[dragon368]

Just read on deeres website that there going to stick 35 million dollars into the factory that builds the combines to expand it 30 percent to help with the high demand of the machines. Just wondering how much of that cost is going to roll over on to the buyers of those combines anybody have a idea on what its going to be over 300 grand for a combine next year is my guess?

 

[combiness]

It was not that many years ago, the plant had TWO, not just one assembly lines. It was the only combine plant I ever visited, with that type of setup. I'm surprised they remodeled the plant and did away with that second line.

It seemed especially logical to have the two lines, back when they ran both walker and rotor machines out of the same plant.

 

[Tom Turner]

http://www.deere.com/en_US/newsroom/2008....8a_release.html

 

[larry]

"High demand for machines." How long do you think thats going to last? Farm machinery, especially combines, has been on a gradual decline for the past 15 years. With only a few up-swing years during the last 15 to generate much needed short-term encouragement.

Honestly, within Deere's grand scheme of things, $35 million really isn't a significant amount of investment into a production / assembly facility. 30 percent increase is likely from overall company "complexity reduction" to rationalize policy and procedure and upgrade tooling and maintenance.

 

[tractor8100]

Russia and the CIS want rotors, for increased production and to replace all those 9500s they bought over 10 years ago. Lets see, $50,000 (SWAG) profit per machine, at 2000 units (SWAG also), thats a $100 million net, one year's production on the second line. Payback is quick.