Deere to Invest Approximately $100 Million in Waterloo Foundry Operation
MOLINE, Ill., June 9 /PRNewswire-FirstCall/ -- Deere & Company announced today that it will invest approximately $100 million to modernize the John Deere Foundry in Waterloo, IA with a continued focus on meeting customer requirements and improving business performance.
Deere said the modernization work will take place over the next 4 to 5 years and will allow the company to leverage more advanced casting designs and manufacturing technologies when completed.
"The enhancement of our foundry operations follows recent investments in the Waterloo Works to improve manufacturing capacity and flexibility. This integrated approach at John Deere in the design and manufacturing of large row crop and four-wheeled-drive tractors is a competitive advantage," said David C. Everitt, president, Worldwide Agriculture & Turf Division – North America, Asia, Australia, Sub-Saharan and South Africa, and Global Tractor and Turf Products.
Today's announcement follows the $125 million Waterloo Works redevelopment plan Deere announced in 2000 that streamlined both its drive-train and tractor manufacturing operations and the $187 million in investments Deere announced in 2008 to increase the manufacturing capacity of the Waterloo Works.
Today's announcement was made in conjunction with the Iowa Department of Economic Development, which voted today to provide tax incentives to Deere & Company to retain the Waterloo Foundry jobs in Iowa. Everitt said the IDED program to retain Iowa jobs was a significant factor in Deere's decision to re-investment in the John Deere Foundry.
Richard Czarnecki, global director, Large Tractor Product Line, said, "We evaluated several options for our foundry operations. This investment allows us to better serve our customers with high quality, innovative castings. The investment helps John Deere meet customer requirements for more sophisticated designs of large tractors and helps to ensure the company maintains manufacturing flexibility and responsiveness to market demands."
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.
SOURCE Deere & Company