SECURITIES AND EXCHANGE COMMISSION

                    Washington, D.C. 20549
                           _________

                           FORM 8-K

                        CURRENT REPORT


            Pursuant to Section 13 or 15(d) of the

               Securities Exchange Act of 1934


               Date of Report:  April 29, 1999
              (Date of earliest event reported)


                 D E E R E   &   C O M P A N Y
     (Exact name of registrant as specified in charter)

                           DELAWARE
       (State or other jurisdiction of incorporation)

                           1-4121
                   (Commission File Number)

                         36-2382580
               (IRS Employer Identification No.)

                    One John Deere Place
                   Moline, Illinois  61265
    (Address of principal executive offices and zip code)

                        (309)765-8000
    (Registrant's telephone number, including area code)

          _______________________________________
(Former name or former address, if changed since last report.)




Item 7.  Financial Statements, Pro Forma Financial Information
         and Exhibits. 

         (c)  Exhibits

              (99)  Press release and additional information.



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                           Signature


Pursuant to the requirements of the Securities Exchange Act of 
1934, the Registrant has duly caused this report to be signed on 
its behalf by the undersigned hereto duly authorized.




                               DEERE & COMPANY



                               By: /s/ Frank S. Cottrell 
                                   ----------------------------
                                   Frank S. Cottrell, Secretary


Dated:  April 29, 1999



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                         Exhibit Index



                                                    Sequential
Number and Description of Exhibit                   Page Number


(99)  Press release and additional information         Pg. 5




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                                                EXHIBIT 99


                         Contact:  For more information:
                                   Gregory T. Derrick
                                   Deere & Company
                                   309/765-5290
                                   e-mail: gd22315@deere.com



FOR IMMEDIATE RELEASE 


                 DEERE REDUCES VOLUME FORECAST
                DUE TO DEPRESSED FARM CONDITIONS

     MOLINE, IL  (April 29,1999) -- Deere & Company today said 
it expects the physical volume of sales for its second 
quarter, ending April 30, to be approximately 20 percent lower 
than in last year's comparable period.  The company's previous 
estimate was for a 13 percent reduction.  Deere defines 
physical volume of sales as worldwide equipment sales adjusted 
for changes in pricing and foreign currency exchange rates.

     The forecast change was attributed to reduced farm 
equipment demand caused by a continuation of depressed 
agricultural commodity prices.  According to Deere, the 
softest area of demand continues to be the large-size, high-
margin agricultural equipment segments, in which the company 
has a particularly strong position.  In spite of these adverse 
factors, Deere said its market share had increased on many 
product lines.  The company also cited unusually aggressive 
discounting by competitors in the construction equipment 
market.  

     Deere stated that it remains committed to balancing 
agricultural equipment inventories and receivables with the 
lower levels of demand and, therefore, expects to make further 
reductions in farm-machinery production schedules in the 
coming months.


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     Deere now anticipates that physical volume for fiscal 
1999 will decline by approximately 18 to 20 percent from 1998 
levels, compared with the previous estimate of 13 to 15 
percent.  The yearly estimate is based on factors that 
continue to be subject to rapid changes, the company stated.

Safe Harbor Statement 

     Safe Harbor Statement under the Private Securities 
Litigation Reform Act of 1995. Statements herein which relate 
to future operating periods, are subject to important risks 
and uncertainties that could cause actual results to differ 
materially. Forward- looking statements relating to the 
company's businesses involve certain factors that are subject 
to change, including: the many interrelated factors that 
affect farmers' confidence, including worldwide demand for 
agricultural products, world grain stocks, commodities prices, 
weather conditions, real estate values, animal diseases, crop 
pests, harvest yields and government farm programs; general 
economic conditions and housing starts; legislation, primarily 
legislation relating to agriculture, the environment, commerce 
and government spending on infrastructure; actions of 
competitors in the various industries in which the company 
competes; levels of new and used field inventories; production 
difficulties, including capacity and supply constraints; 
dealer practices; labor relations; interest and currency 
exchange rates (including the effect of conversion to the 
euro); technological difficulties (including Year 2000 
compliance); accounting standards and other risks and 
uncertainties. Economic difficulties in Asia and other parts 
of the world could continue to adversely affect North American 
grain and meat exports. The number of housing starts is 
especially important to sales of construction equipment. Sales 
of commercial and consumer equipment during the spring are 
affected by spring weather patterns. The company's outlook is 
based upon assumptions relating to the factors described 
above, which are sometimes based upon estimates and data 
prepared by government agencies. Such estimates and data are 
often revised. Further information concerning the company and 
its businesses, including factors that potentially could 
materially affect the company's financial results, is included 
in the company's most recent quarterly report on Form 10-Q and 
other filings with the Securities and Exchange Commission. 

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