Sunday, June 8th, 2008
Deere said it has signed an agreement with the Russian government and local authorities to invest approximately $80 million in a central operations center which includes a distribution, replacement parts and training facility in the Kaluga region, 38 miles southwest of Moscow.
“We believe this is one of the largest single investment projects of a non-Russian farm and forestry equipment manufacturer in Russia,” said Robert W. Lane, Deere & Company chairman and chief executive officer. “Our strategic investment reflects Deere’s confidence in the Russian and other Commonwealth of Independent States (CIS) markets. It also recognizes the commitment of our dedicated Russian employees and the support of the Russian government and local authorities.”
In its initial stage, the new 98-acre facility in the Kaluga region will accommodate a 322,000-square-foot replacement parts distribution center, a training facility for dealer personnel, including a product demonstration site, and a whole goods distribution facility.
“The site will leave room for further expansion potential as our business in Russia continues to grow,” said Mark von Pentz, president of Deere’s Agriculture Division for Europe, Africa and South America. “This new center, which will be operational in 2010, marks a growing commitment to this important region. As an interim step for further investments, it also contains a provision for local assembly and manufacturing at a later stage.”
* MFWD TRACTOR Available Oct.2008 . 1000 PTO
* P.S. 4 SCV
* Rear Tire 480 80 X46
* 380 85 34
John Deere has a long history of agricultural and forestry equipment sales to Russia. In the late 1920s, the company sold a significant number of plows and its famous Waterloo Boy tractors in Russia. The forestry markets have been served in Russia for over 30 years