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John Deere — Good Citizenship Is Good Business

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Page 1: John Deere — Good Citizenship Is Good Business
Page 2: John Deere — Good Citizenship Is Good Business

Good citizenship is good business. In delivering advanced products and services to customers throughout the world, John Deere is mindful of

our commitment to serving global communities and society, to fair dealing in all relationships, and to minimizing environmental impacts. As outlined in this report, and in detail in our citizenship pages at www.JohnDeere.com, sustainability is an essential part of our strategies. By promoting philanthropy, environmental stewardship, employee development, and workplace health and safety, we help customers provide the food, fuel, fiber, and infrastructure needed by a rapidly growing and developing world.

Conservation of resources is the essence of environmental sustainability. During 2009, John Deere employees found more ways to conserve energy, often as part of our goal to reduce greenhouse-gas emissions. One example, our Pune, India, plant added a solar water-heating system. Many operations expanded already-effective recycling programs, and we continued to build facilities, such as our Iberica branch headquarters in Madrid, with particular attention to sustainability. We also build sustainability into our products. Improvements in our awardwinning guidance systems increase field-work efficiency and precision. In 2009, we introduced forage harvester headers that can harvest renewable energy crops such as fast-growing trees.

Citizenship is an essential part of who we are at John Deere. As stated on many occasions, how we achieve results is as important as the results we are able to achieve. Therefore, as the company serves customers at the highest level and pursues ambitious business goals, it remains focused on the broader obligation of supporting a higher quality of life in everything we do.

On behalf of the John Deere team,

Samual R. Allen

A WORD FROM THE CHAIRMAN Good Citizenship is Good Business

Page 3: John Deere — Good Citizenship Is Good Business

SAFE GAURDING THE ENVIRONMENT On to Future and Greener Pastures We know that responsible resource management is vital to our company, our employees, our customers, our neighbors, and our world. John Deere works tirelessly, to develop and offer products that are efficient and effective, and minimize the environmental impact. And we design, build, and sup- port products in offices, factories, and dealerships built and maintained with the environment in mind. It’s not a small commitment that we make to this area. Significant resources and effort are fully dedicated toward meeting our goals.

It’s what you’d expect from us. Being green is in our blood. Our operating processes reflect a unyielding commitment to protecting the our world around us. We’re always on the lookout for energy-efficient systems. Systems which sustain

air and water quality. Systems which can reduce or eliminate waste. And, when investing in new products, approaches or technologies, we give preference to those that have the most favorable environmental impact.

The goals: become more energy efficient and reduce green- house gas emissions. Back in 1972, John Deere initiated its energy efficiency program. In 2003, we added a worldwide greenhouse gas inventory program. The results: in between 1972 and 2006, our energy conservation programs reduced total worldwide greenhouse gas emissions by 63% per ton of production. To further manage the risks of GHG emissionsfrom our operations and identify new possible cost-effective opportunities, in 2007 John Deere joined the U.S. Environ-

mental Protection Agency (EPA)’s Climate Leaders program. We established a goal to reduce our global greenhouse gas emissions by 25% per dollar of revenue through 2014.

Leadership in Energy and Environmental Design, LEED, is and internationally recognized green building certification system. John Deere uses LEED criteria for our new facility construction. In fact, currently several of our office buildings have received LEED recognition. Our dealers also focuse on sustainable facilities. One example: the rebuilt dealership in Greensburg, Kansas. Achieving a LEED gold rating, for the dealership’s use of wind energy to power the facility a large portion of the facility. John Deere continually offers design guidance to dealers constructing or remodeling their facili-

ties to encourage efficient energy as well as water use. John Deere’s unparalleled dealer network and worldwide supply base reflects our desire to work with those companies which share our high ethical standards as well as fully comply with environmental, health and safety regulations. Through our focus on safe guarding the environment we have also been able to increase our profitabilty, decrease production costs, decrease energy consumption, and become more efficient in all our operations around the world. John Deere continues to be recognized as an industry leader for our environemtal stewardship practices, and have even inspired other industry leaders to implement many of the same practices. Provinggood citizenship is good business.

Page 4: John Deere — Good Citizenship Is Good Business

MAKING IT HAPPEN RESPONSIBLY Following Through On Our Commitment We say we’re committed to sustainability and environmental stewardship. And we follow through by supporting strong environmental policies throughout the company, vigilantly complying with all applicable regulations wherever we do business, considering environmental impact in all our business planning, and fostering a culture of eliminating waste.

Environmental Management System: Our environmental policy is integrated into the company’s operations through the John Deere Environmental Man- agement System. The JDEMS system includes a set of documented processes for controlling and continuously improving environmental performance based on the ISO14001 standard. John Deere manufacturing facilities, worldwide, must follow this standard. Each year, our manufacturing and parts distribution facility manager provides formal documentation of their facility’s efforts to appropriately manage risks, safeguard employees and the environment. Third party audits are also conducted at all manufacturing sites – internal audits at other sites, in order to verify compliance with the John Deere Environmental Management System standard and local legal requirements around the world.

For acquisitions, leases, and purchase of property, we always make sure steps are taken to identify and quantify any environmental risks and liabilities. A formal integration process brings allows newly acquired businesses into the John Deere Environmental Management System swiftly. Global environmental professionals attend rigorous training, to help them best understand complex legal and corporate requirements, vital company processes and procedures.Our leaders provide oversight. The Board of Director’s Corporate Governance Committee receives regular updates on strategy in conjunction with a briefing on environment, health, and safety issues. Additionally, the company Global Leadership Council, which includes our CEO and extended staff, receives an update on our strategy at least once a year, and more often if requested. The Executive Environment & Product Sustainability Council, our operations vice presidents, provides support and advocacy. They provide the people as well as financial resources for operational changes needed in order to implement new environmental strategies and achieve goals.

John Deere is consistantly awarded a position among Newsweek’s Green Rank- ings of the 500 largest U.S. companies. A list that isbased on environmental researchers’ assessments of environmental impact, green policies, as well as their reputation.

Page 5: John Deere — Good Citizenship Is Good Business

SUPPLIER ENIVORNMENTAL POLICIES & STANDARDS Always Working To Be Responsible John Deere always works to be environmentally responsible. We expect all our suppliers to do the same. So, to minimize environmental liabilities, we first consider those suppliers with a focus on sound resource management. Our supplier environmental policies, standards, systems, and program are in place to effectively audit supplier environmental com- pliance. This also includes high-risk supplier audit programs, restricted materials policies, purchased product compliance, and adherence to the Supplier Code of Conduct. One way this is all making an impact is through recycling.

As John Deere manufacturing facilities continue to step up their recycling efforts to achieve a goal of reducing landfill waste, our suppliers have to be supportive. If their products come to us in packaging or pallets which aren’t recyclable, then our goals are not met. Thankfully, we are all working together towards the same goals. Here is just one example. By stepping up, expanding its recycling program to include paper, cardboard, plastics, wood, steel, and various metals, John Deere Turf Care in Fuquay-Varina, North Carolina, has reduced the amount of waste sent to area landfills by more than 80% over the past year, from 46 lb. of landfill waste per ton of production to just 8 lb. produced.

Another example of John Deere’s commitement to completing the Recycling Loop is the recycled cable sheathing flooring at our John Deere Zweibruecken Works factory.

Page 6: John Deere — Good Citizenship Is Good Business

74.4

2009

64.1

2010

70.1

2011

Total Waste Intensity - TonnageKilograms per metric ton of production

2.6

2009

2.4

2010

2.9

2011

Hazardous Waste Intensity - TonnageKilograms per metric ton of production

56.8

2009

54.5

2010

45.6

2011

Normalized Emissions: Greehouse Gas Intensity - Revenue

Metric tons of Co₂-equivalent per Million $ of Revenue

56.8

2009

54.5

2010

45.6

2011

Normalized Emissions: Greehouse Gas Intensity - Revenue

Metric tons of Co₂-equivalent per Million $ of Revenue

1.3

2009

1.4

2010

1.5

2011

Absolute Greenhouse Gas Emissions Million metric tons of Co₂-equivalent

0.59

2009

0.52

2010

0.52

2011

Greenhouse Gas Intensity - Tonage Metric tons of Co₂-equivalent per metric ton of production

11.4

2009

11.4

2010

9.1

2011

Water Intensity - Tonnage Cubic meters per metric ton of production

66.2

2005

59.2

2011

Normalized Emissions: Greenhouse Gas Goal Progress Meters tons tons of Co₂-equivalent per

Million $ of RevenueJohn Deere pledges to reduce global

greenhouse gas emissions 25% per dollar of adjusted revenue from 2005 to 2014

(2011 revenue is adjusted to be expressed in terms of the 2005 goal baseline dollars)

Page 7: John Deere — Good Citizenship Is Good Business

PRODUCT PERFORMANCE On to Future and Greener Pastures We know that responsible resource management is vital to our company, our employees, our customers, our neighbors, and our world. John Deere works tirelessly, to develop and offer products that are efficient and effective, and minimize the environmental impact. And we design, build, and sup- port products in offices, factories, and dealerships built and maintained with the environment in mind. It’s not a small commitment that we make to this area. Significant resources and effort are fully dedicated toward meeting our goals. It’s what you’d expect from us. Being green is in our blood.

Our operating processes reflect a unyielding commitment to protecting the our world around us. We’re always on the lookout for energy-efficient systems. Systems which sustain

air and water quality. Systems which can reduce or eliminate waste. And, when investing in new products, approaches or technologies, we give preference to those that have the most favorable environmental impact.

The goals: become more energy efficient and reduce green- house gas emissions. Back in 1972, John Deere initiated its energy efficiency program. In 2003, we added a worldwide greenhouse gas inventory program. The results: in between 1972 and 2006, our energy conservation programs reduced total worldwide greenhouse gas emissions by 63% per ton of production. To further manage the risks of GHG emissionsfrom our operations and identify new possible cost-effective opportunities, in 2007 John Deere joined the U.S. Environ-

mental Protection Agency (EPA)’s Climate Leaders program. We established a goal to reduce our global greenhouse gas emissions by 25% per dollar of revenue through 2014.

Leadership in Energy and Environmental Design, LEED, is and internationally recognized green building certification system. John Deere uses LEED criteria for our new facility construction. In fact, currently several of our office buildings have received LEED recognition. Our dealers also focuse on sustainable facilities. One example: the rebuilt dealership in Greensburg, Kansas. Achieving a LEED gold rating, for the dealership’s use of wind energy to power the facility a large portion of the facility. John Deere continually offers design guidance to dealers constructing or remodeling their own

facilities to encourage efficient energy and water use. John Deere’s unparalleled dealer network and worldwide supply base reflects our desire to work with those companies which share our high ethical standards as well as fully comply with environmental, health and safety regulations. Through our focus on safe guarding the environment we have also been able to increase our profitabilty, decrease production costs, decrease energy consumption, and become more efficient in all our operations around the world. John Deere continues to be recognized as an industry leader for our environemtal stewardship practices, and have even inspired other industry leaders to implement many of the same practices. Provinggood citizenship is good business.

Page 8: John Deere — Good Citizenship Is Good Business

SUSTAINABLE AGRICULTURE Why Pioneer No-Tilling Farming Pracitces? Because, for many farmers, it just makes sense. No-till farming leaves crop residue on the soil surface, improving soil structure, conserving moisture and reducing soil erosion. Yet, it requires both sensible management and machin- ery solutions. John Deere continues to provide both the support and products no-till farmers need to make their chosen production method successful and sustainable for the short and long term.

We also provide solutions for forest management. One example is Biomass harvesting, which is an eco-friendly system of removing residual waste and overstocked, diseased or dying stands of trees. In the past, this material was typically used as fuel for fire and of little use commercially, this forest residue now offers a biomass alternative. Additionaly it provides a business solution for the logging industry: how to make new money from an old problem. John Deere has the right tools at the right time to take advantage of this unique opportunity, benefiting the harvesting industry and environment. This is justone of the many pioneering practices which has made us a revered industry leader in corporate social responsibility. The new challenges we face ahead drive our innovation and passion.

Recently, John Deere introduced a website designed to educate and inform visitors about the importance of biomass harvesting. The user-friendly web- site explains what woody biomass is, why harvesting it is important, how it works as a fuel and what types of innovative public policies are required to encourage responsible harvesting and the use of woody biomass.

“Woody biomass harvesting can provide a significant source of renewable energy, promote forest stewardship, and generate economic recovery for country forestry communities.” — Andrew Bonde John

Page 9: John Deere — Good Citizenship Is Good Business

Sustainability, helps drive Deere & Company’s success.

Page 10: John Deere — Good Citizenship Is Good Business

MAKING A LITTLE GO A LONG WAY Waste Not Want Not While much needed today, and certainly in the future not everyone has a focus on this essential resource. John Deere does. We offer products and services specifically aimed at helping our customers use and conserve precious water. In fact, John Deere Water is one of the largest water irrigation companies in the world, providing high performance plastic micro-irrigation and drip-irrigation products for nursery, agricultural, and greenhouse markets.

These irrigation methods certainly help improve yields They also improve water use efficiency. Another division of John Deere – John Deere Green Tech – provides field engineering for irrigation control equipment. In 2009 Green Tech won a new-product award for developing a generator which pro- duces electricity from water flowing through pipes. It is able to generate enough energy to power a landscape irrigation controller system or even other functions such as low-power lighting or data-logging systems.

Manufacturing locations in water-scarce regions have goals to reduce their water usage. Usage data is collected and thentracked at all manufacturing locations. And, we’re currently developing standards and guidelines for construction of new manufacturing facilities, encouraging the inclusion of water reduction technology in the initial project design.

Although food security has been significantly increased in the past thirty years, water withdrawals used for irrigationrepresent 66 percent of the total withdrawals and up to 90 percent in arid regions, the other 34 percent being used by domestic households (10 percent), industry (20 percent), or evaporated from reservoirs (4 percent). While the per capita use increases due to changes in lifestyle and as population increases as well, the proportion of water for human use is

increasing as a result. This, coupled with spatial and temp- oral variations in water availability, means that the water to produce food for human consumption, industrial processes and all the other uses is becoming scarce.

Whatever the use of freshwater, huge saving of water along with improving of water management is possible. Just about everywhere, water is wasted, and as long as people are not facing water scarcity, they feel access to water is an obvious and natural thing. With urbanization and lifestyle changes, water consumption is bound to increase. However, changes in food habits, for example, might help reduce the problem, knowing that growing 1killogram of potatoes requires only 100 litres of water, whereas 1 killogram of beef will typically require 13 000 litres of water. Only when we recognize theproblems of tommorrow can begin to find solutions.

While much needed today, and certainly in the future, not everyone has a focus on this essential resource. John Deere does.

Page 11: John Deere — Good Citizenship Is Good Business

Just one of the many benefits for famers who practice using no-till farming practices is a substantial overall reduction in energy con- sumption. Several independent studies have shown that energy consupmtion was reduced by an astonishing 75 percent. Further benefits for farmers who utilize no-till farming practices include higher crop production, reduced production costs, and reduction of the amount of pestisides.

Lowering Energy Consumption

Page 12: John Deere — Good Citizenship Is Good Business

MAKING LIFE EASIER It’s Amazing What Technology Can Do For You Simpler. More productive. And save you time and money. At John Deere, we know that the best technology also helps the environment. For example, by using GPS (global positioning systems), we can increase machine efficiency and productivity in many operations. Besides helping to steer equipment, our precision GPS technology can help control equipment functions from field preparation through harvest. Seeding equipment can also use GPS to control where to seed, helping prevent wasteful overlap or planting through water- ways. Machines that apply crop protection products and fertilizers use GPS with other machine intelligence technology also. That leads to more precise application of crop care products. Less waste, less environmental impact.

Combines use machine intelligence features that deliver automatic feed rate control, assisted steering for higher efficiency and less fuel consumption. Of course, saving time in the field also dramatically reduces fuel consumption. In 2009, we introduced its new Load Command system that can reduce the time needed to load a self-propelled sprayer from as much as 15 minutes to as little as 3 minutes. Over a growing season, that’s hours of field time saved. Gallons of fuel saved.

Our forestry equipment, machines are designed for maximum productivity and minimal environmental disturbance. Forestry skidders with lockup torque converters make better use of available horsepower. And while John Deere machines use fuel more efficiently, less fuel is needed overall for operations. For instance, booms on some of our forestry machines can extend beyond 30 feet in many cases, reducing machine movement, requiring less fuel. The 844K Loader features ride control to navigate jobsites more quickly. And intelligent shifting technology matches clutch engagement to the load. Many of our machines have Total Machine Control, an electro-hydraulic system which automates many functions.  

Greater productivity. Less time at the task. More fuel efficiency. All born of John Deere technology and a commitment to enhance, improve, and protect your life and your environment.

Page 13: John Deere — Good Citizenship Is Good Business

CLOSE ATTENTION ON ALL THE DETAILS That’s Where All Safety StartsJohn Deere takes safety very seriously … for the sake of our employees, dealers and customers, and those around them. We are continually moving the industry ahead with product safety advancements and training. John Deere is setting the standard for workplace safety and even promoting employee health and wellness outside of the workplace. Safety is every- body’s responsibility. We are making it easier for everyone to do their part.

A focus on product safety, and paying attention to all the details. That’s where product safety starts. Everyone of our factory’s product safety committees and our engineers are involved in all product improvement and development. But managing risk is a team effort. If you’re operating equipment

or are around it, you’re part of that team. With a focus on employee safety — John Deere is committed to providing a safe workplace. This commitment has resulted in John Deere being regularly recognized as a leader in this area. Although commitment goes beyond the workplace.

Those linked to the land, farmers and ranchers, contractors and builders, loggers, homeowners, turf-care professionals know that whenever they turn the key on their John Deere machine, they are taking on a lot of responsibility. Respon- sibility for their well-being, as well as all those around them. Managing risks is a team effort, and if you are operating or around equipment, you’re part of that team. Operators must be fully aware of how to operate the machine safely. Know

the operator’s manual. Ask your John Deere dealer anytime about training for operators, educational resources, as well as support for safety programs and events. Stay alert. Make sure to be familiar with the safety equipment and features, how to use it, and how it can help you. And you need to be aware of who and what’s around you.

Of course, we’re a big part of that team as well. John Deere takes product safety very seriously and it’s a common thread through all products we design and build. In fact, we actively takes the lead in developing equipment safety standards all around the world. Examples include our roll-over protective structures, lighting and marking for agricultural equipment,safety of agricultural auto-guidance systems, safety of com-

plex electrical/electronic control systems, safety of chemical application equipment, and the reverse implement operation on riding lawn equipment.

Attention to detail. That’s where all product safety starts. At every factory, product safety committees and engineers are involved in product improvement and development. And, they conduct comprehensive safety reviews and testing of all products. Also, an enterprise product safety organization works closely with factory safety committees and especially during product technology development. Projects are often coordinated between factories. Processes are consistent and effective, and up-to-date on safety developments.

Page 14: John Deere — Good Citizenship Is Good Business

ALWAYS SAFE & SOUND John Deere Is Commited To A Safe Work Place

That commitment has resulted in John Deere being regularly recognized as a leader in this area. But the commitment goes beyond the workplace. We are focused on each employee’s health and welfare … on and off the job. Because our employees’ health can impact performance, as well as the performance of co-workers. So, through health assessments, training, and support, John Deere looks to enhance the well-being of everyone of our employees. Safety is every- one’s responsibility and part of everyone’s job. The difference at Deere is that we constantly work to reduce risk by concentrating any potential issues that may arise before someone gets hurt.

The keys to Deere’s success are our Continuous Safety Improvement Teams. Over 400 teams in the U.S. alone; more than 800 worldwide. At every John Deere factory, team members – wage, management, technicians, engineers – work together to establish quarterly goals, handle risk assessments, develop recommendations, and follow through to make approved changes. Hundreds of safety projects are tackled each and every year, and their results are sharedthroughout the company.

Every John Deere facility has safety goals. It’s a management imperative. But having goals is not quite enough. Every employee must commit to those safety goals, as well. And, specific safety metrics are reported monthly. The results? Major changes to factory floors, improved higher ergonomic workstations, and even improved training and safety communications have reduced injury frequency and severity rates. In fact, our facilities continue to be among the safest in the world. Out of 116 Deere locations, 69 went without a lost-time injury during all of 2010. And thirty-four of those have exceeded 1,000,000 hours without a lost-time case. This shows a true dedication to safety from all John Deere employees.

Page 15: John Deere — Good Citizenship Is Good Business

STAYING STRONG IS A MUST Health and Wellness Programs

Health and wellness programs are staple ingredients in John Deere’s activities day to day. Risk assessments and coaching help employees maintain, improve, as well as manage their personal health and worklife needs. At many of our facility locations, occupational health and industrial hygiene pro- fessionals work to evaluate potential exposures to hazardous materials, manage employee injuries and illnesses while also protecting the confidentiality of medical information. Deere has also outlined procedures for dealing with extraordinary health risks such as pandemics. Factories and other Deere facilities have local response plans, as well. All this is done globally. We have established health programs that address specific and varying issues and infrastructures from country to country and culture to culture.

4.27

2009

6.94

2010*

3.99

2011

Lost-Time Injury Severity RateDays lost per 200,000 hours worked

0.18

2009

0.26

2010*

0.19

2011

Lost-Time Injury Frequency RateInjuries per 200,000 hours worked

*2010 metrics include 20 new reporting sites

Page 16: John Deere — Good Citizenship Is Good Business

John Deere U.S. & Canada

John Deere Asia Pacific

John Deere Mexico

Finance & Insurance

Services

John Deere S. America

Electronic Equip./Computer

John Deere Europe

Apparel

Aircraft

Printing

Lawn & Garden Equipt. Mfg.

Mining

Telecommunications

Grain Milling

Furniture Mfg.

Motor Vehicles

Food Mfg.

Construction Machinery Mfg.

Construction

Farm Machinery & Equipt. Mfg.

Forestry & Logging

Warehouse & Storage

Utilities

Trucking

Iron & Steele Foundries

0.05

0.10

0.11

0.20

0.30

0.39

0.40

0.41

0.70

0.90

1.00

1.00

1.00

1.20

1.20

1.30

1.40

1.40

1.40

1.50

1.60

1.80

1.80

2.10

2.40

2.60

John Deere Injury and Illness Rates Compared to U.S. Selected Industries

Frequency rate: cases with days away from work per 200,000 emlpoyee hours worked

(Sources: John Deere; U.S. Bureau of Labor Statistics)

Page 17: John Deere — Good Citizenship Is Good Business

A LITTLE RECOGNITION John Deere Facilites Regularly Earn Safety Awards In 2011, John Deere units in the United States, for example, earned 52 safety awards from the U.S. National Safety Council. Included are 48 Deere units that earned the organization’s Occupational Excellence Achievement Award, which recognizes units that have no fatalities and report injury and illness rates that are less than half the average of organizations whose employees do the same kind of work. The rates are calculated by the U.S. Bureau of Labor Statistics using 2010 safety performance figures.

Three units earned the National Safety Council Industry Leader Award: John Deere Waterloo (Iowa) Works, the North American Parts Distribution Center, Milan, Illinois, and Deere & Company World Headquarters in Moline, Illinois. The award recognizes the top 5% of recipients of the Occupational Excellence Achievement Award.

John Deere Turf Care, Fuquay-Varina, North Carolina, also earned the Safety Leadership Award for five consecutive years without an occupational injury or illness resulting in lost employee work days or death. The National Safety Council is a nonprofit public service organization that works to educate and influence people to prevent accidental injury and death.

John Deere feels honored to be recognized for our efforts to create and main- tain a safe work environment at all our facilities around the world. We simply strive to give our employees the safest work environment, and continualy look to improve all areas of our facilities so that the entire John Deere family will continue to strive and prosper.

Page 18: John Deere — Good Citizenship Is Good Business

AMERICAN HERO COMPANY Our Values Continue To Be Award & Praised To earn the “American Hero” designation a company must score at least 380 out of a possible 500 on our proprietary “values-first” scoring system. The company analysis includes over 280 questions grouped under the five (5) critical valuesof Integrity, Humility, Diligence, Caring and Courage.

Within these four values are fifteen (15) categories including key aspects such as servant leadership, fiscal responsibility, support of family, employee relations, community relations, and others. John Deere is very proud to be ranked 41st (out of 124) among the other the industry leaders who share in our core values & commitment to exellence. Being awarded with this honor only makes us more passionate about our growing philanropy and citizenship efforts. Every year we continue to be acknowledge and awarded for our founders core values established in 1837.

Of the thousands of public companies considered for these pretigous awards, less than five percent of them are desig- nated as American Hero Companies. Each year the number varies as new companies are added and removed, however normally there are between 100-125 awarded.

Intergrity 84%1. Mission/Vision/Values in Corportate Culture 46/50 2. Mission/Vision/Values Statement 25/303. Managment’s Commitment to Values 17/304. Awards and Recognition 30/30

Humility 83%1. Servant Leadership 28/402. Teamwork 30/30

Intergrity 82%1. Fiscal Responsibility/Giving 70/95 2. Continuos Improvement 18/20 3. Quality/Life Enhancing Products 23/25 4. Environmental Responsibilties 20/20

Intergrity 77%1. Employee Relations 44/552. Support of Family 21/35 3. Community Relations 19/20 4. Customer Relations 16/20

Page 19: John Deere — Good Citizenship Is Good Business

DEERE UNITS DOING IT RIGHT Earned National Saftey Council AwardsOCCUPATIONAL EXCELLENCE ACHIEVEMENT AWARD MANUFACTURING OPERATIONS• Coffeyville Works• Commercial Products, Augusta• Cylinder Group, Moline• Davenport Works• Deere-Hitachi Specialty Products, Langley• Deere-Hitachi, Kernersville• Des Moines Works• Dubuque Works• Engine Works, Waterloo• Harvester Works• Horicon Works• John Deere Water – San Diego

• John Deere Water – San Marcos• John Deere Water – Valdosta• Ottumwa Works• Phoenix International• Power Products, Greeneville• John Deere Reman, Edmonton• John Deere Reman, Springfield• Seeding Group, Moline• Seeding Group, Valley City• Thibodaux• Turf Care• Waterloo Works

SALES, MARKETING, OFFICE, & R&D LOCATIONS • Construction Equipment Company, Moline• Grimsby Sales Branch• John Deere Cary Office• John Deere Credit, Canada• John Deere Credit, Johnston• John Deere Credit, Madison• John Deere Intelligent Solutions Group, Torrence• John Deere Intelligent Solutions Group, Urbandale• John Deere Landscapes, Alpharetta• John Deere Lenexa Office and Training Centers• SouthEast Engineering Center• Deere & Company World Headquarters

PARTS DISTRIBUTION LOCATIONS • Atlanta Regional Parts Distribution Center• Dallas Parts Depot• Denver Parts Depot• Grimsby Regional Parts Distribution Center• Lathrop Regional Parts Distribution Center• North American Parts Distribution Center, Milan• Portland Regional Parts Distribution Center• Regina Regional Parts Distribution Center• Sunbelt Outdoor Power Products, Charlotte• Syracuse Parts Depot

SAFETY LEADERSHIP AWARD• John Deere Turf Care

Page 20: John Deere — Good Citizenship Is Good Business

JOHN DEERE PHILANTHROPY A Great Company Is Also A Great Citizen Throughout our history, we’ve embraced the understanding we have a responsibility to support and enrich the quality of life in communities where we live and work. Education and training … the keys to a bright future for our company, our employees, our customers, our world. That’s why John Deere is proud to support educational programs. We partner with accredited colleges and universities. And we support select none profit organizations or events that align with our core values, business direction and objectives. All in order to pro- vide learning opportunities for future generations of leaders, inventors, and skilled employees.

The John Deere Foundation supports scholarships, faculty development, and key programs at more than 40 colleges and universities in the United States. We focus our efforts on fields of science, technology, engineering, mathematics, and business. Our support for education reaches around the world, as well. In Germany, for instance, Deere supports an internship program designed to acquaint new young Russian farmers with western technology. And we provide assistance to an annual gathering of young scientists from all over the world who meet to discuss their Masters or Ph.D. theses on issues related to American studies.

Formerly known as the Future Farmers of America, FFA is a national youth organization, which has more than 500,000 student members. FFA prepares members for leadership and careers in the science, business, and technology of todays agriculture. John Deere is proud to be one of the largest and longest continuous sponsors of National FFA, supporting the organization for more than 60 years. We support National FFA programs such as LifeKnowledge, Consortium, National Officers Leadership Training, Forest Management Proficie-ncy Award, the Turfgrass Management Proficiency Award, the Farm Business Management Career Development Event, and the Ornamental Horticulture Specialist Award. Deere is an active, long-time supporter of Junior Achievement (JA).JA works towards teaching students about entrepreneurship, workforce readiness, and financial literacy through hands-onprograms. We support programs in communities where we have large operating units and a major employee presence.

Page 21: John Deere — Good Citizenship Is Good Business

HUNGRY TO COMBAT WORLD HUNGER Our goal: to help eliminate world hunger That’s why the John Deere Foundation supports agricultural development for sustainable food supplies and economic growth in underdeveloped countries. In 2005, the foundation added Solutions for World Hunger as an area of focus. And in 2008, we started working with Opportunity International, providing increased access to financial services for small-holder farmers and small busi- ness owners in Africa. In the U.S., we’ve helped start BackPack Programs to supply supplemental food for elementary school children.

A large number of farmers in Kenya, Tanzania, Mali, and Burkina Faso live in poverty, struggling to cultivate tiny parcels of land. Kickstart gives them hope. The program develops and sells low-cost equipment, primarily for irrigation pumps, to these subsistence farmers. This small investment often means the difference between being able to barely growing enough to feed a family and growing enough to operate a profitable commercial farm. By 2010, KickStart had helped more than 100,000 families (about 500,000 people) start profitable commercial farm businesses. Today, these families enjoy economic stability. And, they also provide sustainable, highly nutritious food supplies to those in need who also live in the area.

In 2005 and again in 2008, the John Deere Foundation made three-year, $3 million grants to KickStart. With our support, KickStart can get the pumps into farmers’ hands at a price they are able to afford. The John Deere Founda- tion provides annual support to the World Food Prize. This award is given to those whose work has been able to significantly improved availability, food quality, or quantity . The World Food Prize organization is an international leader in promoting research & collaboration to eliminate hunger and advance human development.

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OUR EFFORT TO CULTIVATE SUPPORT Supporting the Food Resource Bank

In the U.S., community “growing projects” raise a crop or other marketable agricultural resources. Proceeds are given to 15 FRB member organizations worldwide. They, in turn, help support individuals or small groups wishing to establish small commercial farming operations or other ag-based businesses. Many of these farms or businesses work in some of the world’s poorest areas. And their goals are simple: produce enough to support an entire community; produce extra food to share; barter or sell food to purchase basic medicines and staples; send all children to school. Through this work, individuals and their communities can ultimately become self-sufficient and food-secure. In 2010, the John Deere Foundation donated $80,000 to help FRB support its growing programs in the U.S. FRB also uses some of the grant money to match John Deere dealer donations to growing projects in many local communities. In 2008, FRB matched 31 dealer donations, totaling $33,000. The proceeds from these growing programs have exceeded $500,000, all of which is being used for international agricultural development.

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Thanks To John Deere Things are Looking Up for Hungry Students.

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MORE THAN JUST FOOD FOR THOUGHT The John Deere Foundation’s BackPack Program

The John Deere Foundation partners up with a variety of local food banks and school administrators in six John Deere comunities to help children through the “BackPack Program.”The concept was developed by Feeding America, a leading hunger-relief charity in the U.S. Chronically hungry elementary school students whose main meals may come as free or reduced-price lunches they’re distributed at school are sent home each Friday afternoon with a bag of child friendly food. Most of the items are ready-to-eat, so that children can prepare them on their own on weekends during the school year. This program began when teachers and administrators realized hunger was affecting kids’ ability to learn, and many kids spent their weekends hungry. Through grants to com- munity food banks, the Foundation now sponsors BackPack Programs in Des Moines, Dubuque, Ottumwa, and Waterloo Iowa; the Quad Cities as well as Greenville, Tennesse. Helping hungry students become more succesfull. Just like you, John Deere understands the need for economic growth and how supporting community development can help make sustainable and lasting impacts. That’s why the John Deere Foundation works with local chambers of commerce and development groups to leverage the strengths of our com- munities, making them more attractive to potential employers. By creating a thriving business environment with new growing companies and increased employment opportunites ultimately will improve the lives of all who live in the region.At John Deere, we are proud to promote community development by contributing our time, leadership and dollars to a variety of worthy not for profit organizations and programs in the U.S. communities in which we have a presence.