John Deere Financial Portfolio and Funding Deere & Company May 2016

Safe Harbor Statement & Disclosures This presentation includes forward-looking comments subject to important risks and uncertainties. It may also contain financial measures that are not in conformance with accounting principles generally accepted in the United States of America (GAAP). Refer to Deere’s reports filed on Forms 8-K (current), 10-Q (quarterly), and 10-K (annual) for information on factors that could cause actual results to differ materially from information in this presentation and for information reconciling financial measures to GAAP. Past performance may not be representative of future results. Guidance noted in the following slides was effective as of the company’s most recent earnings release and conference call (20 May 2016). Nothing in this presentation should be construed as reaffirming or disaffirming such guidance. This presentation is not, nor part of, an offer to sell or a solicitation of offers to buy any of Deere’s securities.

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May 2016

Deere Use-of-Cash Priorities Cash from Operations

Committed to “A” Rating

Fund Operating and Growth Needs

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Manage the balance sheet, including liquidity, to support a rating that provides access to low-cost and readily available short- and long-term funding mechanisms Reflects the strategic nature of our financial services operation Fund value-creating investments in our businesses

Common Stock Dividend

Consistently and moderately raise dividend targeting a 25%35% payout ratio of mid-cycle earnings

Share Repurchase

Consider share repurchase as a means to deploy excess cash to shareholders, once above requirements are met and repurchase is viewed as value-enhancing

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May 2016

John Deere Financial Services

$38.2 Billion Net Owned Portfolio at 31 October 2015

Portfolio Composition by Geography

Portfolio Composition by Market

Latin America 5% C&F 15%

Australia 2% Asia 1%

Portfolio Composition by Product Operating Lease 13%

Europe 5% Revolving Credit 7%

Canada 10%

Wholesale / Floorplan 21% Ag & Turf 85%

US 77%

Installment and Finance Lease 59%

Information above includes all Deere lending activities worldwide. John Deere Capital Corporation is the largest lending operation of Deere & Company.

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John Deere Capital Corporation Profitability and Growth

Net Income ($ Millions)

544

498

469 383

364 311

319

282

149

2007

2008

2009

2010

2011

2012

2013

2014

2015

Administered Portfolio Growth ($ Billions) 30.7

23.3 19.0

19.1

19.3

33.1

32.7

Write-offs/Average Owned Portfolio

26.6

21.1

0.70% 0.48%

0.29% 0.33%

0.12% 0.05% 0.03%

2007

5

2008

2009

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2010

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2011

May 2016

2012

2013

2014

2015

2007

2008

2009

2010

2011

2012

2013

0.09% 2014

0.11% 2015

John Deere Capital Corporation

Retail Notes 60+ Days Past Due vs. Write-offs Agriculture & Turf1 • Continued extremely low write-offs

Construction & Forestry • Continued extremely low write-offs

• Average write-offs less than 5 bps over last 10 years 3.95%

3.95%

3.45%

3.45%

2.95%

2.95%

2.45%

2.45%

1.95%

1.95%

1.45%

1.45%

0.95%

0.95%

0.45%

0.45%

-0.05%

-0.05% '83

'85

'87

'89 '91 '93 '95 '97 Net Write-offs (Ag)

'99

'01 '03 '05 '07 '09 '11 Installments 60+DPD (Ag)

'13

'15

'95 '97 '99 '01 '03 '05 '07 '09 '11 '13 '15

Net Write-offs (C&F)

Installments 60+DPD (C&F)

(1) 1983 – 1985 includes Construction; 1986 - 1994 includes Lawn & Grounds Care; beginning in 2009 includes both Ag and Turf equipment; As % of Owned Losses After Dealer Reserve Charges Source: 1983 – 1994 internal reporting, 1995 - 2011 JDCC 10-K filings, 2012-2015 internal reporting

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Worldwide Financial Services Credit Loss History

Provision for Credit Losses / Average Owned Portfolio 2.00%

1.50%

1.00% 0.17% 0.50% 15 Year Average 10 Year Average

0.00% 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 2012 2014 2016* * Annualized provision for credit losses as of 30 April 2016

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Lending, Collection and Remarketing Practices Contribute to Low Losses Ag & Turf Dealer Reserve

• Dealers have financial interest in performance • 1% withheld on each note, pooled reserve • Reserve level caps ranging from 0.5% to 3.0% of outstanding portfolio • Based on credit performance, avoiding reserve charges, and dealer engagement

Collection • • • •

Experts in the equipment markets served Strong analytics to support approach Internally serviced / regional assignments Close working relationship with dealers

Remarketing

• Product expertise • Best distribution channel – Dealer network • Dedicated remarketing team • Proven inspection process • Strong collateral support

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John Deere Financial Funding Strategy Maintain diverse, sustainable funding sources: • Term Debt, Asset Backed Securitization, and Commercial Paper • Commercial Paper issuances backstopped by a $7.0 billion credit line

Sustain appropriate liquidity profile: • Develop redundancy and flexibility in funding options • Balance funding cost and refunding risk

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Committed Bank Group Supports Credit Facility • Average length of continuous relationship = ~30 Years • $7.0 billion credit facility supporting commercial paper* – $2.9 billion tranche expiring in 2021 – $2.9 billion tranche expiring in 2020 – $1.2 billion 364-day tranche expiring in 2017 – Have not drawn on facility – $4.0 billion incremental capacity as of 30 Apr 2016 Credit Facility Size & Commercial Paper Outstanding $8,000

$ Millions

$7,000 $6,000 $5,000 $4,000 $3,000 $2,000 $1,000 $0 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015

Total Facility

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CP Outstanding as of October 31

Multiple Sources of Liquidity Successful Access to Traditional Markets • Unsecured Term Debt – USD – EUR – CAD – ARS – AUD

• Term Asset Backed Securitization • Commercial Paper

Incremental Sources of Liquidity • Asset Backed Commercial Paper Conduit • Retail Notes

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John Deere Financial External Funding Mix Total Debt ($B) $14.0

$14.8

$17.0

$18.1

11%

11%

13%

$19.7

$20.2

$21.0

100% 13%

Percent of Total External Funding

80%

22%

18%

17%

17%

14%

12%

14%

$20.9 1%

15%

9%

$22.9

$26.6

4%

4%

12%

13%

11%

8%

$28.5 11%

$31.4 7% 15%

14%

$31.9 9% 14%

60%

40% 69%

67%

72%

70%

74%

78%

84%

80%

83%

83%

75%

80%

78%

20%

0% Oct FY03 Oct FY04

Oct FY05

Oct FY06 Oct FY07

Oct FY08 Oct FY09

Long Term Debt

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ABS

Oct FY10 Oct FY11 CP

Oct FY12 Oct FY13

Oct FY14 Oct FY15

Key Funding Entities

Support Agreement - Deere agrees to: •

Maintain JDCC’s fixed charge coverage > 1.05 to 1

•

Own > 51% voting shares of JDCC’s capital stock

•

Maintain JDCC net worth > $50 million

Deere & Company United States

John Deere Capital Corp. United States

John Deere Cash Mgmt. Luxembourg

(Deere Support Agreement)

(Debt guaranteed by Deere*)

John Deere Canada ULC (Debt guaranteed by Deere*)

John Deere Financial Ltd. Australia (Debt guaranteed by JDCC*)

John Deere Financial Inc. Canada

John Deere Bank S.A. Luxembourg

(Debt guaranteed by JDCC*)

(Debt guaranteed by JDCC*)

John Deere Credit Compañía Financiera S.A. Argentina (No guarantee)

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John Deere Canada Funding Inc. * Debt guarantee applies to specific debt programs for which a guarantee has been executed by the guarantor.

(Debt guaranteed by JDCC*)

Funding Programs Institutional Unsecured Term Debt: • United States: Deere & Company and John Deere Capital Corporation • EMTN: Deere & Company, John Deere Bank S.A., John Deere Cash Mgmt S.A., John Deere Capital Corp • Canada: John Deere Canada Funding Inc. • Australia & New Zealand: John Deere Financial Ltd. • Argentina: John Deere Credit Compañía Financiera S.A.

Asset Backed Securitization: • United States ABCP & Term Debt ABS: John Deere Capital Corporation (Servicer)

Unsecured Commercial Paper: • • • •

United States: All key funding entities Europe: All key funding entities Canada: John Deere Canada ULC and John Deere Financial Inc. Australia & New Zealand: John Deere Financial Ltd.

Retail Unsecured Term Debt: • United States Retail Notes: John Deere Capital Corporation

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John Deere Financial Maturity Profile

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