UNITED STATES

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: November 21, 2006

(Date of earliest event reported)

DEERE & COMPANY

(Exact name of registrant as specified in its charter)

DELAWARE		1-4121		36-2382580
(State or other jurisdiction of incorporation)		(Commission File Number)		(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.)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Items 2.02 and 8.01 Results of Operations and Financial Condition and Other Events.

The following consists of Deere & Company’s press release dated November 21, 2006 concerning fourth-quarter of fiscal 2006 financial results and supplemental financial information filed as Exhibit 99.1 to this report and incorporated by reference herein.

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits

(99.1) Press release and supplemental financial information (Filed herewith)

Items 2.02 and 7.01 Results of Operations and Financial Condition and Regulation FD Disclosure (Furnished herewith)

The attached schedules of Other Financial Information (Exhibit 99.2) and Fourth Quarter 2006 Earnings Conference Call information (Exhibit 99.3) are furnished under Form 8-K Items 2.02 and 7.01. The information is not filed for purposes of the Securities Exchange Act of 1934 and is not deemed incorporated by reference by any general statements incorporating by reference this report or future filings into any filings under the Securities Act of 1933 or the Securities Exchange Act of 1934, except to the extent Deere & Company specifically incorporates the information by reference.

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/ Marc A. Howze
		Marc A. Howze
		Secretary


Dated: November 21, 2006

Exhibit 99.1

NEWS RELEASE – November 21, 2006

For more information:

Ken Golden

Director, Strategic Public Relations

309-765-5678

DEERE REPORTS HIGHER FOURTH-QUARTER RESULTS; NET INCOME REACHES $277 MILLION

• Quarterly net income rises 19%; earnings per share up 25%.

• Full-year earnings reach record level.

• Asset-management efforts show further progress, contributing to strong performance.

MOLINE, Illinois (November 21, 2006) — Deere & Company today announced worldwide net income of $277.3 million, or $1.20 per share, for the fourth quarter ended October 31, compared with $232.8 million, or $0.96 per share, for the same period last year. Income from continuing operations, which excludes the company’s discontinued health-care business, was $276.7 million, or $1.20 per share, for the quarter, versus $220.7 million, or $0.91 per share, last year.

For the full year, net income was $1.694 billion, or $7.18 per share, compared with $1.447 billion, or $5.87 per share, a year ago. Full-year income from continuing operations was $1.453 billion, or $6.16 per share, compared with $1.414 billion, or $5.74 per share, last year.

Worldwide net sales and revenues increased 3 percent for the quarter, to $5.118 billion, and increased 5 percent for the year, to $22.148 billion. Net sales of the equipment operations were $4.486 billion for the quarter and $19.884 billion for the year, compared with $4.486 billion and $19.401 billion for the respective periods of 2005.

“Our strong results for the final quarter of 2006, and for the full year, provide mounting evidence of our success in building a fundamentally more agile and profitable business, while introducing advanced new products and services to a growing global customer base,” said Robert W. Lane, chairman and chief executive officer. “We are

particularly encouraged that the company achieved record net income for the year and strong cash flow in the face of market conditions that have been relatively weak in many parts of the world.”

Summary of Operations

Net sales of the worldwide equipment operations were essentially unchanged for the quarter and 2 percent higher for the full year. Included were positive effects for currency translation and price changes of 4 percent for the quarter and 3 percent for the year. Equipment sales in the U.S. and Canada were 6 percent lower for the quarter and 3 percent higher for the year. Net sales outside the U.S. and Canada increased by 14 percent for the quarter and 2 percent for the year, including a positive currency-translation effect of 2 percent for the quarter and a negative effect of 1 percent for the year.

Deere’s equipment divisions reported operating profit of $276 million for the quarter and $1.905 billion for the year, compared with $224 million and $1.842 billion for the same periods last year. Higher operating profit for the quarter was primarily the result of improved price realization and lower warranty expenses, partially offset by higher selling and administrative expenses, increased raw-material costs, and the impact of lower shipping and manufacturing volumes. Operating profit for the year was higher due to improved price realization and lower retirement-benefit costs. Partially offsetting these factors were increased raw-material costs, higher selling and administrative expenses, the impact of lower shipping volumes, and increased spending for research and development.

Deere’s ongoing emphasis on rigorous asset management is continuing to yield positive results. Trade receivables and inventories at the end of the quarter were $4.995 billion, or 25 percent of previous 12-month sales, compared with $5.253 billion, or 27 percent of sales, a year ago. With the company’s fourth-quarter performance, trade receivables and inventories in relation to sales have now declined for 26 consecutive quarters as compared with the same quarter of the prior year.

Financial services reported net income of $87.5 million for the quarter and $584.3 million for the year versus $92.1 million and $345.0 million last year. Income from continuing operations was $86.9 million for the quarter and $343.7 million for the year, versus $80.0 million and $312.2 million a year earlier. For both periods, income from continuing operations benefited from growth in the portfolio, partially offset by a

higher provision for credit losses. Narrower financing spreads had a negative effect on income from continuing operations in fiscal 2006.

Income from discontinued operations was $0.6 million for the quarter and $240.6 million for the year versus $12.1 million and $32.8 million last year. Income from discontinued operations in 2006 relates primarily to this year’s gain on sale of the company’s health-care operations.

Company Earnings Outlook

Deere’s equipment sales are projected to be roughly flat for the full year and to increase approximately 5 percent for the first quarter of 2007. Consistent with ongoing asset-management initiatives, production levels are expected to be down about 4 percent for both the year and first quarter. Construction and forestry production in the U.S. and Canada is expected to be down about 16 percent in the quarter. Based on the above, net income is forecast to be around $1.325 billion for the year and in a range of $150 million to $175 million for the first quarter.

Company Summary

In addition to delivering record earnings in 2006, Deere also funded an aggressive global growth plan, returned $1.6 billion to investors through share repurchases and dividends, and achieved a further reduction in trade receivables and inventories. According to Lane, the company is now more agile and better able to rapidly adjust equipment production in response to higher demand whenever it occurs. “Our focus on rigorous asset management is receiving strong support from major investments at key manufacturing locations, such as the redevelopment of our Waterloo tractor operations,” Lane stated. “We are more willing, and increasingly confident of our ability, to boost production as demand grows as a result of, among other catalysts, the exciting prospects for global agriculture. In that way, we can continue winning new customers with exceptional products and services, while producing financial results that will be rewarding to investors.”

* * *

Equipment Division Performance

Agricultural. Division sales decreased 1 percent for the quarter and 3 percent for the full year. Sales for the quarter and for the year were down as a result of lower shipments, partially offset by improved price realization. Operating profit was $143

million for the quarter and $882 million for the year, compared with $57 million and $970 million for the periods last year. Quarterly profit was higher primarily as a result of improved price realization, lower warranty costs, and lower retirement-benefit costs. These factors were partially offset by higher selling and administrative expenses and the negative effect of lower shipments and production volumes. Operating profit for the year was down mainly due to the impact of lower shipments and production volumes and higher selling and administrative expenses, partially offset by improved price realization and lower retirement-benefit costs. The increased selling and administrative expenses for both periods were attributable in large part to the company’s growth initiatives.

Commercial & Consumer. Sales declined 1 percent for the quarter due to lower equipment sales but were up 8 percent for the year, primarily due to higher sales in the landscapes operations. The division had an operating loss of $3 million for the quarter and operating profit of $221 million for the year, compared with an operating loss of $10 million and operating profit of $183 million for the same periods of 2005. The quarter’s improvement was mainly due to improved price realization, partially offset by margin lost as a result of lower shipments. For the year, operating profit moved higher primarily due to the improved profitability of the landscapes operations and lower retirement-benefit costs.

Construction & Forestry. Sales rose 3 percent for the quarter and 10 percent for the year. Operating profit was $136 million for the quarter and $802 million for the year, compared with $177 million and $689 million last year. Quarterly operating profit decreased mainly due to higher raw-material costs and expenses to close a facility in Canada, partially offset by improved price realization. The full-year operating profit improvement was primarily due to improved price realization, margin on increased shipments, and efficiencies from stronger production volumes. Partially offsetting these factors were higher material costs and the Canadian plant-closure expenses.

Market Conditions & Outlook

Agricultural. Worldwide farm-economic conditions remain quite promising. Demand for crops is benefiting from a global population that is gaining in both size and affluence, and from a sharp rise in the use of renewable fuels in the U.S. and other parts of the world. Prices for key farm commodities have surged in recent weeks and worldwide carryover stocks for wheat and corn are at 30-year lows in relation to consumption. Nevertheless, fiscal 2007 sales in the U.S. and Canada are expected to

get off to a slow start as a result of higher-than-desired used-equipment inventories and customer uncertainty regarding the direction of U.S. farm legislation. In addition, farmers’ concerns over the sustainability of the recent commodity-price rally, and with respect to input costs, are expected to weigh on 2007 sales. Based on these factors, Deere projects that industry retail sales in the U.S. and Canada will be roughly flat for the year.

In Western Europe, industry retail sales are forecast to be flat to down slightly for the year due to the effect of a higher value-added tax in Germany and further farm consolidation. Following the sharp downturn of the last two years, industry sales in South America are expected to be down about 10 percent for 2007. The forecast reduction is primarily related to uncertainty over government-sponsored financing programs in Brazil. Sales in Australia are expected to be down by nearly 25 percent for the year, due in large part to the effect of serious drought on the nation’s wheat crop.

Based on these factors and market conditions, worldwide sales of John Deere agricultural equipment are forecast to increase by about 4 percent for full-year 2007. First-quarter sales are expected to rise by about 10 percent, being driven by new products in Europe and by a late-calendar year 2006 sales pickup in Germany, expected in advance of the value-added tax hike on January 1. Farm machinery production in the U.S. and Canada is expected to be down approximately 8 percent for the first quarter in comparison with the same period a year ago.

Commercial & Consumer. John Deere commercial and consumer sales are forecast to be up about 4 percent for the year. Growth in the landscapes operations and the successful introduction of new products are expected to more than offset the impact of a softer market for residential housing.

Construction & Forestry. Markets for construction and forestry equipment are expected to see a slowdown in 2007. While nonresidential spending is forecast for further improvement, residential-housing construction is expected to be lower. In this environment, Deere’s worldwide sales of construction and forestry equipment are forecast to decrease by about 5 percent for fiscal 2007.

Credit. Full-year 2007 net income for Deere’s credit operations is forecast to be approximately $345 million. The expected improvement is being driven by growth in the credit portfolio, largely offset by higher selling and administrative expenses in support of division growth initiatives.

John Deere Capital Corporation

The following is disclosed on behalf of the company’s credit subsidiary, John Deere Capital Corporation (JDCC), in connection with the disclosure requirements applicable to its periodic issuance of debt securities in the public market.

JDCC’s net income was $73.8 million for the quarter and $291.2 million for the year, compared with $68.8 million and $274.7 million for the respective periods last year. Results for both periods benefited from growth in the portfolio, partially offset by narrower financing spreads and a higher provision for credit losses.

Net receivables and leases financed by JDCC were $17.576 billion at October 31, 2006, compared with $15.906 billion one year ago. Net receivables and leases administered, which include receivables previously sold, totaled $18.529 billion at October 31, 2006, compared with $17.625 billion one year ago.

Safe Harbor Statement

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: Statements under “Company Earnings Outlook,” “Company Summary,” “Market Conditions & Outlook,” and other statements herein that relate to future operating periods are subject to important risks and uncertainties that could cause actual results to differ materially. Some of these risks and uncertainties could affect particular lines of business, while others could affect all of the Company’s businesses.

Forward-looking statements involve certain factors that are subject to change, including for the Company’s agricultural equipment segment, the many interrelated factors that affect farmers’ confidence. These factors include worldwide demand for agricultural products, world grain stocks, weather and soil conditions, harvest yields, prices for commodities and livestock, crop production expenses (most notably fuel and fertilizer costs), availability of transport for crops, the growth of non-food uses for some crops (including ethanol and biodiesel production), real estate values, available acreage for farming, the land ownership policies of various governments, changes in government farm programs (including those that may result from the difficult farm income conditions in Brazil), international reaction to such programs, global trade agreements, animal diseases and their effects on poultry and beef consumption and prices (including bovine spongiform encephalopathy, commonly known as “mad cow” disease, and avian flu),

crop pests and diseases (including Asian rust), and the level of farm product exports (including concerns about genetically modified organisms). The success of the fall harvest and the prices realized by farmers for their crops especially affect retail sales of agricultural equipment in the winter.

Factors affecting the outlook for the Company’s commercial and consumer equipment segment include weather conditions, general economic conditions in these markets, consumer confidence, consumer borrowing patterns, consumer purchasing preferences, housing starts, and spending by municipalities and golf courses.

The number of housing starts, interest rates and consumer spending patterns are especially important to sales of the Company’s construction equipment. The levels of public and non-residential construction also impact the results of the Company’s construction and forestry segment. Prices for pulp, lumber and structural panels are important to sales of forestry equipment.

All of the Company’s businesses and its reported results are affected by general economic conditions in and the political and social stability of the global markets in which the Company operates; production, design and technological difficulties, including capacity and supply constraints and prices, including for supply commodities such as steel and rubber; the availability and prices of strategically sourced materials, components and whole goods; the success of new product initiatives and customer acceptance of new products; oil and energy prices and supplies; inflation and deflation rates, interest rate levels and foreign currency exchange rates; the availability and cost of freight; trade, monetary and fiscal policies of various countries; wars and other international conflicts and the threat thereof; actions by the U.S. Federal Reserve Board and other central banks; actions by the U.S. Securities and Exchange Commission; actions by environmental regulatory agencies, including those related to engine emissions and the risk of global warming; actions by other regulatory bodies; actions by rating agencies; capital market disruptions; customer borrowing and repayment practices, and the number of customer loan delinquencies and defaults; actions of competitors in the various industries in which the Company competes, particularly price discounting; dealer practices especially as to levels of new and used field inventories; labor relations; changes to accounting standards; the effects of terrorism and the response thereto; and legislation affecting the sectors in which the Company operates. Company results are also affected by changes in the level of employee retirement benefits, changes in market values of investment assets and the level of interest rates, which impact retirement benefit costs, and significant changes in health care costs. Other factors that could

affect results are changes in Company declared dividends, acquisitions and divestitures of businesses, common stock issuances and repurchases, and the issuance and retirement of Company debt.

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. The Company, except as required by law, undertakes no obligation to update or revise its outlook, whether as a result of new developments or otherwise. 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 annual report on Form 10-K and other filings with the U.S. Securities and Exchange Commission.

(End)

Fourth Quarter and 2006 Press Release

(millions of dollars)

	Three Months Ended October 31							Twelve Months Ended October 31
	2006			2005			% Change	2006			2005			% Change
Net sales and revenues:
Agricultural equipment net sales	$	2,370		$	2,396		-1	$	10,232		$	10,567		-3
Commercial and consumer equipment net sales	758			766			-1	3,877			3,605			+8
Construction and forestry net sales	1,358			1,324			+3	5,775			5,229			+10
Total net sales *	4,486			4,486				19,884			19,401			+2
Credit revenues	502			400			+26	1,819			1,450			+25
Other revenues *	130			106			+23	445			340			+31
Total net sales and revenues *	$	5,118		$	4,992		+3	$	22,148		$	21,191		+5

Operating profit (loss): **
Agricultural equipment	$	143		$	57		+151	$	882		$	970		-9
Commercial and consumer equipment	(3		)	(10		)	-70	221			183			+21
Construction and forestry	136			177			-23	802			689			+16
Credit	131			128			+2	520			491			+6
Other *	(2		)					1
Total operating profit *	405			352			+15	2,426			2,333			+4
Interest, corporate expenses and income taxes	(129		)	(131		)	-2	(973		)	(919		)	+6
Income from continuing operations	276			221			+25	1,453			1,414			+3
Income from discontinued operations	1			12			-92	241			33			+630
Net income	$	277		$	233		+19	$	1,694		$	1,447		+17

*	Includes equipment operations outside the U.S. and Canada as follows:
		Net sales	$	1,530	$	1,344	+14	$	6,033	$	5,890	+2
		Operating profit	$	71	$	18	+294	$	460	$	544	-15
	The company views its operations as consisting of two geographic areas, the “U.S. and Canada”, and “outside the U.S. and Canada”.

	Other revenues and operating profit in the prior periods as presented above decreased $185 million and $14 million, respectively, in the fourth quarter and $740 million and $41 million, respectively, for the year from the amounts reported in 2005 due to a reclassification of the health care operations included in “Other” last year to discontinued operations this year.

**	Operating profit is income from continuing operations before external interest expense, certain foreign exchange gains or losses, income taxes and corporate expenses. However, operating profit of the credit segment includes the effect of interest expense and foreign exchange gains or losses.

DEERE & COMPANY
STATEMENT OF CONSOLIDATED INCOME
For the Three Months Ended October 31, 2006 and 2005
(In millions of dollars and shares except per share amounts)

	2006		2005
Net Sales and Revenues
Net sales	$	4,486.3	$	4,485.6
Finance and interest income	494.0		399.4
Other income	137.2		107.0
Total	5,117.5		4,992.0

Costs and Expenses
Cost of sales	3,524.2		3,599.9
Research and development expenses	201.1		192.3
Selling, administrative and general expenses	619.2		560.0
Interest expense	275.4		217.3
Other operating expenses	130.1		106.4
Total	4,750.0		4,675.9

Income of Consolidated Group
Before Income Taxes	367.5		316.1
Provision for income taxes	108.0		94.5
Income of Consolidated Group	259.5		221.6

Equity in Income (Loss) of Unconsolidated Affiliates
Credit			.2
Other	17.2		(1.1		)
Total	17.2		(.9		)

Income from Continuing Operations	276.7		220.7
Income from Discontinued Operations	.6		12.1
Net Income	$	277.3	$	232.8

Per Share Data
Basic:
Continuing operations	$	1.21	$	.92
Discontinued operations			.05
Net income	$	1.21	$	.97

Diluted:
Continuing operations	$	1.20	$	.91
Discontinued operations			.05
Net income	$	1.20	$	.96

Average Shares Outstanding:
Basic	228.9		239.0
Diluted	231.0		241.4

See Notes to Interim Financial Statements.

DEERE & COMPANY
STATEMENT OF CONSOLIDATED INCOME
For the Years Ended October 31, 2006 and 2005
(In millions of dollars and shares except per share amounts)

	2006		2005
Net Sales and Revenues
Net sales	$	19,884.0	$	19,401.4
Finance and interest income	1,776.8		1,439.5
Other income	487.0		349.9
Total	22,147.8		21,190.8

Costs and Expenses
Cost of sales	15,362.0		15,179.3
Research and development expenses	725.8		677.3
Selling, administrative and general expenses	2,323.9		2,086.1
Interest expense	1,017.5		761.0
Other operating expenses	544.8		380.6
Total	19,974.0		19,084.3

Income of Consolidated Group
Before Income Taxes	2,173.8		2,106.5
Provision for income taxes	741.6		698.6
Income of Consolidated Group	1,432.2		1,407.9

Equity in Income of Unconsolidated Affiliates
Credit	.3		.6
Other	20.7		5.5
Total	21.0		6.1

Income from Continuing Operations	1,453.2		1,414.0
Income from Discontinued Operations	240.6		32.8
Net Income	$	1,693.8	$	1,446.8

Per Share Data
Basic:
Continuing operations	$	6.23	$	5.81
Discontinued operations	1.03		.14
Net income	$	7.26	$	5.95

Diluted:
Continuing operations	$	6.16	$	5.74
Discontinued operations	1.02		.13
Net income	$	7.18	$	5.87

Average Shares Outstanding:
Basic	233.4		243.3
Diluted	235.8		246.4

See Notes to Interim Financial Statements.

DEERE & COMPANY
CONDENSED CONSOLIDATED BALANCE SHEET

As of October 31, 2006 and 2005

(In millions of dollars)

	2006		2005
Assets
Cash and cash equivalents	$	1,687.5	$	2,258.2
Marketable securities	1,816.7		2,169.1
Receivables from unconsolidated affiliates	22.2		18.4
Trade accounts and notes receivable - net	3,037.7		3,117.8
Financing receivables - net	14,004.0		12,869.4
Restricted financing receivables – net	2,370.8		1,457.9
Other receivables	448.2		523.0
Equipment on operating leases - net	1,493.9		1,335.6
Inventories	1,957.3		2,134.9
Property and equipment - net	2,763.6		2,343.3
Investments in unconsolidated affiliates	124.0		106.7
Goodwill	1,110.0		1,088.5
Other intangible assets - net	56.4		18.3
Prepaid pension costs	2,642.4		2,662.7
Other assets	465.6		419.8
Deferred income taxes	582.2		628.1
Deferred charges	137.9		133.8
Assets of discontinued operations			351.3
Total Assets	$	34,720.4	$	33,636.8

Liabilities and Stockholders’ Equity
Short-term borrowings	$	8,121.2	$	6,883.8
Payables to unconsolidated affiliates	31.0		140.8
Accounts payable and accrued expenses	4,482.8		4,320.9
Accrued taxes	152.5		214.3
Deferred income taxes	64.9		62.7
Long-term borrowings	11,584.0		11,738.8
Retirement benefit accruals and other liabilities	2,792.8		3,232.3
Liabilities of discontinued operations			191.7
Total liabilities	27,229.2		26,785.3
Stockholders’ equity	7,491.2		6,851.5
Total Liabilities and Stockholders’ Equity	$	34,720.4	$	33,636.8

See Notes to Interim Financial Statements.

DEERE & COMPANY
STATEMENT OF CONSOLIDATED CASH FLOWS
For the Years Ended October 31, 2006 and 2005
(In millions of dollars)

	2006			2005
Cash Flows from Operating Activities
Net income	$	1,693.8		$	1,446.8
Adjustments to reconcile net income to net cash provided by operating activities:
Provision for doubtful receivables	65.9			26.1
Provision for depreciation and amortization	685.1			636.5
Gain on the sale of a business	(356.0		)
Undistributed earnings of unconsolidated affiliates	(18.5		)	(4.1		)
Provision (credit) for deferred income taxes	15.8			(49.3		)
Changes in assets and liabilities:
Trade, notes and financing receivables related to sales of equipment	(703.9		)	(468.6		)
Inventories	(78.0		)	(324.1		)
Accounts payable and accrued expenses	155.3			336.9
Retirement benefit accruals/prepaid pension costs	(400.0		)	(312.0		)
Other	(86.3		)	(71.6		)
Net cash provided by operating activities	973.2			1,216.6

Cash Flows from Investing Activities
Collections of financing receivables	9,274.9			8,076.5
Proceeds from sales of financing receivables	108.0			55.2
Proceeds from maturities and sales of marketable securities	3,006.0			1,065.0
Proceeds from sales of equipment on operating leases	310.9			399.1
Proceeds from sales of businesses, net of cash sold	440.1			50.0
Cost of financing receivables acquired	(10,451.0		)	(10,488.8		)
Purchases of marketable securities	(2,565.6		)	(3,276.3		)
Purchases of property and equipment	(766.0		)	(512.6		)
Cost of operating leases acquired	(417.4		)	(342.0		)
Acquisitions of businesses, net of cash acquired	(55.7		)	(169.7		)
Other	(33.1		)	(29.6		)
Net cash used for investing activities	(1,148.9		)	(5,173.2		)

Cash Flows from Financing Activities
Increase in short-term borrowings	1,208.7			1,814.3
Proceeds from long-term borrowings	3,140.2			3,805.4
Principal payments on long-term borrowings	(3,520.6		)	(1,509.7		)
Proceeds from issuance of common stock	327.6			153.6
Repurchases of common stock	(1,299.3		)	(918.9		)
Dividends paid	(348.4		)	(289.7		)
Excess tax benefits from share-based compensation	85.6
Other	(10.6		)	(1.9		)
Net cash provided by (used for) financing activities	(416.8		)	3,053.1

Effect of Exchange Rate Changes on Cash	21.8			(19.4		)

Net Decrease in Cash and Cash Equivalents	(570.7		)	(922.9		)
Cash and Cash Equivalents at Beginning of Year	2,258.2			3,181.1
Cash and Cash Equivalents at End of Year	$	1,687.5		$	2,258.2

See Notes to Interim Financial Statements.

Notes to Financial Statements

(1)

Dividends declared and paid on a per share basis were as follows:

	Three Months Ended October 31				Twelve Months Ended October 31
	2006		2005		2006		2005

Dividends declared	$	.39	$	.31	$	1.56	$	1.21
Dividends paid	$	.39	$	.31	$	1.48	$	1.18

(2)		The calculation of basic net income per share is based on the average number of shares outstanding. The calculation of diluted net income per share recognizes the dilutive effect of the assumed exercise of stock options.

(3)		Comprehensive income, which includes all changes in the Company’s equity during the period except transactions with stockholders, was as follows in millions of dollars:

	Three Months Ended October 31						Twelve Months Ended October 31
	2006			2005			2006			2005

Net income	$	277.3		$	232.8		$	1,693.8		$	1,446.8

Other comprehensive income (loss), net of tax:

Minimum pension liability adjustment	21.3			(51.7		)	21.3			(51.7		)

Cumulative translation adjustment	18.7			44.8			79.7			61.5

Unrealized gain (loss) on derivatives	(4.1		)	3.7			.6			12.6

Unrealized loss on investments	(3.1		)	(5.1		)	(.9		)	(6.1		)

Comprehensive income	$	310.1		$	224.5		$	1,794.5		$	1,463.1

(4)

The consolidated financial statements represent the consolidation of all Deere & Company’s subsidiaries except for the health care operations, which are reported on a discontinued basis in the Statements of Consolidated Income and the Condensed Consolidated Balance Sheet. In the supplemental consolidating data in Note 5 to the financial statements, “Equipment Operations” include the Company’s agricultural equipment, commercial and consumer equipment and construction and forestry operations, with Financial Services reflected on the equity basis except for the health care operations, which are reported on a discontinued basis. The supplemental “Financial Services” data in Note 5 include primarily Deere & Company’s credit operations with the health care operations reported on a discontinued basis. In February 2006, the Company sold its health care operations.

(5) SUPPLEMENTAL CONSOLIDATING DATA
STATEMENT OF INCOME
For the Three Months Ended October 31, 2006 and 2005
(In millions of dollars)

	EQUIPMENT OPERATIONS*					FINANCIAL SERVICES
	2006		2005			2006		2005
Net Sales and Revenues
Net sales	$	4,486.3	$	4,485.6
Finance and interest income	27.5		26.8			$	540.5	$	440.6
Other income	104.9		96.3			49.4		16.7
Total	4,618.7		4,608.7			589.9		457.3

Costs and Expenses
Cost of sales	3,524.2		3,599.9
Research and development expenses	201.1		192.3
Selling, administrative and general expenses	508.4		478.5			111.3		82.0
Interest expense	42.1		51.1			247.6		177.8
Interest compensation to Financial Services	59.7		56.4
Other operating expenses	45.0		40.5			101.7		71.4
Total	4,380.5		4,418.7			460.6		331.2

Income of Consolidated Group
Before Income Taxes	238.2		190.0			129.3		126.1
Provision for income taxes	65.5		48.2			42.5		46.3
Income of Consolidated Group	172.7		141.8			86.8		79.8

Equity in Income (Loss) of Unconsolidated
Subsidiaries and Affiliates
Credit	88.0		81.4			.1		.2
Other	16.0		(2.5		)
Total	104.0		78.9			.1		.2

Income from Continuing Operations	276.7		220.7			86.9		80.0
Income from Discontinued Operations	.6		12.1			.6		12.1
Net Income	$	277.3	$	232.8		$	87.5	$	92.1

* Deere & Company with Financial Services on the equity basis.

The supplemental consolidating data is presented for informational purposes. Transactions between the “Equipment Operations” and “Financial Services” have been eliminated to arrive at the consolidated financial statements.

SUPPLEMENTAL CONSOLIDATING DATA (Continued)

STATEMENT OF INCOME
For the Years Ended October 31, 2006 and 2005
(In millions of dollars)

	EQUIPMENT OPERATIONS*				FINANCIAL SERVICES
	2006		2005		2006		2005
Net Sales and Revenues
Net sales	$	19,884.0	$	19,401.4
Finance and interest income	92.2		118.8		$	1,980.3	$	1,601.5
Other income	383.9		308.1		163.6		86.1
Total	20,360.1		19,828.3		2,143.9		1,687.6

Costs and Expenses
Cost of sales	15,362.0		15,179.3
Research and development expenses	725.8		677.3
Selling, administrative and general expenses	1,942.1		1,766.8		384.3		322.3
Interest expense	193.4		211.3		876.1		607.3
Interest compensation to Financial Services	243.7		223.1
Other operating expenses	239.9		146.4		362.9		275.6
Total	18,706.9		18,204.2		1,623.3		1,205.2

Income of Consolidated Group
Before Income Taxes	1,653.2		1,624.1		520.6		482.4
Provision for income taxes	564.4		527.7		177.3		170.8
Income of Consolidated Group	1,088.8		1,096.4		343.3		311.6

Equity in Income of Unconsolidated
Subsidiaries and Affiliates
Credit	342.8		317.4		.4		.6
Other	21.6		.2
Total	364.4		317.6		.4		.6

Income from Continuing Operations	1,453.2		1,414.0		343.7		312.2
Income from Discontinued Operations	240.6		32.8		240.6		32.8
Net Income	$	1,693.8	$	1,446.8	$	584.3	$	345.0

* Deere & Company with Financial Services on the equity basis.

SUPPLEMENTAL CONSOLIDATING DATA (Continued)

CONDENSED BALANCE SHEET
As of October 31, 2006 and 2005
(In millions of dollars)

	EQUIPMENT OPERATIONS*				FINANCIAL SERVICES
	2006		2005		2006		2005
Assets
Cash and cash equivalents	$	1,476.7	$	1,943.9	$	210.8	$	314.2
Cash equivalents deposited with unconsolidated subsidiaries			179.7
Cash and cash equivalents	1,476.7		2,123.6		210.8		314.2
Marketable securities	1,709.0		2,158.7		107.7		10.4
Receivables from unconsolidated subsidiaries and affiliates	494.2		324.4		.1		.3
Trade accounts and notes receivable – net	986.7		873.7		2,485.6		2,621.6
Financing receivables – net	5.3		5.6		13,998.7		12,863.8
Restricted financing receivables - net					2,370.8		1,457.9
Other receivables	317.9		401.2		130.4		121.8
Equipment on operating leases – net					1,493.9		1,335.6
Inventories	1,957.3		2,134.9
Property and equipment –net	2,414.0		2,277.3		349.6		66.1
Investments in unconsolidated subsidiaries and affiliates	2,665.3		2,318.8		4.6		4.3
Goodwill	1,110.0		1,088.5
Other intangible assets – net	56.4		18.3
Prepaid pension costs	2,630.3		2,638.5		12.1		24.2
Other assets	200.5		173.5		265.1		246.2
Deferred income taxes	681.5		729.7		10.6		11.1
Deferred charges	105.6		102.2		33.2		32.5
Assets of discontinued operations			159.6				351.3
Total Assets	$	16,810.7	$	17,528.5	$	21,473.2	$	19,461.3

Liabilities and Stockholders’ Equity
Short-term borrowings	$	282.5	$	677.4	$	7,838.6	$	6,206.4
Payables to unconsolidated subsidiaries and affiliates	31.0		141.1		472.2		485.7
Accounts payable and accrued expenses	4,115.2		4,044.7		803.1		654.6
Accrued taxes	137.9		188.2		14.6		26.1
Deferred income taxes	16.8		11.8		158.0		163.6
Long-term borrowings	1,969.5		2,423.4		9,614.5		9,315.4
Retirement benefit accruals and other liabilities	2,766.6		3,190.4		26.3		41.9
Liabilities of discontinued operations							191.7
Total liabilities	9,319.5		10,677.0		18,927.3		17,085.4
Stockholders’ equity	7,491.2		6,851.5		2,545.9		2,375.9
Total Liabilities and Stockholders’ Equity	$	16,810.7	$	17,528.5	$	21,473.2	$	19,461.3

* Deere & Company with Financial Services on the equity basis.

The supplemental data is presented for informational purposes. Transactions between the “Equipment Operations” and “Financial Services” have been eliminated to arrive at the consolidated financial statements.

SUPPLEMENTAL CONSOLIDATING DATA (Continued)

STATEMENT OF CASH FLOWS

For the Years Ended October 31, 2006 and 2005

(In millions of dollars)

	EQUIPMENT OPERATIONS*						FINANCIAL SERVICES
	2006			2005			2006			2005
Cash Flows from Operating Activities
Net income	$	1,693.8		$	1,446.8		$	584.3		$	345.0
Adjustments to reconcile net income to net cash provided by operating activities:
Provision for doubtful receivables	14.6			13.2			51.4			12.9
Provision for depreciation and amortization	406.8			377.4			323.2			297.9
Gain on the sale of a business	(356.0		)				(356.0		)
Undistributed earnings of unconsolidated subsidiaries and affiliates	(273.7		)	(181.8		)	(.3		)	(.6		)
Provision (credit) for deferred income taxes	19.1			(40.2		)	(3.4		)	(9.1		)
Changes in assets and liabilities:
Receivables	(108.4		)	16.7			(20.6		)	(4.3		)
Inventories	211.8			(68.5		)
Accounts payable and accrued expenses	83.8			295.6			128.7			78.5
Retirement benefit accruals/prepaid pension costs	(395.1		)	(313.7		)	(4.9		)	1.7
Other	14.6			115.9			89.8			(136.6		)
Net cash provided by operating activities	1,311.3			1,661.4			792.2			585.4

Cash Flows from Investing Activities
Collections of receivables							29,067.2			27,407.3
Proceeds from sales of financing receivables							139.6			132.7
Proceeds from maturities and sales of marketable securities	2,901.6			1,016.0			104.4			48.9
Proceeds from sales of equipment on operating leases				5.6			310.9			393.5
Proceeds from sales of businesses, net of cash sold	440.1			50.0
Cost of receivables acquired							(30,907.0		)	(30,415.2		)
Purchases of marketable securities	(2,447.3		)	(3,175.4		)	(118.3		)	(100.9		)
Purchases of property and equipment	(493.1		)	(466.9		)	(272.9		)	(45.7		)
Cost of operating leases acquired							(808.9		)	(687.4		)
Acquisitions of businesses, net of cash acquired	(55.7		)	(169.7		)
Other	32.4			(10.5		)	(106.3		)	(42.9		)
Net cash provided by (used for) investing activities	378.0			(2,750.9		)	(2,591.3		)	(3,309.7		)

Cash Flows from Financing Activities
Increase (decrease) in short-term borrowings	(140.6		)	96.7			1,349.3			1,717.7
Change in intercompany receivables/payables	(184.4		)	1,132.7			4.7			(1,177.4		)
Proceeds from long-term borrowings							3,140.2			3,805.4
Payments of long-term borrowings	(782.7		)	(76.6		)	(2,737.8		)	(1,433.0		)
Proceeds from issuance of common stock	327.6			153.6
Repurchases of common stock	(1,299.3		)	(918.9		)
Dividends paid	(348.4		)	(289.7		)	(106.7		)	(166.7		)
Excess tax benefits from share-based compensation	85.6
Other	(10.6		)	(2.0		)	40.8			23.7
Net cash provided by (used for) financing activities	(2,352.8		)	95.8			1,690.5			2,769.7

Effect of Exchange Rate Changes on Cash	16.6			(22.2		)	5.2			2.8

Net Increase (Decrease) in Cash and Cash Equivalents	(646.9		)	(1,015.9		)	(103.4		)	48.2
Cash and Cash Equivalents at Beginning of Year	2,123.6			3,139.5			314.2			266.0
Cash and Cash Equivalents at End of Year	$	1,476.7		$	2,123.6		$	210.8		$	314.2

* Deere & Company with Financial Services on the equity basis.

Exhibit 99.2

Deere & Company

Other Financial Information

	Equipment Operations						Agricultural Equipment						Commercial and Consumer Equipment						Construction and Forestry
For the Twelve Months Ended October 31,	2006			2005			2006			2005			2006			2005			2006			2005
Dollars in millions
Net Sales	$	19,884		$	19,401		$	10,232		$	10,567		$	3,877		$	3,605		$	5,775		$	5,229
Average Identifiable Assets
With Inventories at LIFO	$	7,546		$	7,248		$	3,652		$	3,612		$	1,581		$	1,554		$	2,313		$	2,082
With Inventories at Standard Cost	$	8,634		$	8,312		$	4,386		$	4,296		$	1,767		$	1,772		$	2,481		$	2,244
Operating Profit	$	1,905		$	1,842		$	882		$	970		$	221		$	183		$	802		$	689
Percent of Net Sales	9.6		%	9.5		%	8.6		%	9.2		%	5.7		%	5.1		%	13.9		%	13.2		%
Operating Return on Assets
With Inventories at LIFO	25.2		%	25.4		%	24.2		%	26.9		%	14.0		%	11.8		%	34.7		%	33.1		%
With Inventories at Standard Cost	22.1		%	22.2		%	20.1		%	22.6		%	12.5		%	10.3		%	32.3		%	30.7		%
SVA Cost of Assets	$	(1,036	)	$	(998	)	$	(526	)	$	(516	)	$	(212	)	$	(213	)	$	(298	)	$	(269	)
SVA	$	869		$	844		$	356		$	454		$	9		$	(30	)	$	504		$	420

	Financial Services
For the Twelve Months Ended October 31,	2006			2005
Dollars in millions
Net Income	$	584		$	345
Average Equity	$	2,466		$	2,227
Return on Equity	23.7		%	15.5		%
Operating Profit	$	521		$	491
Change in Allowance for Doubtful Receivables	$	15		$	(12	)
SVA Income	$	536		$	479
Average Equity Continuing Operations	$	2,424		$	2,110
Average Allowance for Doubtful Receivables	$	148		$	150
SVA Average Equity	$	2,572		$	2,260
Cost of Equity	$	(457	)	$	(410	)
SVA Continuing Operations	$	79		$	69
SVA Discontinued Operations	$	0		$	25
SVA Total	$	79		$	94

The Company evaluates its business results on the basis of generally accepted accounting principles. In addition, it uses a metric referred to as Shareholder Value Added (SVA), which management believes is an appropriate measure for the performance of its businesses. SVA is, in effect, the pretax profit left over after subtracting the cost of enterprise capital. The Company is aiming for a sustained creation of SVA and is using this metric for various performance goals. Certain compensation is also determined on the basis of performance using this measure. For purposes of determining SVA, each of the equipment segments is assessed a pretax cost of assets, which on an annual basis is 12 percent of the segment’s average identifiable operating assets during the applicable period with inventory at standard cost. Management believes that valuing inventories at standard cost more closely approximates the current cost of inventory and the Company’s investment in the asset. Financial Services is assessed a pretax cost of equity, which on an annual basis is approximately 18 percent of its average equity during the period excluding the allowance for doubtful receivables. The cost of assets or equity, as applicable, is deducted from the operating profit or added to the operating loss of the equipment segments or Financial Services to determine the amount of SVA. For this purpose, the operating profit of Financial Services is net income before income taxes, changes to the allowance for doubtful receivables and discontinued operations. The average equity and operating profit of Financial Services is adjusted for the allowance for doubtful receivables in order to more closely reflect credit losses on a write-off basis.

Fourth Quarter 2006 Earnings Conference Call Exhibit 99.3 24

Safe Harbor Statement & Disclosures The earnings call and accompanying material include forward-looking comments and information concerning the company’s projections, plans and objectives for the future, including estimates and assumptions with respect to economic, political, technological, weather, market acceptance and other factors that impact our businesses and customers. They also may include financial measures that are not in conformance with GAAP. Words such as “forecast,” “projection,” “outlook,” “expected,” “estimated,” “will,” “plan,” “anticipate,” “intend,” or other similar words or phrases often identify forward-looking statements. Actual results may differ materially from those projected in these forward-looking statements based on a number of factors and uncertainties. Additional information concerning factors that could cause actual results to differ materially is contained in the company’s most recent Form 8-K and periodic report filed with the Securities and Exchange Commission, and is incorporated by reference herein. Investors should refer to and consider the incorporated information on risks and uncertainties in addition to the information presented here. Investors should consider non-GAAP financial measures in addition to, and not as a substitute for, financial measures prepared in accordance with GAAP. The company, except as required by law, undertakes no obligation to update or revise its forward-looking statements whether as a result of new developments or otherwise.

Fourth Quarter Overview +19% $232.8 $277.3 Net Income +25% $0.96 $1.20 Diluted EPS +0% $4,486 $4,486 Net Sales +3% $4,992 $5,118 Net Sales and Revenues Change Q4 2005 Q4 2006 (in millions of dollars except per share amounts)

Net income, as reported $277.3 $1.20 Less income from discontinued operations (Health Care) 0.6 0.00 Income from continuing operations 276.7 1.20 Other special items: Expenses related to tender offer for debt securities 0.0 0.00 Expenses related to Woodstock factory closing 13.6 0.06 Income from continuing operations, excluding special items $290.3 $1.26 (In Millions) Diluted EPS NOTE: Due to the magnitude of the amounts for the items listed above either in the quarter or for the year, management believes the above additional supplemental data provides valuable insight into the operating performance for the fourth quarter of 2006. Management believes this presentation will enhance the reader’s understanding of the impact of these items on Deere & Company’s performance during the quarter. Management does not intend this presentation to be considered in isolation or as a substitute for the related measures under accounting principles generally accepted in the U.S. Additional Supplemental Data Fourth Quarter 2006

Fourth Quarter Overview – Worldwide Agricultural Equipment Division +151% $57 $143 Operating Profit* -17% Production Tonnage -1% $2,396 $2,370 Net Sales Change Q4 2005 Q4 2006 (in millions of dollars) * Operating Profit impacted by: Strong net price realization Lower warranty costs Offset by higher selling, administrative & general expense Mostly attributable to growth initiatives

Ethanol: Estimated Growth Continues to Expand MM Bushels Used in Ethanol U.S.1167 995 1323 1600 2200 4800 4700 4300 3900 3100 2002/03'03/04'04/05'05/06F'06/07F'07/08F'08/09F'09/10F'10/11F'11/12FInforma Economics, November 2006Informa Economics, August 2006USDA, February 2006

Global Grain Stocks-to-Use Ratios are Low USDA World Agricultural Supply and Demand Estimates - November 9, 2006 Lowest level since 1972/73 Lowest level in 36-year USDA history WheatCornSoybeansCotton0.010.020.0< /font>30.040.050.060.070.092/9393/9494/9595/9696/9797/9898/9999/0000/0101/0202/0303/0404/0505/0606/07

Nearby Futures Settlement Prices03 January 2006 through 14 November 2006 Source: Informa Economics/Chicago Board of Trade 02 Oct 2006 CornSoybeansWheat2.003.004.005.006.007.001/3/20061/17/20061/31/20062/14/20062/28/20063/14/20063/28/20064/11/20064/25/20065/9/20065/23/20066/6/20066/20/20067/4/20067/18/20068/1/20068/15/20068/29/20069/12/20069/26/200610/10/200610/24/200611/7/2006

U.S. Commodity Prices $.600 $5.75 $4.10 $2.50 Previous 2006/07 $.470 $5.90 $4.40 $2.95 2006/07 Forecast $.450 $.477 Cotton (per pound) $6.00 $5.66 Soybeans (per bushel) $3.75 $3.42 Wheat (per bushel) $3.05 $2.00 Corn (per bushel) 2007/08 Forecast 2005/06 Deere & Company Estimates as of 10 November 2006 (Previous Estimates as of 10 August 2006)

U.S. Farm Cash Receipts $256.1 $254.2 $263.3 Total Cash Receipts 11.3 17.0 24.3 Government Payments $250.5 $247.9 $259.8 Previous Total Cash Receipts 119.6 119.7 125.0 Livestock 125.2 117.5 114.0 Crops 2007 Forecast 2006 Forecast 2005 (in billions of dollars) Deere & Company Estimates as of 10 November 2006 (Previous Estimates as of 10 August 2006)

Brazil Farm Net Income 6.1 .6 .2 1.0 .2 4.1 2004* Net Income (US $ Billion) 5.6 .0 2.0 Total .2 .0 .2 Rice .6 -1.1 .2 Corn 3.5 3.3 .8 Sugar Cane .4 -.2 -.1 Cotton .9 -2.0 .9 Soybeans 2007 Forecast 2006 Forecast 2005 Deere & Company estimates as of 21 November 2006* NOTE: Weaker Real in 2004 resulted in higher net income at farm level.

Industry Outlook – Agricultural Equipment Retail Sales U.S. & Canada: Flat for the fiscal year Anticipates weaker 1H07 sales Anticipates ~60% of DE’s retail sales in 2H07 Higher used equipment levels at Deere dealers ~$200 million* higher at 31 October 2006 vs. 31 October 2005Farmer uncertainty around U.S. farm bill * Relates to used equipment financed by/with Deere entities. Deere & Company outlook as of 21 November 2006

Industry Outlook – Agricultural Equipment Retail Sales Western Europe: Flat to down slightly Germany value-added tax (VAT) increases from 16% to 19% on 01 January 2007 sales pulled ahead into FY2006 Recovery in France and Spain South America: Down about 10% Uncertainty over 2007 Finame programs Australia: Down about 25% Serious drought USDA estimates wheat production in Australia drops 57% to 10.5 million metric tons in 2006/07 Deere & Company outlook as of 21 November 2006

Deere & Company Outlook - Worldwide Agricultural Equipment Fiscal Year 2007 Forecast Net sales projected to be up ~4% Production tonnage projected down ~3% First Quarter 2007 Forecast Net sales projected to be up ~10% Production tonnage projected down ~1% US & Canada tonnage projected down ~8% Deere & Company Forecast as of 21 November 2006

Fourth Quarter Overview – Worldwide Commercial and Consumer Equipment -70% -$10 -$3 Operating Profit +4% Production Tonnage -1% $766 $758 Net Sales Change Q4 2005 Q4 2006 (in millions of dollars) * Operating Profit impacted by: Improved price realization Lower shipments

Deere & Company Outlook – Worldwide Commercial & Consumer Equipment Fiscal Year 2007 Forecast Net sales projected to be up ~4% Landscapes operations and new products Production tonnage projected up ~7% First quarter 2007 production tonnage projected down ~1% Deere & Company Forecast as of 21 November 2006

Fourth Quarter Overview – Worldwide Construction and Forestry -23% $177 $136 Operating Profit* +15% Production Tonnage +3% $1,324 $1,358 Net Sales Change Q4 2005 Q4 2006 (in millions of dollars) * Operating Profit impacted by: Raw material cost increases Closing of facility in Woodstock, Ontario, Canada Improved price realization

Deere & Company Outlook – Worldwide Construction and Forestry Fiscal Year 2007 Forecast Net sales projected to be down ~5% Housing weaker Non-residential growth Production tonnage projected down ~11% First quarter 2007 U.S. & Canada production tonnage projected down ~16% Lower shipping and manufacturing volumes impact operating profit in excess of $100 million vs. 2006 Deere & Company Forecast as of 21 November 2006

Credit Fourth Quarter 2006 Net income $88.0 million up 8% vs. Q405 Fiscal Year 2007 Forecast Net income ~ $345 million Growth in credit portfolio Higher SA&G expense in support of growth initiatives

Loss History - Credit Low losses driven by strong obligor cash flows, low repossession rates and strong used equipment market Provision for Credit Losses / Average Owned Portfolio0.00%0.50%1.00%1.50%2.00%19901991199219931994199519961997< /font>199819992000200120022003200420052006

Consolidated Trade Receivables & Inventory Change at 31 October: 2006 vs. 2005 Total C&F CCE AG (in millions of dollars) 425 258 125 228 75 61 475 425 2006 Prior Forecast 2006 Actual

Consolidated Trade Receivables & Inventory Forecasted change at 31 October: 2007 vs. 2006 Total C&F CCE AG (in millions of dollars) 225 100 25 100 2007 Forecast

October Retail Sales – U.S. and Canada a single digit in line with industry a single digit a single digit Deere** 15% 4 WD Tractors 13% Combines 10% 5% Industry* Row-Crop Tractors Utility Tractors * As reported by the Association of Equipment Manufacturers ** As reported to the Association of Equipment Manufacturers

Deere Dealer Inventories – U.S. and Canada 2005 2006 3% 2% Combines 19% 24% Row-Crop Tractors As reported to the Association of Equipment Manufacturers at October 31 - as a % of trailing 12 months retail sales

October Retail Sales – Western Europe double digits low double digits Deere & Company Combines Tractors Based on EU Government Reporting of Registrations

October Retail Sales – U.S. and Canada Flat First-in-the-Dirt a single digit Settlements Construction and Forestry a single digit Commercial and Consumer Equipment Deere & Company

Other Information – Fourth Quarter 2006 Equipment operations net sales: Flat in the quarter compared to Q4 2005 Net price realization ~ +3% Currency translation ~ +1% Period ending shares outstanding: 227 million Average diluted shares outstanding for the quarter: 231 million

Raw Material and Freight Equipment Operations Fourth Quarter 2006 Up ~ $50 million vs. Q4 2005 Fiscal Year 2006 Up ~ $180 million vs. FY 2005 Fiscal Year 2007 Forecast Up $200 - 250 million By Division Agricultural Equipment: ~ $100 Commercial & Consumer Equipment: ~ $75 Construction & Forestry: ~ $50

Pension/OPEB Expense Equipment Operations Fiscal Year 2007 Forecast Down about $20 million vs. 2006 2006 Pension/OPEB costs include about $20 million related to the closing of the factory in Woodstock First Quarter 2007 Forecast Expect down ~ $10 million vs. 1Q 2006

Research & Development Expense Equipment Operations Fourth Quarter 2006 Up ~ 5% vs. Q4 2005 Fiscal Year 2007 Forecast Up ~ 9%

Selling, Administrative & General Expenses Equipment Operations Fourth Quarter 2006 Up ~ 6% vs. Q4 2005 Includes ~ 5 points related to global growth initiatives and option expense Fiscal Year 2007 Forecast anticipates Up ~ 7% vs. FY2006 Includes ~ 3 points related to global growth initiatives

Tax Rate Equipment Operations Fourth Quarter 2006 Effective tax rate of 27.5% Fiscal Year 2006 Effective tax rate of 34.1% Fiscal Year 2007 Forecast Assumes a tax rate of 34 – 35% Deere & Company Forecast as of 21 November 2006

Share Repurchase as Part of Publicly Announced Plans$0.1 $0.2 $0.3 1.2 2.3 3.5 Q1 2004 authorization 2005 authorization Total Q1 $1.3 17.0 YTD $0.3 4.5 Q4 $0.4 4.9 Q3 $0.3 4.1 Q2 Total $ Amount (in billions) Shares Repurchased(in millions) FY2006 Full Year Q4 Q3 Q2 Q1 FY2005 13.9 4.5 2.2 4.9 2.3 Shares Repurchased (in millions) $0.9 $0.3 $0.1 $0.3 $0.2 Total $ Amount (in billions) $1 billion authorization - 1 December 2004 26 million share authorization 30 November 2005

Production Tonnage First Quarter 2007 Forecast Total worldwide tonnage down ~ 4% U.S. & Canada Agricultural Equipment tonnage down ~ 8% Fiscal Year 2007 Forecast Total worldwide tonnage down ~ 4% Deere & Company Forecast as of 21 November 2006

2007 Company Outlook First Quarter 2007 Forecast Net Sales up ~ 5% vs. 1Q 2006 Net Income $150 – 175 million Fiscal Year 2007 Forecast Net Sales roughly flat with FY 2006 Net price realization: about 1 – 2% Net Income ~ $1.325 billion Deere & Company Forecast as of 21 November 2006

Deere’s first-quarter 2007 conference call is scheduled for 9:00 a.m. central time on Wednesday, February 14, 2007.

Net income, as reported $1,693.8 $7.18 Less income from discontinued operations (Health Care) 240.6 1.02 Income from continuing operations 1,453.2 6.16 Other special items: Expenses related to tender offer for debt securities 44.2 0.19 Expenses related to Woodstock factory closing 27.6 0.12 Income from continuing operations, excluding special items $1,525.0 $6.47 (In Millions) Diluted EPS NOTE: Due to the magnitude of the amounts for the items listed above either in the quarter or for the year, management believes the above additional supplemental data provides valuable insight into the operating performance for fiscal year 2006. Management believes this presentation will enhance the reader’s understanding of the impact of these items on Deere & Company’s performance during the year. Management does not intend this presentation to be considered in isolation or as a substitute for the related measures under accounting principles generally accepted in the U.S. Additional Supplemental Data Fiscal Year 2006

U.S. Farm Cash Receipts – Previous Forecast $250.5 $247.9 $259.8 Total Cash Receipts * 11.2 13.6 24.1 Government Payments 118.3 118.7 122.0 Livestock 121.1 115.6 113.7 Crops 2007 Forecast 2006 Forecast 2005 (in billions of dollars) Deere & Company Estimates as of 10 August 2006 * Totals may not foot due to rounding.

(99.1)		Press release and supplemental financial information (Filed herewith)
(99.2)		Other Financial Information (Furnished herewith)
(99.3)		Fourth Quarter 2006 Earnings Conference Call information (Furnished herewith)