SUPPLEMENTAL CONSOLIDATING DATA (Tables)

12 Months Ended

Oct. 31, 2014

Supplemental Consolidating Data Income Statement

INCOME STATEMENT

For the Years Ended October 31, 2014, 2013 and 2012

(In millions of dollars)

	EQUIPMENT OPERATIONS*						FINANCIAL SERVICES
	2014		2013		2012		2014		2013		2012
Net Sales and Revenues
Net sales	$	32,960.6	$	34,997.9	$	33,500.9
Finance and interest income	76.5		80.8		74.0		$	2,475.0	$	2,280.5	$	2,155.7
Other income	622.6		549.1		493.2		330.2		288.4		298.8
Total	33,659.7		35,627.8		34,068.1		2,805.2		2,568.9		2,454.5

Costs and Expenses
Cost of sales	24,777.8		25,668.8		25,009.2
Research and development expenses	1,452.0		1,477.3		1,433.6
Selling, administrative and general expenses	2,765.1		3,143.9		2,988.8		529.2		473.2		439.3
Interest expense	289.4		297.1		231.1		430.9		487.6		596.4
Interest compensation to Financial Services	212.1		202.7		203.6
Other operating expenses	285.4		223.7		178.1		925.6		739.0		708.1
Total	29,781.8		31,013.5		30,044.4		1,885.7		1,699.8		1,743.8

Income of Consolidated Group before Income Taxes	3,877.9		4,614.3		4,023.7		919.5		869.1		710.7
Provision for income taxes	1,329.6		1,640.7		1,407.6		296.9		305.2		251.8
Income of Consolidated Group	2,548.3		2,973.6		2,616.1		622.6		563.9		458.9
Equity in Income (Loss) of Unconsolidated Subsidiaries and Affiliates
Financial Services	624.5		565.0		460.3		1.9		1.1		1.4
Other	(9.5)		(1.0)		(4.8)
Total	615.0		564.0		455.5		1.9		1.1		1.4
Net Income	3,163.3		3,537.6		3,071.6		624.5		565.0		460.3
Less: Net income attributable to noncontrolling interests	1.6		.3		6.9
Net Income Attributable to Deere & Company	$	3,161.7	$	3,537.3	$	3,064.7	$	624.5	$	565.0	$	460.3

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

The supplemental consolidating data is presented for informational purposes. The “Equipment Operations” reflect the basis of consolidation described in Note 1 to the consolidated financial statements. The consolidated group data in the “Equipment Operations” income statement reflect the results of the agriculture and turf operations and construction and forestry operations. Transactions between the “Equipment Operations” and “Financial Services” have been eliminated to arrive at the consolidated financial statements.

Supplemental Consolidating Data Balance Sheet

BALANCE SHEET

As of October 31, 2014 and 2013

(In millions of dollars except per share amounts)

	EQUIPMENT OPERATIONS*				FINANCIAL SERVICES
	2014		2013		2014		2013
ASSETS
Cash and cash equivalents	$	2,569.2	$	3,023.3	$	1,217.8	$	480.8
Marketable securities	700.4		1,207.2		514.7		417.6
Receivables from unconsolidated subsidiaries and affiliates	3,663.9		3,502.0
Trade accounts and notes receivable - net	706.0		1,061.8		3,554.4		3,555.9
Financing receivables - net	18.5		16.5		27,403.7		25,616.2
Financing receivables securitized - net					4,602.3		4,153.1
Other receivables	848.0		983.1		659.0		486.6
Equipment on operating leases - net					4,015.5		3,152.2
Inventories	4,209.7		4,934.7
Property and equipment - net	5,522.5		5,408.5		55.3		58.4
Investments in unconsolidated subsidiaries and affiliates	5,106.5		4,569.0		10.9		10.2
Goodwill	791.2		844.8
Other intangible assets - net	64.8		73.1		4.0		4.0
Retirement benefits	263.5		517.7		32.9		37.5
Deferred income taxes	2,981.9		2,575.4		64.9		51.3
Other assets	850.6		654.3		648.2		622.2
Assets held for sale			505.0
Total Assets	$	28,296.7	$	29,876.4	$	42,783.6	$	38,646.0
LIABILITIES AND STOCKHOLDERS’ EQUITY
LIABILITIES
Short-term borrowings	$	434.1	$	1,080.4	$	7,585.1	$	7,708.5
Short-term securitization borrowings					4,558.5		4,109.1
Payables to unconsolidated subsidiaries and affiliates	101.0		106.9		3,633.7		3,470.8
Accounts payable and accrued expenses	7,518.4		7,990.9		2,027.0		1,849.8
Deferred income taxes	87.1		92.4		344.1		369.1
Long-term borrowings	4,642.5		4,870.9		19,738.2		16,706.8
Retirement benefits and other liabilities	6,448.1		5,346.8		82.8		74.1
Liabilities held for sale			120.4
Total liabilities	19,231.2		19,608.7		37,969.4		34,288.2
Commitments and contingencies (Note 22)
STOCKHOLDERS’ EQUITY
Common stock, $1 par value (authorized - 1,200,000,000 shares; issued - 536,431,204 shares in 2014 and 2013), at paid-in amount	3,675.4		3,524.2		2,023.1		1,956.3
Common stock in treasury, 190,926,805 shares in 2014 and 162,628,440 shares in 2013, at cost	(12,834.2)		(10,210.9)
Retained earnings	22,004.4		19,645.6		2,811.8		2,337.3
Accumulated other comprehensive income (loss)	(3,783.0)		(2,693.1)		(20.7)		64.2
Total Deere & Company stockholders’ equity	9,062.6		10,265.8		4,814.2		4,357.8
Noncontrolling interests	2.9		1.9
Total stockholders’ equity	9,065.5		10,267.7		4,814.2		4,357.8
Total Liabilities and Stockholders’ Equity	$	28,296.7	$	29,876.4	$	42,783.6	$	38,646.0

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

The supplemental consolidating data is presented for informational purposes. The “Equipment Operations” reflect the basis of consolidation described in Note 1 to the consolidated financial statements. Transactions between the “Equipment Operations” and “Financial Services” have been eliminated to arrive at the consolidated financial statements.

Supplemental Consolidating Data Statement of Cash Flows

STATEMENT OF CASH FLOWS

For the Years Ended October 31, 2014, 2013 and 2012

(In millions of dollars)

	EQUIPMENT OPERATIONS*						FINANCIAL SERVICES
	2014		2013		2012		2014		2013		2012
Cash Flows from Operating Activities
Net income	$	3,163.3	$	3,537.6	$	3,071.6	$	624.5	$	565.0	$	460.3
Adjustments to reconcile net income to net cash provided by operating activities:
Provision (credit) for credit losses	2.9		10.8		6.0		35.2		9.7		(.9)
Provision for depreciation and amortization	795.7		733.0		643.1		574.9		492.2		439.2
Impairment charges	95.9		102.0		33.4
Undistributed earnings of unconsolidated subsidiaries and affiliates	(463.4)		(369.0)		(413.7)		(1.7)		(.9)		(1.3)
Provision (credit) for deferred income taxes	(236.4)		(204.6)		(115.7)		(43.7)		32.0		23.9
Changes in assets and liabilities:
Trade receivables	231.5		26.1		(255.0)
Insurance receivables							(149.9)		263.4		(338.5)
Inventories	496.2		(69.6)		(947.6)
Accounts payable and accrued expenses	(277.0)		470.5		887.0		263.3		(207.9)		382.1
Accrued income taxes payable/receivable	330.5		84.2		(102.7)		12.1		(3.8)		30.4
Retirement benefits	323.0		241.6		71.2		13.9		20.4		(7.9)
Other	70.0		106.0		70.5		(7.7)		73.5		(109.9)
Net cash provided by operating activities	4,532.2		4,668.6		2,948.1		1,320.9		1,243.6		877.4
Cash Flows from Investing Activities
Collections of receivables (excluding trade and wholesale)							16,772.0		15,440.0		14,320.7
Proceeds from maturities and sales of marketable securities	1,000.1		800.1		200.1		22.4		43.8		40.2
Proceeds from sales of equipment on operating leases							1,091.5		936.7		799.5
Proceeds from sales of businesses, net of cash sold	345.8		22.0		30.2
Cost of receivables acquired (excluding trade and wholesale)							(19,015.3)		(18,792.7)		(16,730.2)
Purchases of marketable securities	(504.1)		(911.1)		(802.2)		(110.5)		(115.2)		(120.0)
Purchases of property and equipment	(1,045.2)		(1,155.2)		(1,316.2)		(3.1)		(3.2)		(3.1)
Cost of equipment on operating leases acquired							(2,684.2)		(2,107.2)		(1,562.0)
Increase in investment in Financial Services	(66.8)		(121.6)		(264.1)
Acquisitions of businesses, net of cash acquired			(83.5)
Increase in trade and wholesale receivables							(782.0)		(1,152.7)		(1,518.5)
Other	(98.6)		(120.0)		(95.6)		(47.1)		(94.5)		138.8
Net cash used for investing activities	(368.8)		(1,569.3)		(2,247.8)		(4,756.3)		(5,845.0)		(4,634.6)
Cash Flows from Financing Activities
Increase (decrease) in total short-term borrowings	(65.8)		36.0		(36.4)		155.0		2,713.5		931.3
Change in intercompany receivables/payables	(367.5)		(2,007.2)		45.5		367.5		2,007.2		(45.5)
Proceeds from long-term borrowings	60.7		282.9		2,521.5		8,171.3		4,451.1		8,120.5
Payments of long-term borrowings	(819.1)		(191.0)		(220.1)		(4,390.0)		(4,767.4)		(5,175.9)
Proceeds from issuance of common stock	149.5		174.5		61.0
Repurchases of common stock	(2,731.1)		(1,531.4)		(1,587.7)
Capital investment from Equipment Operations							66.8		121.6		264.1
Dividends paid	(786.0)		(752.9)		(697.9)		(150.0)		(186.0)		(43.5)
Excess tax benefits from share-based compensation	30.8		50.7		30.1
Other	(27.7)		(40.1)		(32.7)		(35.9)		(19.2)		(33.6)
Net cash provided by (used for) financing activities	(4,556.2)		(3,978.5)		83.3		4,184.7		4,320.8		4,017.4
Effect of Exchange Rate Changes on Cash and Cash Equivalents	(61.3)		(5.4)		(63.2)		(12.3)		17.1		24.4
Net Increase (Decrease) in Cash and Cash Equivalents	(454.1)		(884.6)		720.4		737.0		(263.5)		284.6
Cash and Cash Equivalents at Beginning of Year	3,023.3		3,907.9		3,187.5		480.8		744.3		459.7
Cash and Cash Equivalents at End of Year	$	2,569.2	$	3,023.3	$	3,907.9	$	1,217.8	$	480.8	$	744.3

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

The supplemental consolidating data is presented for informational purposes. The “Equipment Operations” reflect the basis of consolidation described in Note 1 to the consolidated financial statements. Transactions between the “Equipment Operations” and “Financial Services” have been eliminated to arrive at the consolidated financial statements.