John Deere 2012 Annual Report Download - page 52

Information relating to operations by operating segment
in millions of dollars follows. In addition to the following
unaffiliated sales and revenues by segment, intersegment sales
and revenues in 2012, 2011 and 2010 were as follows:
agriculture and turf net sales of $84 million, $98 million and
$59 million, construction and forestry net sales of $1 million,
$3 million and $7 million, and financial services revenues of
$219 million, $210 million and $224 million, respectively.
OPERATING SEGMENTS 2012 2011 2010
Net sales and revenues
Unaffiliated customers:
Agriculture and turf net sales ................. $ 27,123 $ 24,094 $ 19,868
Construction and forestry
net sales ........................................... 6,378 5,372 3,705
Total net sales ................................... 33,501 29,466 23,573
Financial services revenues ........................ 2,235 2,163 2,074
Other revenues* ........................................ 421 384 358
Total ........................................................ $ 36,157 $ 32,013 $ 26,005
* Other revenues are primarily the equipment operations’ revenues for finance
and interest income, and other income as disclosed in Note 31, net of certain
intercompany eliminations.
Operating prot
Agriculture and turf .................................... $ 3,921 $ 3,447 $ 2,790
Construction and forestry ........................... 476 392 119
Financial services* ..................................... 712 725 499
Total operating profit.............................. 5,109 4,564 3,408
Interest income .......................................... 43 47 42
Investment income .................................... 2
Interest expense ........................................ (231) (191) (184)
Foreign exchange losses from equipment
operations’ financing activities ............... (11) (11) (30 )
Corporate expenses – net .......................... (181) (177) (200)
Income taxes ............................................. (1,659 ) (1,424) (1,162)
Total ..................................................... (2,037) (1,756) (1,534)
Net income ................................................ 3,072 2,808 1,874
Less: Net income attributable to
noncontrolling interests .......................... 7 8 9
Net income attributable to
Deere & Company ................................. $ 3,065 $ 2,800 $ 1,865
* Operating profit of the financial services business segment includes the effect of its
interest expense and foreign exchange gains or losses.
(continued)
OPERATING SEGMENTS 2012 2011 2010
Interest income*
Agriculture and turf .................................... $ 29 $ 23 $ 20
Construction and forestry ........................... 2 3 3
Financial services ...................................... 1,610 1,581 1,528
Corporate .................................................. 43 47 42
Intercompany ............................................ (248) (231) (229)
Total ..................................................... $ 1,436 $ 1,423 $ 1,364
* Does not include finance rental income for equipment on operating leases.
Interest expense
Agriculture and turf .................................... $ 168 $ 152 $ 165
Construction and forestry ........................... 36 26 21
Financial services ...................................... 596 621 670
Corporate .................................................. 231 191 184
Intercompany ............................................ (248) (231) (229)
Total ..................................................... $ 783 $ 759 $ 811
Depreciation* and amortization
expense
Agriculture and turf .................................... $ 550 $ 505 $ 470
Construction and forestry ........................... 93 82 79
Financial services ...................................... 361 328 366
Total ..................................................... $ 1,004 $ 915 $ 915
* Includes depreciation for equipment on operating leases.
Equity in income (loss) of
unconsolidated afliates
Agriculture and turf .................................... $ (2) $ 5 $ 13
Construction and forestry ........................... (2) 3 (3)
Financial services ...................................... 1 1 1
Total ..................................................... $ (3) $ 9 $ 11
Identiable operating assets
Agriculture and turf .................................... $ 10,429 $ 9,178 $ 7,593
Construction and forestry ........................... 3,365 2,915 2,353
Financial services ...................................... 34,495 29,795 27,507
Corporate* ................................................ 7,97 7 6,319 5,814
Total ..................................................... $ 56,266 $ 48,207 $ 43,267
* Corporate assets are primarily the equipment operations’ retirement benefits,
deferred income tax assets, marketable securities and cash and cash equivalents
as disclosed in Note 31, net of certain intercompany eliminations.
Capital additions
Agriculture and turf .................................... $ 1,145 $ 909 $ 729
Construction and forestry ........................... 228 148 73
Financial services ...................................... 3 2
Total ..................................................... $ 1,376 $ 1,059 $ 802
Investments in unconsolidated afliates
Agriculture and turf .................................... $ 32 $ 35 $ 66
Construction and forestry ........................... 174 159 172
Financial services ...................................... 9 8 7
Total ..................................................... $ 215 $ 202 $ 245
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