the notes listed below were validly tendered and not validly withdrawn on or before the Expiration Date. The full terms and conditions of the Tender Offer are set forth in Deere's Offer to Purchase dated February 23, 2006 (the "Offer to Purchase").
The table below identifies the principal amount of each series of notes validly tendered in the Tender Offer and the principal amount that Deere has accepted for purchase under the terms of the Offer to Purchase. The amounts of each series of notes to be purchased in the Tender Offer were determined based on the aggregate purchase price of each series of notes validly tendered, and not validly withdrawn, on or before the Expiration Date, in accordance with the priorities identified in the column "Acceptance Priority Level" in the table below and subject to the Maximum Tender Offer Amount and, in the case of the 7.85% Debentures due 2010, to a maximum principal amount purchased of $250,000,000.
Title of
Security |
Acceptance Priority Level |
Principal Amount Outstanding |
Principal Amount Tendered
|
Principal Amount Accepted for Purchase
|
Final Proration Factor
|
| 8.95% Debentures due 2019 |
1 |
$200,000,000
|
$143,993,000 |
$143,993,000 |
100% |
| 7.85% Debentures due 2010 |
2 |
$500,000,000
|
$194,318,000 |
$194,318,000 |
100% |
| 8½% Debentures due 2022 |
3 |
$200,000,000 |
$99,263,000 |
$94,507,000 |
95.2% |
| 8.10% Debentures due 2030 |
4 |
$250,000,000 |
$110,694,000 |
$0 |
0.0% |
| 7.125% Notes due 2031 |
5 |
$300,000,000 |
$104,276,000 |
$0 |
0.0% |
Based on the aggregate purchase price of notes tendered on or before the Expiration Date and the terms of the Tender Offer, Deere will purchase all tendered 8.95% Debentures due 2019, all tendered 7.85% Debentures due 2010, $94,507,000 of the tendered 8 1/2% Debentures due 2022 (representing approximately 95.2% of all tendered 8 ½% Debentures due 2022), none of the tendered 8.10% Debentures due 2030, and none of the 7.125% Notes due 2031. The consideration for the notes accepted for purchase, as calculated by the Joint Dealer Managers and announced on March 20, 2006, plus accrued and unpaid interest will be paid by Deere on March 24, 2006. Notes that have been tendered but not accepted will be promptly returned to the tendering parties.
J.P. Morgan Securities Inc. and Merrill Lynch, Pierce, Fenner & Smith Incorporated served as Joint Dealer Managers and Global Bondholder Services Corporation served as the Depositary Agent and Information Agent for the Tender Offer.
John Deere is the world's leading manufacturer of agricultural and forestry equipment; a leading supplier of equipment used in lawn, grounds and turf care; and a major manufacturer of construction equipment. Additionally, John Deere manufacturers engines used in heavy equipment and provides financial services and other related activities that support the core businesses.
For further information, investors
and brokers should call:
Global Bondholder Services Corporation
866-612-1500
Or
J.P. Morgan Securities Inc.
866-834-4666
Or
Merrill Lynch & Co.
888-654-8637
For general information, learn more
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