{
  "ticker": "DE",
  "company": "Deere & Company",
  "filing_type": "10-K",
  "year_current": "2024",
  "year_prior": "2023",
  "summary": {
    "added": 23,
    "removed": 22,
    "modified": 58,
    "unchanged": 22,
    "total_current": 103,
    "total_prior": 102
  },
  "source": "SEC EDGAR",
  "url": "https://riskdiff.com/de/2024-vs-2023/",
  "markdown_url": "https://riskdiff.com/de/2024-vs-2023/index.md",
  "json_url": "https://riskdiff.com/de/2024-vs-2023/index.json",
  "generated": "2026-06-01",
  "ai_summary": null,
  "risks": [
    {
      "status": "ADDED",
      "current_title": "Failure by our supply base to use ethical business practices and comply with applicable laws and regulations may adversely affect our business, financial condition, and operational results.",
      "prior_title": null,
      "current_body": "While we conduct due diligence on our suppliers and require their compliance with various policies and contractual covenants, we do not control our suppliers’ business practices. Accordingly, we cannot guarantee that our due diligence efforts will reveal that they follow ethical business practices such as fair wage practices and compliance with environmental, safety, labor, human rights, material sourcing, and other laws. A lack of compliance could lead us to seek alternative suppliers, which could increase our costs and result in delayed delivery of our products, product shortages, or other disruptions of our operations. If our suppliers or retail partners fail to comply with applicable laws, regulations, safety codes, employment practices, human rights standards, quality standards, environmental standards, production practices, or other obligations, norms, identification and reporting requirements, or ethical standards, our reputation and brand could be harmed, and we could be exposed to litigation, investigations, enforcement actions, monetary liability and additional costs that could have a material adverse effect on our business, financial condition, and results of operations. 14 14 14 Table of ContentsUnfavorable weather conditions or natural catastrophes that reduce agricultural production and demand for agriculture and turf equipment could directly and indirectly affect our business. The purchasing decisions of our customers, particularly the purchasers of agriculture and turf equipment, can be significantly affected by poor or unusual weather conditions. Such conditions include: ●Insufficient levels of rain, which prevent farmers from planting new crops and may cause growing crops to die or result in lower yields; ●Excessive rain or flooding can prevent planting from occurring at optimal times and may cause crop loss through increased disease or mold growth; ●Temperatures outside normal ranges, which can cause crop failure or decreased yields and may also affect disease incidence; ●Natural disasters such as regional floods, hurricanes or other storms, droughts, diseases, wildfires, and pests, either as a physical effect of climate change or otherwise, which have had, and could in the future have, significant negative effects on agricultural and livestock production;●Adverse weather conditions in a particular geographic region, particularly during the important spring selling season; and●Drought conditions can adversely affect sales of certain mowing equipment and can similarly cause lower sales volume.Each of these conditions could negatively affect demand for agricultural and turf equipment and the financial condition and credit risk of our dealers and customers. Unexpected events have increased and may in the future increase our cost of doing business or disrupt our operations.The occurrence of one or more unexpected events, including war, acts of terrorism, epidemics and pandemics (such as the COVID pandemic), civil unrest, fires, tornadoes, tsunamis, hurricanes, earthquakes, floods, and other forms of severe weather in the United States or in other countries in which we operate, or in which our suppliers are located, have adversely affected and could in the future adversely affect our operations and financial performance. Such events have caused and could cause complete or partial closure of one or more of our manufacturing facilities or distribution centers, temporary or long-term disruptions in the supply of component products from some local and international suppliers, and disruption and delay in the transport of products to dealers, end-users, and distribution centers. Most recently, Hurricane Helene in the U.S. closed operations at our Augusta, Georgia and Greenville, Tennessee facilities temporarily. Existing insurance coverage may not provide protection from all the costs that may arise from such events.The potential physical impacts of climate change on our facilities, suppliers, and customers, and therefore on our operations, are highly uncertain and will be particular to the circumstances developing in various geographic regions. These potential physical effects may adversely affect the demand for our products and the cost, production, sales, and financial performance of our operations. Our business could be adversely affected by the infringement or loss of intellectual property rights.We protect our intellectual property with a combination of patents, trademarks, copyrights, trade secret laws, and legal agreements. We heavily rely on certain trademarks to protect our identity and customer recognition of our products and services, including, but not limited to, the “John Deere” mark, the leaping deer logo, the “Nothing Runs Like a Deere” slogan, and the green and yellow color combination. These trademarks, as well as the many patents that protect innovations used in our products, are integral to our business, and their loss could have a material adverse effect on us. Additionally, third parties may initiate legal proceedings to challenge the validity of our intellectual property or allege that we infringe on their intellectual property. We may incur substantial costs if third parties initiate such legal proceedings, or if we initiate legal proceedings to protect or enforce our intellectual property. If the outcome of any such legal proceedings is unfavorable to us, our business could be adversely affected. Rationalization or restructuring of manufacturing facilities, and plant expansions and updates at our manufacturing facilities may cause capacity constraints, inventory fluctuations, and other issues. The rationalization or restructuring of our manufacturing facilities, including relocating production or closing facilities, may result in temporary constraints on our ability to produce the quantity of products necessary to fill orders and thereby complete sales in a timely manner. In addition, decisions regarding the rationalization, restructuring or relocation of facilities, such as the recently announced shifting of production of skid steer loaders and compact track loaders from our Dubuque, Iowa factory to Ramos, Mexico, and any similar actions we may undertake in the future, could also subject us to additional or new tariffs, other issues relating to the importation of products, fines, and reputational risks. Finally, the expansion and reconfiguration of existing manufacturing facilities, as well as new or expanded manufacturing operations in emerging markets, such as Brazil, could increase the risk of production delays, as well as require significant investments. 15 Table of Contents Table of Contents Table of Contents Unfavorable weather conditions or natural catastrophes that reduce agricultural production and demand for agriculture and turf equipment could directly and indirectly affect our business. The purchasing decisions of our customers, particularly the purchasers of agriculture and turf equipment, can be significantly affected by poor or unusual weather conditions. Such conditions include: ●Insufficient levels of rain, which prevent farmers from planting new crops and may cause growing crops to die or result in lower yields; ●Excessive rain or flooding can prevent planting from occurring at optimal times and may cause crop loss through increased disease or mold growth; ●Temperatures outside normal ranges, which can cause crop failure or decreased yields and may also affect disease incidence; ●Natural disasters such as regional floods, hurricanes or other storms, droughts, diseases, wildfires, and pests, either as a physical effect of climate change or otherwise, which have had, and could in the future have, significant negative effects on agricultural and livestock production;●Adverse weather conditions in a particular geographic region, particularly during the important spring selling season; and●Drought conditions can adversely affect sales of certain mowing equipment and can similarly cause lower sales volume.Each of these conditions could negatively affect demand for agricultural and turf equipment and the financial condition and credit risk of our dealers and customers. Unexpected events have increased and may in the future increase our cost of doing business or disrupt our operations.The occurrence of one or more unexpected events, including war, acts of terrorism, epidemics and pandemics (such as the COVID pandemic), civil unrest, fires, tornadoes, tsunamis, hurricanes, earthquakes, floods, and other forms of severe weather in the United States or in other countries in which we operate, or in which our suppliers are located, have adversely affected and could in the future adversely affect our operations and financial performance. Such events have caused and could cause complete or partial closure of one or more of our manufacturing facilities or distribution centers, temporary or long-term disruptions in the supply of component products from some local and international suppliers, and disruption and delay in the transport of products to dealers, end-users, and distribution centers. Most recently, Hurricane Helene in the U.S. closed operations at our Augusta, Georgia and Greenville, Tennessee facilities temporarily. Existing insurance coverage may not provide protection from all the costs that may arise from such events.The potential physical impacts of climate change on our facilities, suppliers, and customers, and therefore on our operations, are highly uncertain and will be particular to the circumstances developing in various geographic regions. These potential physical effects may adversely affect the demand for our products and the cost, production, sales, and financial performance of our operations. Our business could be adversely affected by the infringement or loss of intellectual property rights.We protect our intellectual property with a combination of patents, trademarks, copyrights, trade secret laws, and legal agreements. We heavily rely on certain trademarks to protect our identity and customer recognition of our products and services, including, but not limited to, the “John Deere” mark, the leaping deer logo, the “Nothing Runs Like a Deere” slogan, and the green and yellow color combination. These trademarks, as well as the many patents that protect innovations used in our products, are integral to our business, and their loss could have a material adverse effect on us. Additionally, third parties may initiate legal proceedings to challenge the validity of our intellectual property or allege that we infringe on their intellectual property. We may incur substantial costs if third parties initiate such legal proceedings, or if we initiate legal proceedings to protect or enforce our intellectual property. If the outcome of any such legal proceedings is unfavorable to us, our business could be adversely affected. Rationalization or restructuring of manufacturing facilities, and plant expansions and updates at our manufacturing facilities may cause capacity constraints, inventory fluctuations, and other issues. The rationalization or restructuring of our manufacturing facilities, including relocating production or closing facilities, may result in temporary constraints on our ability to produce the quantity of products necessary to fill orders and thereby complete sales in a timely manner. In addition, decisions regarding the rationalization, restructuring or relocation of facilities, such as the recently announced shifting of production of skid steer loaders and compact track loaders from our Dubuque, Iowa factory to Ramos, Mexico, and any similar actions we may undertake in the future, could also subject us to additional or new tariffs, other issues relating to the importation of products, fines, and reputational risks. Finally, the expansion and reconfiguration of existing manufacturing facilities, as well as new or expanded manufacturing operations in emerging markets, such as Brazil, could increase the risk of production delays, as well as require significant investments. Unfavorable weather conditions or natural catastrophes that reduce agricultural production and demand for agriculture and turf equipment could directly and indirectly affect our business. The purchasing decisions of our customers, particularly the purchasers of agriculture and turf equipment, can be significantly affected by poor or unusual weather conditions. Such conditions include: ●Insufficient levels of rain, which prevent farmers from planting new crops and may cause growing crops to die or result in lower yields; ●Excessive rain or flooding can prevent planting from occurring at optimal times and may cause crop loss through increased disease or mold growth; ●Temperatures outside normal ranges, which can cause crop failure or decreased yields and may also affect disease incidence; ●Natural disasters such as regional floods, hurricanes or other storms, droughts, diseases, wildfires, and pests, either as a physical effect of climate change or otherwise, which have had, and could in the future have, significant negative effects on agricultural and livestock production;●Adverse weather conditions in a particular geographic region, particularly during the important spring selling season; and●Drought conditions can adversely affect sales of certain mowing equipment and can similarly cause lower sales volume.Each of these conditions could negatively affect demand for agricultural and turf equipment and the financial condition and credit risk of our dealers and customers. Unexpected events have increased and may in the future increase our cost of doing business or disrupt our operations.The occurrence of one or more unexpected events, including war, acts of terrorism, epidemics and pandemics (such as the COVID pandemic), civil unrest, fires, tornadoes, tsunamis, hurricanes, earthquakes, floods, and other forms of severe weather in the United States or in other countries in which we operate, or in which our suppliers are located, have adversely affected and could in the future adversely affect our operations and financial performance. Such events have caused and could cause complete or partial closure of one or more of our manufacturing facilities or distribution centers, temporary or long-term disruptions in the supply of component products from some local and international suppliers, and disruption and delay in the transport of products to dealers, end-users, and distribution centers. Most recently, Hurricane Helene in the U.S. closed operations at our Augusta, Georgia and Greenville, Tennessee facilities temporarily. Existing insurance coverage may not provide protection from all the costs that may arise from such events.The potential physical impacts of climate change on our facilities, suppliers, and customers, and therefore on our operations, are highly uncertain and will be particular to the circumstances developing in various geographic regions. These potential physical effects may adversely affect the demand for our products and the cost, production, sales, and financial performance of our operations. Our business could be adversely affected by the infringement or loss of intellectual property rights.We protect our intellectual property with a combination of patents, trademarks, copyrights, trade secret laws, and legal agreements. We heavily rely on certain trademarks to protect our identity and customer recognition of our products and services, including, but not limited to, the “John Deere” mark, the leaping deer logo, the “Nothing Runs Like a Deere” slogan, and the green and yellow color combination. These trademarks, as well as the many patents that protect innovations used in our products, are integral to our business, and their loss could have a material adverse effect on us. Additionally, third parties may initiate legal proceedings to challenge the validity of our intellectual property or allege that we infringe on their intellectual property. We may incur substantial costs if third parties initiate such legal proceedings, or if we initiate legal proceedings to protect or enforce our intellectual property. If the outcome of any such legal proceedings is unfavorable to us, our business could be adversely affected. Rationalization or restructuring of manufacturing facilities, and plant expansions and updates at our manufacturing facilities may cause capacity constraints, inventory fluctuations, and other issues. The rationalization or restructuring of our manufacturing facilities, including relocating production or closing facilities, may result in temporary constraints on our ability to produce the quantity of products necessary to fill orders and thereby complete sales in a timely manner. In addition, decisions regarding the rationalization, restructuring or relocation of facilities, such as the recently announced shifting of production of skid steer loaders and compact track loaders from our Dubuque, Iowa factory to Ramos, Mexico, and any similar actions we may undertake in the future, could also subject us to additional or new tariffs, other issues relating to the importation of products, fines, and reputational risks. Finally, the expansion and reconfiguration of existing manufacturing facilities, as well as new or expanded manufacturing operations in emerging markets, such as Brazil, could increase the risk of production delays, as well as require significant investments."
    },
    {
      "status": "ADDED",
      "current_title": "We may not realize the anticipated benefits of our Smart Industrial Operating Model and Leap Ambitions.",
      "prior_title": null,
      "current_body": "Failure to realize the anticipated benefits of our Smart Industrial Operating Model and related business strategies in production systems, precision technologies, and aftermarket support, as well as failure to have selected a business strategy that aligns with our customer needs and market trends, could have an adverse effect on our operational and financial results. Several factors could impact our ability to successfully execute our Smart Industrial Operating Model, including, among other things: Similarly, we may not realize the anticipated benefits of our Leap Ambitions and related goals within the expected timelines, or at all. As part of our Leap Ambitions, we adopted various goals we expect to achieve by 2026 or 2030, but these goals and their timelines might be modified or updated. We may modify or not be able to achieve these goals for a variety of reasons, some of which may be beyond our control. Examples include:"
    },
    {
      "status": "ADDED",
      "current_title": "Our reputation and brand could be damaged by negative publicity.",
      "prior_title": null,
      "current_body": "Our brand has worldwide recognition and contributes to the success of our business. Our reputation is critical to growing our customer base. Our brand depends on the ability to maintain a positive customer perception of the business. Negative claims or publicity 18 18 18 Table of Contentsinvolving us, our products or services, our culture and values, our stance on environmental, social, and governance topics, customer data, or any of our key employees or suppliers, damages our reputation and brand image, regardless of whether such claims are accurate. Furthermore, our shareholders, customers, and other stakeholders have evolving, varied and often times conflicting expectations regarding our culture, values, and our business, which makes it difficult to achieve a uniform positive perception amongst all stakeholders. Additionally, negative or inaccurate postings, articles, or comments on social media, the internet, or the press about us have generated negative publicity that damages the reputation of our brand. For example, in fiscal year 2024, we experienced negative social media campaigns related to our approach to diversity and inclusion, our customers’ right to maintain and safely repair their equipment, including with respect to our Memorandum of Understanding with American Farm Bureau Federation, reductions in workforce, and production relocation. Further, adverse publicity about regulatory or legal action against us, or legal proceedings initiated by us, also damages our reputation and brand image, undermining customer confidence, and reducing long-term demand for equipment, even if the regulatory or legal action is unfounded or not material to our operations. If the reputation, culture, or image of our brands are damaged, or we receive negative publicity, then our sales, financial condition, and results of operations could be materially and adversely affected.TALENT RISKS Our ability to attract, develop, engage, and retain qualified employees could affect our ability to execute our strategy.Our continued success depends, in part, on our ability to identify and attract qualified candidates with the requisite education, background, and experience, as well as our ability to develop, engage, and retain qualified employees. Failure to attract, develop, engage, and retain qualified employees, whether as a result of an insufficient number of qualified applicants, difficulty in recruiting new employees, or inadequate resources to train, integrate, and retain qualified employees, could impair our ability to execute our business strategy and could adversely affect our business, results of operations, and financial condition. In addition, our culture and our values have been important contributors to our success to date and promote a sense of pride and fulfillment in our employees. Failure to preserve our culture or focus on our values could negatively affect our ability to retain and recruit talent. While we strive to reduce the impact of the departure of employees, our operations or ability to execute our business strategy may be affected by the loss of employees, such as in connection with the reduction in workforce we conducted in fiscal year 2024. This reduction may adversely affect us as a result of decreased employee morale, the loss of institutional knowledge held by departing employees, the allocation of resources to reorganize and reassign job roles and responsibilities, and the increased risk of litigation from former employees. In addition, we may not realize the expected cost savings from the reduction in workforce. We may also conduct other workforce reductions in the future, if deemed appropriate for our business.Disputes with labor unions may adversely affect our ability to operate in our facilities as well as impact our financial results. Many of our production and maintenance employees are represented by labor unions under various collective bargaining agreements with different expiration dates. Our failure to successfully renegotiate labor agreements as they expire has from time to time led, and could in the future lead, to work stoppages or other disputes with labor unions. Certain of our labor agreements expire as early as 2025. Disruptions to our manufacturing and parts-distribution facilities through various forms of labor disputes could adversely affect us. Any strike, work stoppage, or other dispute with a labor union distracts management from operating the business, may displace employees from ordinary job positions to fill in vacant positions, may affect our reputation, and could materially adversely affect our business, results of operations, and financial condition. DIGITAL RISKS Security breaches and other disruptions to our information technology infrastructure could interfere with our operations and could compromise our information as well as information of our employees, customers, suppliers, and/or dealers, exposing us to liability that could cause our business and reputation to suffer.In the ordinary course of business, we rely upon information technology networks and systems, some of which are managed by third parties, to process, transmit, and store electronic information and to manage or support a variety of business processes and activities, including supply chain, manufacturing, distribution, invoicing, and collection of payments from dealers and other purchasers of our equipment and from customers of the financial services segment. We use information technology systems to record, process, and summarize financial information and results of operations for internal reporting purposes and to comply with regulatory financial reporting, legal, and tax requirements. Additionally, we collect and store confidential data, including intellectual property, proprietary business information, and the proprietary business information of our customers, suppliers, and dealers, as well as personal data of our customers and employees in 19 Table of Contents Table of Contents Table of Contents involving us, our products or services, our culture and values, our stance on environmental, social, and governance topics, customer data, or any of our key employees or suppliers, damages our reputation and brand image, regardless of whether such claims are accurate. Furthermore, our shareholders, customers, and other stakeholders have evolving, varied and often times conflicting expectations regarding our culture, values, and our business, which makes it difficult to achieve a uniform positive perception amongst all stakeholders. Additionally, negative or inaccurate postings, articles, or comments on social media, the internet, or the press about us have generated negative publicity that damages the reputation of our brand. For example, in fiscal year 2024, we experienced negative social media campaigns related to our approach to diversity and inclusion, our customers’ right to maintain and safely repair their equipment, including with respect to our Memorandum of Understanding with American Farm Bureau Federation, reductions in workforce, and production relocation. Further, adverse publicity about regulatory or legal action against us, or legal proceedings initiated by us, also damages our reputation and brand image, undermining customer confidence, and reducing long-term demand for equipment, even if the regulatory or legal action is unfounded or not material to our operations. If the reputation, culture, or image of our brands are damaged, or we receive negative publicity, then our sales, financial condition, and results of operations could be materially and adversely affected.TALENT RISKS Our ability to attract, develop, engage, and retain qualified employees could affect our ability to execute our strategy.Our continued success depends, in part, on our ability to identify and attract qualified candidates with the requisite education, background, and experience, as well as our ability to develop, engage, and retain qualified employees. Failure to attract, develop, engage, and retain qualified employees, whether as a result of an insufficient number of qualified applicants, difficulty in recruiting new employees, or inadequate resources to train, integrate, and retain qualified employees, could impair our ability to execute our business strategy and could adversely affect our business, results of operations, and financial condition. In addition, our culture and our values have been important contributors to our success to date and promote a sense of pride and fulfillment in our employees. Failure to preserve our culture or focus on our values could negatively affect our ability to retain and recruit talent. While we strive to reduce the impact of the departure of employees, our operations or ability to execute our business strategy may be affected by the loss of employees, such as in connection with the reduction in workforce we conducted in fiscal year 2024. This reduction may adversely affect us as a result of decreased employee morale, the loss of institutional knowledge held by departing employees, the allocation of resources to reorganize and reassign job roles and responsibilities, and the increased risk of litigation from former employees. In addition, we may not realize the expected cost savings from the reduction in workforce. We may also conduct other workforce reductions in the future, if deemed appropriate for our business.Disputes with labor unions may adversely affect our ability to operate in our facilities as well as impact our financial results. Many of our production and maintenance employees are represented by labor unions under various collective bargaining agreements with different expiration dates. Our failure to successfully renegotiate labor agreements as they expire has from time to time led, and could in the future lead, to work stoppages or other disputes with labor unions. Certain of our labor agreements expire as early as 2025. Disruptions to our manufacturing and parts-distribution facilities through various forms of labor disputes could adversely affect us. Any strike, work stoppage, or other dispute with a labor union distracts management from operating the business, may displace employees from ordinary job positions to fill in vacant positions, may affect our reputation, and could materially adversely affect our business, results of operations, and financial condition. DIGITAL RISKS Security breaches and other disruptions to our information technology infrastructure could interfere with our operations and could compromise our information as well as information of our employees, customers, suppliers, and/or dealers, exposing us to liability that could cause our business and reputation to suffer.In the ordinary course of business, we rely upon information technology networks and systems, some of which are managed by third parties, to process, transmit, and store electronic information and to manage or support a variety of business processes and activities, including supply chain, manufacturing, distribution, invoicing, and collection of payments from dealers and other purchasers of our equipment and from customers of the financial services segment. We use information technology systems to record, process, and summarize financial information and results of operations for internal reporting purposes and to comply with regulatory financial reporting, legal, and tax requirements. Additionally, we collect and store confidential data, including intellectual property, proprietary business information, and the proprietary business information of our customers, suppliers, and dealers, as well as personal data of our customers and employees in involving us, our products or services, our culture and values, our stance on environmental, social, and governance topics, customer data, or any of our key employees or suppliers, damages our reputation and brand image, regardless of whether such claims are accurate. Furthermore, our shareholders, customers, and other stakeholders have evolving, varied and often times conflicting expectations regarding our culture, values, and our business, which makes it difficult to achieve a uniform positive perception amongst all stakeholders. Additionally, negative or inaccurate postings, articles, or comments on social media, the internet, or the press about us have generated negative publicity that damages the reputation of our brand. For example, in fiscal year 2024, we experienced negative social media campaigns related to our approach to diversity and inclusion, our customers’ right to maintain and safely repair their equipment, including with respect to our Memorandum of Understanding with American Farm Bureau Federation, reductions in workforce, and production relocation. Further, adverse publicity about regulatory or legal action against us, or legal proceedings initiated by us, also damages our reputation and brand image, undermining customer confidence, and reducing long-term demand for equipment, even if the regulatory or legal action is unfounded or not material to our operations. If the reputation, culture, or image of our brands are damaged, or we receive negative publicity, then our sales, financial condition, and results of operations could be materially and adversely affected.TALENT RISKS Our ability to attract, develop, engage, and retain qualified employees could affect our ability to execute our strategy.Our continued success depends, in part, on our ability to identify and attract qualified candidates with the requisite education, background, and experience, as well as our ability to develop, engage, and retain qualified employees. Failure to attract, develop, engage, and retain qualified employees, whether as a result of an insufficient number of qualified applicants, difficulty in recruiting new employees, or inadequate resources to train, integrate, and retain qualified employees, could impair our ability to execute our business strategy and could adversely affect our business, results of operations, and financial condition. In addition, our culture and our values have been important contributors to our success to date and promote a sense of pride and fulfillment in our employees. Failure to preserve our culture or focus on our values could negatively affect our ability to retain and recruit talent. While we strive to reduce the impact of the departure of employees, our operations or ability to execute our business strategy may be affected by the loss of employees, such as in connection with the reduction in workforce we conducted in fiscal year 2024. This reduction may adversely affect us as a result of decreased employee morale, the loss of institutional knowledge held by departing employees, the allocation of resources to reorganize and reassign job roles and responsibilities, and the increased risk of litigation from former employees. In addition, we may not realize the expected cost savings from the reduction in workforce. We may also conduct other workforce reductions in the future, if deemed appropriate for our business.Disputes with labor unions may adversely affect our ability to operate in our facilities as well as impact our financial results. Many of our production and maintenance employees are represented by labor unions under various collective bargaining agreements with different expiration dates. Our failure to successfully renegotiate labor agreements as they expire has from time to time led, and could in the future lead, to work stoppages or other disputes with labor unions. Certain of our labor agreements expire as early as 2025. Disruptions to our manufacturing and parts-distribution facilities through various forms of labor disputes could adversely affect us. Any strike, work stoppage, or other dispute with a labor union distracts management from operating the business, may displace employees from ordinary job positions to fill in vacant positions, may affect our reputation, and could materially adversely affect our business, results of operations, and financial condition. DIGITAL RISKS Security breaches and other disruptions to our information technology infrastructure could interfere with our operations and could compromise our information as well as information of our employees, customers, suppliers, and/or dealers, exposing us to liability that could cause our business and reputation to suffer.In the ordinary course of business, we rely upon information technology networks and systems, some of which are managed by third parties, to process, transmit, and store electronic information and to manage or support a variety of business processes and activities, including supply chain, manufacturing, distribution, invoicing, and collection of payments from dealers and other purchasers of our equipment and from customers of the financial services segment. We use information technology systems to record, process, and summarize financial information and results of operations for internal reporting purposes and to comply with regulatory financial reporting, legal, and tax requirements. Additionally, we collect and store confidential data, including intellectual property, proprietary business information, and the proprietary business information of our customers, suppliers, and dealers, as well as personal data of our customers and employees in involving us, our products or services, our culture and values, our stance on environmental, social, and governance topics, customer data, or any of our key employees or suppliers, damages our reputation and brand image, regardless of whether such claims are accurate. Furthermore, our shareholders, customers, and other stakeholders have evolving, varied and often times conflicting expectations regarding our culture, values, and our business, which makes it difficult to achieve a uniform positive perception amongst all stakeholders. Additionally, negative or inaccurate postings, articles, or comments on social media, the internet, or the press about us have generated negative publicity that damages the reputation of our brand. For example, in fiscal year 2024, we experienced negative social media campaigns related to our approach to diversity and inclusion, our customers’ right to maintain and safely repair their equipment, including with respect to our Memorandum of Understanding with American Farm Bureau Federation, reductions in workforce, and production relocation. Further, adverse publicity about regulatory or legal action against us, or legal proceedings initiated by us, also damages our reputation and brand image, undermining customer confidence, and reducing long-term demand for equipment, even if the regulatory or legal action is unfounded or not material to our operations. If the reputation, culture, or image of our brands are damaged, or we receive negative publicity, then our sales, financial condition, and results of operations could be materially and adversely affected."
    },
    {
      "status": "ADDED",
      "current_title": "Technical or regulatory limitations may impact our ability to effectively implement automation, autonomy, and artificial intelligence solutions.",
      "prior_title": null,
      "current_body": "We utilize automation and machine learning in some of our products, including consumer-facing features, and leverage generative artificial intelligence in our business processes. For example, the automation software, digital tools, applications, and analytics utilized in John Deere’s products are designed to improve customer decision-making, such as the automation package on the S7 Series Combines and the computer vision and machine learning technology that enables our See & Spray™ targeted spraying solution. While we believe the use of these emerging technologies can present significant benefits, it also creates risks and challenges as the use of artificial intelligence is a novel business model without an established track record. Data sourcing, technology, integration and process issues, programmed bias in decision-making algorithms, concerns over intellectual property, security concerns, and the protection of privacy could impair the adoption and acceptance of autonomous machine solutions. Furthermore, any confidential information that we input into a third-party generative artificial intelligence platform could be leaked or disclosed to others, including sensitive information that is used to train the third parties’ model. Additionally, if the data used to train the solution or the content, analyses, or recommendations that the machine learning and intelligence applications assist in producing is deemed to be inaccurate, incomplete, biased or questionable, our brand and reputation may be harmed and we may be subject to legal liability claims. The development of our own artificial intelligence applications may require additional investment in the development of proprietary systems, models, or datasets, which are often complex, may be costly and could impact the results of our operations. Developing, testing, and deploying these technologies may also increase the cost profile of our products due to the level of investment needed to enable such initiatives."
    },
    {
      "status": "ADDED",
      "current_title": "We may face risks associated with international, national, and regional trade laws, regulations, and policies, and government farm programs and policies which could significantly impair our profitability and growth prospects.",
      "prior_title": null,
      "current_body": "International, national, and regional laws, regulations, and policies directly or indirectly related to or restricting the import and export of our products, services, and technology, or those of our customers, or for the benefit of favored industries or sectors, could harm our global business. We are subject to various regulatory risks including, but not limited to, the following:"
    },
    {
      "status": "ADDED",
      "current_title": "Governmental actions designed to address climate change based on the emergence of new technologies and business models in connection with the transition to a lower-carbon economy could adversely affect John Deere and our customers.",
      "prior_title": null,
      "current_body": "There is global scientific consensus that greenhouse gas (GHG) emissions continue to alter the composition of Earth’s atmosphere in ways that are affecting and are expected to continue to affect the global climate. These considerations have led to new international, national, regional, and local legislative and regulatory responses. Various stakeholders, including legislators and regulators, shareholders, and non-governmental organizations, as well as companies in many business sectors, including us, are continuing to look for ways to reduce GHG emissions. The regulation of GHG emissions from certain stationary or mobile sources or the imposition of carbon pricing mechanisms could result in additional costs to us in the form of taxes or emission allowances, required facilities improvements, research and development investments, and increased energy costs. These results would increase our operating costs through higher utility, transportation, and materials cost and could prevent us from selling products into certain markets. Increased input costs, such as fuel and fertilizer, and compliance-related costs could also affect customer operations and demand for our equipment. Regulators in Europe and the U.S. have also focused efforts on increasing disclosures by companies related to climate change and mitigation efforts. These disclosure rules increase compliance burdens and associated regulatory costs. Further, our financial services segment is subject to additional international and national regulations relating to climate and environmental risk, which are continually evolving and could affect the financing operations and climate-risk processes developed by the segment."
    },
    {
      "status": "ADDED",
      "current_title": "Legal proceedings, disputes and government inquiries and investigations could harm our business, financial condition, reputation, and brand.",
      "prior_title": null,
      "current_body": "We routinely are a party to claims and legal actions and the subject of government inquiries and investigations, the most prevalent of which relate to product liability (including asbestos related liability), employment, patent, trademark, and antitrust matters. The defense of lawsuits and government inquiries and investigations has resulted and may result in expenditures of significant financial resources and the diversion of management’s time and attention away from business operations. We are currently subject to a consolidated multidistrict class action lawsuit in the Northern District of Illinois alleging that we have engaged in attempted monopolization, exclusionary conduct, and restraint of the market for repair services for John Deere brand agricultural equipment by limiting repair resources only to our authorized technicians or independent authorized John Deere dealers. In addition, the Federal Trade Commission (FTC) is investigating whether we have violated laws in connection with the repair of 22 22 22 Table of ContentsJohn Deere brand agricultural equipment, as well as our information security practices and statements as they relate to the risk of unauthorized access to our computer systems, products, and services. We are fully cooperating with the FTC. We are currently unable to predict the outcome of these matters. The development and resolution of these matters could have a material adverse effect on our business, operations, and financial results.Our business may suffer if our equipment fails to perform as expected.If our equipment does not perform as expected, we may receive warranty claims and may have to perform post-sales repairs or recalls. We may also be subject to regulatory requirements and penalties that will impact our ability to develop, market, and sell equipment. This may result in product delivery delays. It could also lead to product liability, breach of warranty, and consumer protection claims. These claims and warranty expenses could be significant. As a manufacturer of equipment, we must manage the cost and risk associated with product warranties, post-sale repairs and recalls, regulatory penalties, and product liability, breach of warranty, and consumer protection claims with respect to our products. In addition to post-sale repairs or recalls initiated by us for various reasons, investigations into our products by government regulators may compel us to initiate product recalls or may result in negative public perceptions about the safety of our products, even if we disagree with the regulator’s determination. Such post-sale repairs or recalls, whether voluntary or involuntary, could result in significant expense, supply chain complications, and may harm our brand, business, prospects, financial condition, and operating results. ITEM 1B.UNRESOLVED STAFF COMMENTS.None.ITEM 1C.CYBERSECURITY.Cybersecurity is an integral part of our overall risk management program. We take a comprehensive approach by incorporating industry best practices to guide and evaluate our cybersecurity strategy and posture, involving key stakeholders in oversight and decision making, and assessing the program regularly within a dynamically changing environment. We leverage a multifaceted approach to cybersecurity including measures designed to prevent, detect, and respond to cyberthreats while monitoring and adapting to the evolving threat and technology landscapes. GovernanceAt the management level, we maintain a dedicated global team of cybersecurity professionals (Cybersecurity Team) led and managed by the Chief Information Security Officer (CISO). The Cybersecurity Team has members with experience in governance, risk management and compliance, threat monitoring, threat emulation, penetration testing, and cyber incident management. Our CISO holds a degree in Management Information Systems and has been with the Company for over ten years. He has over two decades of extensive experience in information technology and cybersecurity and reports directly to the Chief Information Officer. In addition, a cross-functional team of senior executives from across the enterprise known as the Digital Risk Governance Council (DRGC) provides oversight at the management level of the Company’s structures for managing digital risk, including the Cybersecurity Team. The Audit Review Committee (ARC) of the Board of Directors (Board) shares oversight responsibilities of our cybersecurity program, including oversight of related risks, with the full Board. Information on trends, strategic initiatives, and metrics is presented quarterly to the ARC by the CISO and/or members of the Cybersecurity Team. The ARC also receives periodic updates and information from subject matter experts in areas such as risk management, identity and access management, product security, and information technology.Risk Management and StrategyOur cybersecurity program is designed to identify, protect, detect, respond to, and recover from cybersecurity threats and incidents with the goal of protecting the confidentiality, integrity, and availability of our critical systems and information. We use a risk-based, multi-layered information security strategy to assess, identify, and manage risks from cybersecurity threats. Our Cybersecurity Team meets frequently to monitor, assess, and address cybersecurity threats and incidents. We also work with third parties to assess the maturity of our cybersecurity program, leveraging the National Institute of Standards and Technology (NIST) Cybersecurity Framework (CSF). We also utilize third-party service providers as a normal part of our business operations. We have established processes to support the Company in identifying and managing cybersecurity risks associated with the use of third parties, which include the completion of due diligence before engaging with a third-party, controls for response to mitigate any significant risks, and assessments and reviews throughout the relationship. Monitoring such risks and threats is integrated into our overall risk management program. Also, as part of the program, we periodically conduct cybersecurity awareness training including phishing simulations as well as e-learning for employees. We maintain cybersecurity policies, standards, and procedures, which include a cyber incident response plan. These policies and procedures are regularly evaluated and refined with strategies and protocols designed to adapt to changing regulations and emerging security risks. Regular exercises, tests, incident simulations, and system assessments are conducted to discover and address 23 Table of Contents Table of Contents Table of Contents John Deere brand agricultural equipment, as well as our information security practices and statements as they relate to the risk of unauthorized access to our computer systems, products, and services. We are fully cooperating with the FTC. We are currently unable to predict the outcome of these matters. The development and resolution of these matters could have a material adverse effect on our business, operations, and financial results.Our business may suffer if our equipment fails to perform as expected.If our equipment does not perform as expected, we may receive warranty claims and may have to perform post-sales repairs or recalls. We may also be subject to regulatory requirements and penalties that will impact our ability to develop, market, and sell equipment. This may result in product delivery delays. It could also lead to product liability, breach of warranty, and consumer protection claims. These claims and warranty expenses could be significant. As a manufacturer of equipment, we must manage the cost and risk associated with product warranties, post-sale repairs and recalls, regulatory penalties, and product liability, breach of warranty, and consumer protection claims with respect to our products. In addition to post-sale repairs or recalls initiated by us for various reasons, investigations into our products by government regulators may compel us to initiate product recalls or may result in negative public perceptions about the safety of our products, even if we disagree with the regulator’s determination. Such post-sale repairs or recalls, whether voluntary or involuntary, could result in significant expense, supply chain complications, and may harm our brand, business, prospects, financial condition, and operating results. ITEM 1B.UNRESOLVED STAFF COMMENTS.None.ITEM 1C.CYBERSECURITY.Cybersecurity is an integral part of our overall risk management program. We take a comprehensive approach by incorporating industry best practices to guide and evaluate our cybersecurity strategy and posture, involving key stakeholders in oversight and decision making, and assessing the program regularly within a dynamically changing environment. We leverage a multifaceted approach to cybersecurity including measures designed to prevent, detect, and respond to cyberthreats while monitoring and adapting to the evolving threat and technology landscapes. GovernanceAt the management level, we maintain a dedicated global team of cybersecurity professionals (Cybersecurity Team) led and managed by the Chief Information Security Officer (CISO). The Cybersecurity Team has members with experience in governance, risk management and compliance, threat monitoring, threat emulation, penetration testing, and cyber incident management. Our CISO holds a degree in Management Information Systems and has been with the Company for over ten years. He has over two decades of extensive experience in information technology and cybersecurity and reports directly to the Chief Information Officer. In addition, a cross-functional team of senior executives from across the enterprise known as the Digital Risk Governance Council (DRGC) provides oversight at the management level of the Company’s structures for managing digital risk, including the Cybersecurity Team. The Audit Review Committee (ARC) of the Board of Directors (Board) shares oversight responsibilities of our cybersecurity program, including oversight of related risks, with the full Board. Information on trends, strategic initiatives, and metrics is presented quarterly to the ARC by the CISO and/or members of the Cybersecurity Team. The ARC also receives periodic updates and information from subject matter experts in areas such as risk management, identity and access management, product security, and information technology.Risk Management and StrategyOur cybersecurity program is designed to identify, protect, detect, respond to, and recover from cybersecurity threats and incidents with the goal of protecting the confidentiality, integrity, and availability of our critical systems and information. We use a risk-based, multi-layered information security strategy to assess, identify, and manage risks from cybersecurity threats. Our Cybersecurity Team meets frequently to monitor, assess, and address cybersecurity threats and incidents. We also work with third parties to assess the maturity of our cybersecurity program, leveraging the National Institute of Standards and Technology (NIST) Cybersecurity Framework (CSF). We also utilize third-party service providers as a normal part of our business operations. We have established processes to support the Company in identifying and managing cybersecurity risks associated with the use of third parties, which include the completion of due diligence before engaging with a third-party, controls for response to mitigate any significant risks, and assessments and reviews throughout the relationship. Monitoring such risks and threats is integrated into our overall risk management program. Also, as part of the program, we periodically conduct cybersecurity awareness training including phishing simulations as well as e-learning for employees. We maintain cybersecurity policies, standards, and procedures, which include a cyber incident response plan. These policies and procedures are regularly evaluated and refined with strategies and protocols designed to adapt to changing regulations and emerging security risks. Regular exercises, tests, incident simulations, and system assessments are conducted to discover and address John Deere brand agricultural equipment, as well as our information security practices and statements as they relate to the risk of unauthorized access to our computer systems, products, and services. We are fully cooperating with the FTC. We are currently unable to predict the outcome of these matters. The development and resolution of these matters could have a material adverse effect on our business, operations, and financial results.Our business may suffer if our equipment fails to perform as expected.If our equipment does not perform as expected, we may receive warranty claims and may have to perform post-sales repairs or recalls. We may also be subject to regulatory requirements and penalties that will impact our ability to develop, market, and sell equipment. This may result in product delivery delays. It could also lead to product liability, breach of warranty, and consumer protection claims. These claims and warranty expenses could be significant. As a manufacturer of equipment, we must manage the cost and risk associated with product warranties, post-sale repairs and recalls, regulatory penalties, and product liability, breach of warranty, and consumer protection claims with respect to our products. In addition to post-sale repairs or recalls initiated by us for various reasons, investigations into our products by government regulators may compel us to initiate product recalls or may result in negative public perceptions about the safety of our products, even if we disagree with the regulator’s determination. Such post-sale repairs or recalls, whether voluntary or involuntary, could result in significant expense, supply chain complications, and may harm our brand, business, prospects, financial condition, and operating results. ITEM 1B.UNRESOLVED STAFF COMMENTS.None.ITEM 1C.CYBERSECURITY.Cybersecurity is an integral part of our overall risk management program. We take a comprehensive approach by incorporating industry best practices to guide and evaluate our cybersecurity strategy and posture, involving key stakeholders in oversight and decision making, and assessing the program regularly within a dynamically changing environment. We leverage a multifaceted approach to cybersecurity including measures designed to prevent, detect, and respond to cyberthreats while monitoring and adapting to the evolving threat and technology landscapes. GovernanceAt the management level, we maintain a dedicated global team of cybersecurity professionals (Cybersecurity Team) led and managed by the Chief Information Security Officer (CISO). The Cybersecurity Team has members with experience in governance, risk management and compliance, threat monitoring, threat emulation, penetration testing, and cyber incident management. Our CISO holds a degree in Management Information Systems and has been with the Company for over ten years. He has over two decades of extensive experience in information technology and cybersecurity and reports directly to the Chief Information Officer. In addition, a cross-functional team of senior executives from across the enterprise known as the Digital Risk Governance Council (DRGC) provides oversight at the management level of the Company’s structures for managing digital risk, including the Cybersecurity Team. The Audit Review Committee (ARC) of the Board of Directors (Board) shares oversight responsibilities of our cybersecurity program, including oversight of related risks, with the full Board. Information on trends, strategic initiatives, and metrics is presented quarterly to the ARC by the CISO and/or members of the Cybersecurity Team. The ARC also receives periodic updates and information from subject matter experts in areas such as risk management, identity and access management, product security, and information technology.Risk Management and StrategyOur cybersecurity program is designed to identify, protect, detect, respond to, and recover from cybersecurity threats and incidents with the goal of protecting the confidentiality, integrity, and availability of our critical systems and information. We use a risk-based, multi-layered information security strategy to assess, identify, and manage risks from cybersecurity threats. Our Cybersecurity Team meets frequently to monitor, assess, and address cybersecurity threats and incidents. We also work with third parties to assess the maturity of our cybersecurity program, leveraging the National Institute of Standards and Technology (NIST) Cybersecurity Framework (CSF). We also utilize third-party service providers as a normal part of our business operations. We have established processes to support the Company in identifying and managing cybersecurity risks associated with the use of third parties, which include the completion of due diligence before engaging with a third-party, controls for response to mitigate any significant risks, and assessments and reviews throughout the relationship. Monitoring such risks and threats is integrated into our overall risk management program. Also, as part of the program, we periodically conduct cybersecurity awareness training including phishing simulations as well as e-learning for employees. We maintain cybersecurity policies, standards, and procedures, which include a cyber incident response plan. These policies and procedures are regularly evaluated and refined with strategies and protocols designed to adapt to changing regulations and emerging security risks. Regular exercises, tests, incident simulations, and system assessments are conducted to discover and address John Deere brand agricultural equipment, as well as our information security practices and statements as they relate to the risk of unauthorized access to our computer systems, products, and services. We are fully cooperating with the FTC. We are currently unable to predict the outcome of these matters. The development and resolution of these matters could have a material adverse effect on our business, operations, and financial results."
    },
    {
      "status": "ADDED",
      "current_title": "Changes in Internal Control Over Financial Reporting",
      "prior_title": null,
      "current_body": "During the fourth quarter, there were no changes that have materially affected or are reasonably likely to materially affect our internal control over financial reporting. ITEM 9B. OTHER INFORMATION."
    },
    {
      "status": "ADDED",
      "current_title": "Agriculture and Turf",
      "prior_title": null,
      "current_body": "​Construction and ForestryCompany TrendsCustomers seek to improve profitability, productivity, and sustainability through integrating technology into their operations. Deeper integration of technology into equipment is a persistent market trend. These technologies are incorporated into products within each of our operating segments. We expect this trend to persist for the foreseeable future. Our Smart Industrial Operating Model and Leap Ambitions are intended to capitalize on this market trend. Engaged acres are an indicator we use to understand customer utilization of our technology. We are investing in a Solutions as a Service business model to increase technology adoption and utilization by our customers. Solutions as a Service products did not represent a significant percentage of our revenues in 2024.Company Outlook for 2025●Agriculture and turf equipment sales are projected to decline in 2025 due to contraction of agriculture markets globally.●Construction equipment sales are projected to decline in 2025 as healthy end markets are offset by continued uncertainty in equipment purchases. Roadbuilding equipment sales are anticipated to be generally flat.Agriculture and Turf Outlook for 2025●Demand in the U.S. and Canada is expected to further moderate amidst weak farm fundamentals, high interest rates, elevated used inventory levels, and short-term farmer liquidity concerns heading into the 2025 growing season.●We expect small agricultural equipment sales to be down from 2024 levels in the U.S. and Canada. The dairy and livestock segment is anticipated to have another year of strong profitability as elevated livestock and hay prices are further enhanced by low input feed costs. This is projected to be more than offset by restrained demand in the turf and compact utility tractor markets as single family home sales and home improvement spending remain stagnant amid high interest rates. ●In Europe, the industry is forecasted to be down as farm fundamentals in the region continue to deteriorate, but at a moderated pace relative to 2024. Adverse factors include depressed yields from unfavorable weather, reduced regional commodity prices due to a mixture of excess grain inflows from Ukraine and global pricing pressures, persistently elevated input costs, and unfavorable agriculture legislation. These issues coupled with high interest rates and elevated industry inventory ​"
    },
    {
      "status": "ADDED",
      "current_title": "Interest Rates – While interest rates in the U.S. began to decrease in the fourth quarter of 2024, they remained elevated. Increased rates impacted us in several ways, primarily affecting the demand for our products and financing spreads for the financial services operations.",
      "prior_title": null,
      "current_body": "The markets for our agriculture, turf, and construction products were negatively impacted in 2024 by elevated interest rates and their effect on borrowing costs for our customers. Rising interest rates have historically impacted our borrowing costs sooner than the benefit is realized from receivable and lease portfolios."
    },
    {
      "status": "ADDED",
      "current_title": "Agricultural Market Business Cycle – The agricultural market is affected by various factors including commodity prices, acreage planted, crop yields, and government policies. These factors affect farmers’ income and may result in varying demand for our equipment. In 2024, we experienced unfavorable market",
      "prior_title": null,
      "current_body": "conditions which resulted in lower sales volumes, higher sales incentives, higher receivable write-offs, and an increase in expected credit losses.We introduced cost reduction measures to manage our profitability and inventory levels. In the third quarter of 2024, we implemented employee-separation programs for our salaried workforce to help meet our strategic priorities while reducing overlap and redundancy in roles and responsibilities. The programs’ total pretax expenses are estimated to be approximately $165, of which $157 was recorded in 2024 (see Note 4). Annual pretax savings from these programs are estimated to be about $220. Approximately $100 of savings was realized in 2024.Changes in interest rates and the agricultural market business cycle are driven by factors outside of our control, and as a result we cannot reasonably foresee when these conditions will fully subside.Other Items of Concern and Uncertainties – Other items that could impact our results are:●global and regional political conditions, including the ongoing war between Russia and Ukraine and the conflict in the Middle East, ●shifts in energy, economic, tax, and trade policies following the 2024 U.S. presidential and congressional elections, ●new or retaliatory tariffs,●capital market disruptions, ●foreign currency and capital control policies, ●regulations and legislation regarding right to repair or right to modify,●weather conditions,●marketplace adoption and monetization of technologies we have invested in,●our ability to strengthen our digital capabilities, automation, autonomy, and alternative power technologies,●workforce reductions’ impact on employee retention, morale, and institutional knowledge,●changes in demand and pricing for new and used equipment,●delays or disruptions in our supply chain, ●significant fluctuations in foreign currency exchange rates, ●volatility in the prices of many commodities, and ●slower economic growth.​ conditions which resulted in lower sales volumes, higher sales incentives, higher receivable write-offs, and an increase in expected credit losses. We introduced cost reduction measures to manage our profitability and inventory levels. In the third quarter of 2024, we implemented employee-separation programs for our salaried workforce to help meet our strategic priorities while reducing overlap and redundancy in roles and responsibilities. The programs’ total pretax expenses are estimated to be approximately $165, of which $157 was recorded in 2024 (see Note 4). Annual pretax savings from these programs are estimated to be about $220. Approximately $100 of savings was realized in 2024. Changes in interest rates and the agricultural market business cycle are driven by factors outside of our control, and as a result we cannot reasonably foresee when these conditions will fully subside."
    },
    {
      "status": "ADDED",
      "current_title": "Deere & Company",
      "prior_title": null,
      "current_body": "​ 2024 ​ 2023 ​ % Change ​ Cost of sales to net sales ​ ​ 68.8% ​ ​ 67.9% ​ +1 ​ (-) Overhead Costs ​ Unfavorable ​ + Price realization ​ Favorable ​ + Material costs ​ Favorable ​ Increased mostly due to higher overhead costs from reduced volumes resulting in production inefficiencies partially offset by sales price realization, lower material costs, and lower employee profit-sharing incentives. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Finance and interest income ​ $ 5,759 ​ $ 4,683 ​ +23 ​ Increased primarily due to higher average financing receivable portfolios and higher average financing rates. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Other income ​ ​ 1,198 ​ ​ 1,003 ​ +19 ​ Higher primarily due to investment income earned on international marketable securities, legal settlements (see Note 4), and increased revenues from services. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Deere & Company​2024​2023​% Change​Research and development expenses​$ 2,290​$ 2,177​+5​Higher due to continued focus on developing new technology solutions and product introductions.​​​​​​​​​​​Selling, administrative and general expenses​​ 4,840​​ 4,595​+5​Increased mostly due to higher provision for credit losses, employee separation programs' expenses, and higher employee pay driven by merit increases, partially offset by the effect of a prior year accounting treatment correction (see Note 4).​​​​​​​​​​​Interest expense​​ 3,348​​ 2,453​+36​Increased due to higher average borrowing rates and higher average borrowings.​​​​​​​​​​​Other operating expenses​​ 1,257​​ 1,292​-3​Lower due to foreign exchange, higher pension benefits (see Note 9), and a settlement of an insurance claim recovery at an international location.​​​​​​​​​​​Provision for income taxes​​ 2,094​​ 2,871​-27​Decreased as a result of lower pretax income, adjustments to valuation allowance on deferred tax, and the favorable impact of discrete tax benefits. These items were partially offset by prior years' favorable income tax ruling in Brazil.​​​BUSINESS SEGMENT RESULTS2024 compared to 2023​Each equipment operations segment experienced lower shipment volumes partially offset by price realization during 2024. Rising global grain stocks, lower commodity prices, elevated interest rates, and the effect of inventory management contributed to lower shipment volumes for large and small agriculture. Declines in housing starts, decreases in rental purchases, lower levels of commercial real estate construction, and the effect of inventory management contributed to lower shipment volumes for construction equipment. Production costs were favorable in 2024 due to lower material and employee profit-sharing incentives costs, partially offset by higher manufacturing overhead costs driven by lower volumes and production inefficiencies.Production and Precision Agriculture Operations​​​​​​​​​​​​​​2024​2023​% Change​Net sales​$ 20,834​$ 26,790​-22​Sales volume and other​​​​​​​-24​Price realization​​​​​​​+2​Currency translation​​​​​​​​​Operating profit​​ 4,514​​ 6,996​-35​Operating margin​​21.7%​​26.1%​​​​​Sales volumes decreased 17 percent in the U.S. and Canada, 40 percent in Brazil, and 30 percent in Europe. Price realization in the U.S. and Canada was 3 percent driven by inflation, which was partially offset by an increase in retail and pool funds sales incentives. Price realization was flat outside the U.S. and Canada"
    },
    {
      "status": "ADDED",
      "current_title": "Deere & Company",
      "prior_title": null,
      "current_body": "​ 2024 ​ 2023 ​ % Change ​ Cost of sales to net sales ​ ​ 68.8% ​ ​ 67.9% ​ +1 ​ (-) Overhead Costs ​ Unfavorable ​ + Price realization ​ Favorable ​ + Material costs ​ Favorable ​ Increased mostly due to higher overhead costs from reduced volumes resulting in production inefficiencies partially offset by sales price realization, lower material costs, and lower employee profit-sharing incentives. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Finance and interest income ​ $ 5,759 ​ $ 4,683 ​ +23 ​ Increased primarily due to higher average financing receivable portfolios and higher average financing rates. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Other income ​ ​ 1,198 ​ ​ 1,003 ​ +19 ​ Higher primarily due to investment income earned on international marketable securities, legal settlements (see Note 4), and increased revenues from services. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Deere & Company​2024​2023​% Change​Research and development expenses​$ 2,290​$ 2,177​+5​Higher due to continued focus on developing new technology solutions and product introductions.​​​​​​​​​​​Selling, administrative and general expenses​​ 4,840​​ 4,595​+5​Increased mostly due to higher provision for credit losses, employee separation programs' expenses, and higher employee pay driven by merit increases, partially offset by the effect of a prior year accounting treatment correction (see Note 4).​​​​​​​​​​​Interest expense​​ 3,348​​ 2,453​+36​Increased due to higher average borrowing rates and higher average borrowings.​​​​​​​​​​​Other operating expenses​​ 1,257​​ 1,292​-3​Lower due to foreign exchange, higher pension benefits (see Note 9), and a settlement of an insurance claim recovery at an international location.​​​​​​​​​​​Provision for income taxes​​ 2,094​​ 2,871​-27​Decreased as a result of lower pretax income, adjustments to valuation allowance on deferred tax, and the favorable impact of discrete tax benefits. These items were partially offset by prior years' favorable income tax ruling in Brazil.​​​BUSINESS SEGMENT RESULTS2024 compared to 2023​Each equipment operations segment experienced lower shipment volumes partially offset by price realization during 2024. Rising global grain stocks, lower commodity prices, elevated interest rates, and the effect of inventory management contributed to lower shipment volumes for large and small agriculture. Declines in housing starts, decreases in rental purchases, lower levels of commercial real estate construction, and the effect of inventory management contributed to lower shipment volumes for construction equipment. Production costs were favorable in 2024 due to lower material and employee profit-sharing incentives costs, partially offset by higher manufacturing overhead costs driven by lower volumes and production inefficiencies.Production and Precision Agriculture Operations​​​​​​​​​​​​​​2024​2023​% Change​Net sales​$ 20,834​$ 26,790​-22​Sales volume and other​​​​​​​-24​Price realization​​​​​​​+2​Currency translation​​​​​​​​​Operating profit​​ 4,514​​ 6,996​-35​Operating margin​​21.7%​​26.1%​​​​​Sales volumes decreased 17 percent in the U.S. and Canada, 40 percent in Brazil, and 30 percent in Europe. Price realization in the U.S. and Canada was 3 percent driven by inflation, which was partially offset by an increase in retail and pool funds sales incentives. Price realization was flat outside the U.S. and Canada"
    },
    {
      "status": "ADDED",
      "current_title": "2024 compared to 2023",
      "prior_title": null,
      "current_body": "​ Each equipment operations segment experienced lower shipment volumes partially offset by price realization during 2024. Rising global grain stocks, lower commodity prices, elevated interest rates, and the effect of inventory management contributed to lower shipment volumes for large and small agriculture. Declines in housing starts, decreases in rental purchases, lower levels of commercial real estate construction, and the effect of inventory management contributed to lower shipment volumes for construction equipment. Production costs were favorable in 2024 due to lower material and employee profit-sharing incentives costs, partially offset by higher manufacturing overhead costs driven by lower volumes and production inefficiencies."
    },
    {
      "status": "ADDED",
      "current_title": "Construction and Forestry Operations",
      "prior_title": null,
      "current_body": "​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2024 ​ 2023 ​ % Change ​ Net sales ​ $ 12,956 ​ $ 14,795 ​ -12 ​ Sales volume and other ​ ​ ​ ​ ​ ​ ​ -12 ​ Price realization ​ ​ ​ ​ ​ ​ ​ ​ ​ Currency translation ​ ​ ​ ​ ​ ​ ​ ​ ​ Operating profit ​ ​ 2,009 ​ ​ 2,695 ​ -25 ​ Operating margin ​ ​ 15.5% ​ ​ 18.2% ​ ​ ​ ​ Sales volumes decreased 15 percent in the U.S. and Canada and 8 percent outside the U.S. and Canada. Price realization was about flat in the U.S. and Canada driven by moderating market conditions and 1 percent outside the U.S. and Canada. Current and prior period results were impacted by special items (see Note 4). Construction & Forestry Operating Profit2024 compared to 2023Financial Services Operations​​​​​​​​​​​​​2024​2023​% Change​Revenue (including intercompany)​$ 6,493​$ 5,554​+17​Average balance of receivables and leases​​​​​​​+12​Interest expense​​ 3,182​​ 2,362​+35​Average borrowing rates​​​​​​​+20​Average borrowings​​​​​​​+12​Net income​​ 696​​ 619​+12​​Average wholesale receivables increased 26 percent driven by higher dealer used inventory levels. While new retail note volumes moderated due to reduced retail demand, average retail portfolio levels grew due to higher volumes in recent years resulting in a 9 percent increase. Revenue also increased due to higher average financing rates. Excluding the impact of a one-time correction of the accounting treatment for financing incentives offered to John Deere dealers in 2023 (see Note 4), net income declined as a result of a higher provision for credit losses and less-favorable financing spreads driven primarily by the receivable portfolio mix. These factors were partially offset by income earned on higher average portfolio balances. Financial Services Net Income2024 compared to 2023​​ and 1 percent outside the U.S. and Canada. Current and prior period results were impacted by special items (see Note 4)."
    },
    {
      "status": "ADDED",
      "current_title": "Trade Accounts and Notes Receivable – Net",
      "prior_title": null,
      "current_body": "​●6 percent of receivables were outstanding for periods exceeding 12 months caused by increased dealer inventory levels.Financing Receivables and Equipment on Operating Leases●The increase is due to higher wholesale receivable portfolios due to an increase in dealer used inventory levels and higher retail notes, partially offset by the reclassification of BJD receivables to “Assets held for sale” (see Note 4).●Acquisition volumes were flat compared to prior period.Inventories●Inventories decreased due to lower forecasted demand.Property and Equipment●Cash expenditures were $1.6 billion in 2024. ●Capital expenditures are forecasted to be $1.6 billion in 2025.Accounts Payable and Accrued Expenses●Accounts payable decreased due to lower trade payables.●Accrued expenses decreased due to lower derivative liabilities and dealer sales incentives. Borrowings●Borrowings increased corresponding with the level of financing receivable and lease portfolios, partially offset by the reclassification of BJD borrowings to “Liabilities held for sale” (see Note 4). Unused Credit Lines●The increase in unused credit lines was due to a decrease in commercial paper outstanding. ​"
    },
    {
      "status": "ADDED",
      "current_title": "Cash Returned to Shareholders",
      "prior_title": null,
      "current_body": "Cash returned to shareholders decreased $3.0 billion in 2024 as we managed cash flows through the declining business cycle in accordance with our use-of-cash priorities. ​ ​ ​ ​ ​ ​"
    },
    {
      "status": "ADDED",
      "current_title": "2025 and Beyond",
      "prior_title": null,
      "current_body": "Our material cash requirements include the following: Borrowings – As of October 27, 2024, we had $17.6 billion of payments due on borrowings and securitization borrowings in the next year, along with interest payments of $2.5 billion. The securitization borrowing payments are based on the expected liquidation of the retail notes. See Notes 12 and 19 for additional borrowing details. These payments will likely be replaced with new borrowings to finance the receivable and lease portfolio, which is expected to be lower in 2025. Purchase Obligations – As of October 27, 2024, our outstanding purchase obligations were $3.2 billion, with $2.8 billion payable within one year. These purchase obligations are noncancelable. Other Cash Requirements – In addition to our contractual obligations, we have the following commitments: Share repurchases will be considered as a means of deploying excess cash to shareholders, once the previously mentioned requirements are met. ​ ​ ​ ​ ​ ​"
    },
    {
      "status": "ADDED",
      "current_title": "Allowance for Credit Losses",
      "prior_title": null,
      "current_body": "The allowance for credit losses is an estimate of the credit losses expected over the life of the receivable portfolio. The allowance is measured on a collective basis for receivables with similar risk characteristics. Receivables that do not share risk characteristics are evaluated on an individual basis. Risk characteristics include: We utilize the following loss forecast models to estimate expected credit losses: estimates. Independent variables include credit quality at time of application, remaining account balance, delinquency status, and various economic factors, such as commodity prices, employment levels, and housing data.●Weighted average remaining maturity (WARM) models are used for smaller and less complex retail customer receivable pools. ●Historical loss rate models are used on wholesale receivables, with consideration of current economic conditions and dealer financial risk. Management reviews each model’s output quarterly, and qualitative adjustments are incorporated as necessary to arrive at management’s best estimate of expected credit losses.Allowance for Credit LossesDuring 2024, we determined that the financial services business in Brazil met the held for sale criteria. The receivables in Brazil were reclassified to “Assets held for sale.” The associated allowance for credit losses was reversed and a valuation allowance for the assets held for sale was recorded (see Note 4). Excluding the business in Brazil, the allowance for credit losses increased, primarily due to higher expected losses as a result of elevated delinquencies and a decline in market conditions. This increase was partially offset by a decrease in the allowance on revolving charge accounts, driven by write-offs of seasonal financing program accounts and recoveries expected on those accounts in the future. While we believe our allowance is sufficient to provide for losses over the life of our existing receivable portfolio, different assumptions would result in changes to the allowance for credit losses. Within the retail customer receivable portfolio, credit loss estimates are dependent on a number of factors, including credit quality at time of application, remaining account balances, current delinquency levels, various economic factors, and estimated recoveries on defaulted accounts. Changes in any of these factors could impact our credit losses. Conversely, changes in economic conditions have historically had limited impact on credit losses within the wholesale receivable portfolio. Holding all other factors constant, a 10 percent increase in the linear regression models’ forecasted defaults and a simultaneous 10 percent decrease in recovery rates would have resulted in a $70 increase to the allowance for credit losses at October 27, 2024.Operating Lease Residual ValuesEquipment on operating leases is depreciated to the estimated residual value over the lease term. The residual values are based on several factors, including:●lease term, ●expected hours of usage, ●historical wholesale sales prices, Management reviews each model’s output quarterly, and qualitative adjustments are incorporated as necessary to arrive at management’s best estimate of expected credit losses."
    },
    {
      "status": "ADDED",
      "current_title": "CONSOLIDATED",
      "prior_title": null,
      "current_body": "​ ​ ​ ​ ​ 2024 ​ 2023 ​ 2022 ​ 2024 ​ 2023 ​ 2022 ​ 2024 ​ 2023 ​ 2022 ​ 2024 ​ 2023 ​ 2022 ​ ​ ​"
    },
    {
      "status": "ADDED",
      "current_title": "CONSOLIDATED",
      "prior_title": null,
      "current_body": "​ ​ ​ ​ ​ 2024 ​ 2023 ​ 2022 ​ 2024 ​ 2023 ​ 2022 ​ 2024 ​ 2023 ​ 2022 ​ 2024 ​ 2023 ​ 2022 ​ ​ ​"
    },
    {
      "status": "ADDED",
      "current_title": "LIABILITIES",
      "prior_title": null,
      "current_body": "​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Short-term borrowings ​ $ 911 ​ $ 1,230 ​ $ 12,622 ​ $ 16,709 ​ ​ ​ ​ ​ ​ ​ $ 13,533 ​ $ 17,939 ​ ​ ​ Short-term securitization borrowings ​ ​ 2 ​ ​ ​ ​ ​ 8,429 ​ ​ 6,995 ​ ​ ​ ​ ​ ​ ​ ​ 8,431 ​ ​ 6,995 ​ ​ ​ Payables to Equipment Operations ​ ​ ​ ​ ​ 3,043 ​ 4,516 ​ $ (3,043) ​ $ (4,516) ​ ​ ​ ​ ​ 6​ ​ Accounts payable and accrued expenses ​ 13,534 ​ 14,862 ​ 3,243 ​ 3,599 ​ (2,234) ​ (2,331) ​ 14,543 ​ 16,130 ​ 7​ ​ Deferred income taxes ​ 434 ​ 452 ​ 263 ​ 455 ​ (219) ​ (387) ​ 478 ​ 520 ​ 9​ ​ Long-term borrowings ​ 6,603 ​ 7,210 ​ 36,626 ​ 31,267 ​ ​ ​ ​ ​ 43,229 ​ 38,477 ​ ​ ​ Retirement benefits and other liabilities ​ 2,250 ​ 2,032 ​ 105 ​ 109 ​ (1) ​ (1) ​ 2,354 ​ 2,140 ​ 8​ ​ Liabilities held for sale ​ ​ ​ ​ ​ 1,827 ​ ​ ​ ​ ​ ​ ​ 1,827 ​ ​ ​ ​ ​ Total liabilities ​ 23,734 ​ 25,786 ​ 66,158 ​ 63,650 ​ (5,497) ​ (7,235) ​ 84,395 ​ 82,201 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Commitments and contingencies (Note 20) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Redeemable noncontrolling interest (Note 3) ​ ​ 82 ​ ​ 97 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 82 ​ ​ 97 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​"
    },
    {
      "status": "ADDED",
      "current_title": "CONSOLIDATED",
      "prior_title": null,
      "current_body": "​ ​ ​ ​ ​ 2024 ​ 2023 ​ 2022 ​ 2024 ​ 2023 ​ 2022 ​ 2024 ​ 2023 ​ 2022 ​ 2024 ​ 2023 ​ 2022 ​ ​ ​"
    },
    {
      "status": "REMOVED",
      "current_title": null,
      "prior_title": "We may be impacted by general negative economic conditions and outlook, causing weakened demand for our equipment and services, limiting access to funding, and resulting in higher funding costs.",
      "prior_body": "The demand for our products and services depends on the fundamentals in the markets in which we operate and can be significantly reduced in an economic environment characterized by high unemployment, high interest rates, cautious consumer spending, inflation, lower corporate earnings, and lower business investment. Negative or uncertain economic conditions that cause our customers to lack confidence in the general economic outlook can significantly reduce their likelihood of purchasing our equipment. These economic events adversely affected and may continue to adversely affect our operations. Sustained general negative economic conditions and outlook also affect housing starts, energy prices and demand, and other construction, which dampens demand for certain construction equipment. Our turf operations and our construction and forestry segments are dependent on construction activity and have also been affected by recent adverse economic conditions. Decreases in construction activity and housing starts could have a material adverse effect on our financial results. If negative economic conditions affect the overall farm economy, there could be a similar effect on our agricultural equipment sales. Uncertain or negative outlook with respect to pervasive U.S. fiscal issues as well as general economic conditions and outlook, such as market volatility and continuing interest rate increases by the Federal Reserve, have caused and could continue to cause significant changes in market liquidity conditions. Such changes could impact access to funding and associated funding costs, which could reduce our earnings and cash flows."
    },
    {
      "status": "REMOVED",
      "current_title": null,
      "prior_title": "Our ability to adapt in highly competitive markets could affect our business, results of operations, and financial condition.",
      "prior_body": "We compete in a variety of highly competitive global and regional markets with other manufacturers and distributors that produce and sell similar products. In addition, our industry is attracting non-traditional competitors, including technology-focused companies and start-up ventures. We compete on product performance, innovation and quality, distribution, sustainability, customer service, and price. Aggressive pricing or other strategies of competitors, unanticipated product or manufacturing delays, or our failure to price products competitively could adversely affect our business, results of operations, and financial condition."
    },
    {
      "status": "REMOVED",
      "current_title": null,
      "prior_title": "Increasingly stringent engine emission regulations or bans on internal combustion engines may impact our ability to manufacture and distribute certain engines or equipment, which could negatively affect business results.",
      "prior_body": "Our equipment operations must meet increasingly stringent engine emission reduction regulations throughout the world, including the European Union’s Stage V standard, which limits the amount of certain substances in exhaust gases that off-road engines can emit into the environment. Governmental agencies throughout the world are enacting more stringent laws and regulations to reduce off-road engine emissions. These laws and regulations are applicable to engines we manufacture, including those used in agriculture and CF equipment. We have incurred, and continue to incur, substantial research and development costs related to the implementation of these more rigorous laws and regulations. While we have developed and are executing comprehensive plans to meet these requirements, these plans are subject to variables that could delay or otherwise affect our ability to manufacture and distribute certain equipment or engines, which could negatively impact business results. Additionally, in certain locations governments have banned, or may in the future ban, internal combustion engines for some types of products completely. To the extent these bans affect products manufactured and sold by us, our business, results of operations, and financial condition could be negatively affected."
    },
    {
      "status": "REMOVED",
      "current_title": null,
      "prior_title": "Because the financial services segment provides financing for a significant portion of our sales worldwide, negative economic conditions in the financial industry could materially impact our operations and financial results.",
      "prior_body": "Negative economic conditions could have an adverse effect on the financial industry in which the financial services segment operates. The financial services segment provides financing for a significant portion of our sales worldwide. The financial services segment is exposed to the risk that customers and others will default on contractual obligations and may experience credit losses that exceed our expectations and adversely affect our financial condition and results of operations. The financial services segment’s inability to access funds at cost-effective rates to support our financing activities could have a material adverse effect on our business. The financial services segment’s liquidity and ongoing profitability depend largely on timely access to capital to meet future cash flow requirements and to fund operations and costs associated with engaging in diversified funding activities. Additionally, negative market conditions could reduce customer confidence levels, resulting in declines in credit applications and increases in delinquencies and default rates, which could materially impact the financial services segment’s write-offs and provision for credit losses. The financial services segment may also experience residual value losses that exceed our expectations caused by lower pricing for used equipment and higher-than-expected equipment returns at lease maturity."
    },
    {
      "status": "REMOVED",
      "current_title": null,
      "prior_title": "We may sustain increases in funding obligations under our pension plans which may impair our liquidity or financial condition.",
      "prior_body": "We maintain certain defined benefit pension plans for certain employees, which impose funding obligations. We use various assumptions in calculating our future payment obligations under these plans. Significant adverse changes in credit or market conditions could result in actual rates of return on pension investments being lower than expected. Regulatory changes could cause a deterioration in the statutory funded status of our plans. We may be required to make significant contributions to our pension plans in the future. These factors could significantly increase our payment obligations under the plans and adversely affect our business, results of operations, and financial condition."
    },
    {
      "status": "REMOVED",
      "current_title": null,
      "prior_title": "We may be unable to accurately forecast customer demand for products and services, and to adequately manage inventory, which could adversely affect our operating results.",
      "prior_body": "To ensure adequate inventory supply, we must forecast inventory needs and expenses and place orders sufficiently in advance with suppliers and contract manufacturers. These forecasts are based on estimates of future demand for products and services. Failure to accurately forecast our needs may result in unmet market demand, parts shortages, manufacturing delays, increased costs, or excess inventory. In fiscal year 2022, supply chain disruptions resulted in higher inventory levels. Although production schedules in fiscal year 2023 were more aligned with the customers’ seasonal use of our products, marking a return to historical seasonal production patterns, our ability to accurately forecast demand in the future could be affected by many factors, including changes in customer demand for our products and services, changes in demand for the products and services of competitors, unanticipated changes in general market conditions, and the weakening of economic conditions or customer confidence in future economic conditions. If the forecasts used to manage inventory are not accurate, we may experience excess inventory levels, shortage of available products, or reduced manufacturing efficiencies."
    },
    {
      "status": "REMOVED",
      "current_title": null,
      "prior_title": "We are subject to governmental laws, regulations, and other legal obligations related to privacy and data protection. Any inability or perceived inability of addressing these requirements could adversely affect our business.",
      "prior_body": "The legislative and regulatory framework for privacy and data protection issues worldwide is rapidly evolving and is likely to remain uncertain for the foreseeable future. We collect personal information and other data as integral parts of our business processes and activities. This data is subject to a variety of U.S. and foreign laws and regulations, including oversight by various regulatory and other governmental bodies. Many foreign countries and governmental bodies, including the EU, China, Canada, and other relevant jurisdictions where we conduct business, have laws and regulations concerning the collection and use of personal information and other data obtained from their residents or by businesses operating within their jurisdictions. The EU General Data Protection Regulation (GDPR), the California Consumer Privacy Act, and the China Personal Information Protection Law, among others, impose stringent data protection requirements and provide significant penalties for noncompliance. New privacy laws will continue to come into effect around the world in the future. Any inability or perceived inability to adequately address privacy and data protection concerns (even if unfounded), or comply with applicable laws, regulations, policies, industry standards, contractual obligations, or other legal obligations (including at newly acquired companies) could result in additional cost and liability to us, damage our reputation, inhibit sales, and otherwise adversely affect our business."
    },
    {
      "status": "REMOVED",
      "current_title": null,
      "prior_title": "Legal proceedings and disputes in which we are, and may in the future be, involved could harm our business, financial condition, reputation, and brand.",
      "prior_body": "We routinely are a party to claims and legal actions incidental to our business. These include claims for personal injury or property by users of our equipment, environmental, health, and safety claims, disputes with distributors, vendors and others with respect to commercial matters, and disputes with taxing and other governmental authorities regarding the conduct of our business. The defense of lawsuits and government inquiries or investigations has resulted and may result in expenditures of significant financial resources and the diversion of management’s time and attention away from business operations. We are currently subject to a consolidated multidistrict class action lawsuit in the Northern District of Illinois alleging that we have engaged in attempted monopolization, exclusionary conduct, and restraint of the market for repair services for John Deere brand agricultural equipment by limiting repair resources only to our authorized technicians or independent authorized John Deere dealers. In addition, the Federal Trade Commission (FTC) is investigating whether we have violated laws in connection with the repair of John Deere brand agriculture equipment, as well as our information security practices and statements as they relate to the risk of unauthorized access to our computer systems, products, and services. We are fully cooperating with the FTC. We are currently unable to predict the outcome of these matters. The development and resolution of these matters could have a material adverse effect on our business, operations, and financial results."
    },
    {
      "status": "REMOVED",
      "current_title": null,
      "prior_title": "Smart Industrial Operating Model and Leap Ambitions",
      "prior_body": "We announced the Smart Industrial Operating Model in 2020. This operating model is based on three focus areas: Our Leap Ambitions were launched in 2022. These ambitions are designed to boost economic value and sustainability for our customers. The ambitions align across our customers’ production systems seeking to optimize their operations to deliver better outcomes with fewer resources. ​​TRENDS & ECONOMIC CONDITIONS​Industry Sales Outlook for Fiscal 2024Company Trends – Customers seek to improve profitability, productivity, and sustainability through technology. Integration of technology into equipment is a persistent market trend. Our Smart Industrial Operating Model and Leap Ambitions are intended to capitalize on this market trend. These technologies are incorporated into products within each of our operating segments. We expect this trend to persist for the foreseeable future. The investments in these technologies and in establishing a Solutions as a Service business model might increase our operating costs and may decrease operating margins during the transition period. Most notably in 2023, we introduced See & Spray™ Ultimate and a new model of See & Spray™ Premium. These technologies were introduced on a limited basis and did not represent a significant percentage of our sales in 2023.Company Outlook for 2024●Demand is expected to decline in 2024.●Production volumes will decline to more normal levels in 2024.Agriculture and Turf Outlook for 2024●We expect large agricultural equipment sales to decline in 2024 in North America, Europe, and South America. ●Demand for small agricultural equipment is expected to moderate in Europe.●Turf and utility equipment product sales are expected to be lower due to the overall U.S. economic condition and elevated interest rates. Market Conditions:●Agricultural fundamentals are expected to moderate in 2024 due to lower commodity prices and elevated interest rates, offset by declining input costs and improved customer financials. ​ ​ ​ ​ ​ ​"
    },
    {
      "status": "REMOVED",
      "current_title": null,
      "prior_title": "Additional Trends – We experienced supply chain disruptions and inflationary pressures in 2022. While these issues moderated in 2023, the effect on production schedules and central bank policy interest rates continued in 2023. These changes are discussed below.",
      "prior_body": "Supply Chain Impact on Production Schedules. We experienced supply chain improvements compared to 2022, with a return to normal in 2023. The ease in supply chain disruptions contributed to higher levels of production compared to prior year. As a result, our production schedules in 2023 were more aligned with the customers’ seasonal use of our products, marking a return to historical seasonal production patterns and on-time product delivery. Additionally, supply chain improvements contributed to reductions in premium freight costs, moderation in material cost increases, and disciplined inventory management in 2023. In 2022, supply chain disruptions impacted many aspects of our business, including receiving past due deliveries from suppliers, parts availability, increased production costs, and higher inventory levels."
    },
    {
      "status": "REMOVED",
      "current_title": null,
      "prior_title": "Interest Rates. Central bank policy interest rates increased in 2022 and 2023. Increased rates impacted us in several ways, primarily affecting the financing spreads for the financial services operations, and may impact future demand for our products.",
      "prior_body": "Most retail customer receivables are fixed rate. Wholesale financing receivables generally are variable rate. Both types of receivables are financed with fixed and floating rate borrowings. We manage our exposure to interest rate fluctuations by matching our receivables with our funding sources. We also enter into interest rate swap agreements to match our interest rate exposure. Rising interest rates have historically impacted our borrowings sooner than the benefit is realized from receivable and lease portfolios. As a result, our financial services operations experienced $170 (after-tax) less favorable financing spreads in 2023 compared to 2022. If interest rates continue to rise, we expect to continue experiencing spread compression in 2024.Demand for our products is negatively impacted by rising interest rates. We expect higher borrowing costs for our customers to primarily affect discretionary and residential product sales in 2024.Rising interest rates are driven by factors outside of our control, and as a result, we cannot reasonably foresee when this condition will subside.Agricultural Market Business Cycle. The agricultural market is affected by various factors including commodity prices, acreage planted, crop yields, and government policies. These factors affect farmers’ income and may result in lower demand for equipment. We may experience any of the following effects during unfavorable market conditions: lower net sales, higher sales discounts, higher receivable write-offs, or losses on equipment on operating leases. A potential benefit is that customers may invest in integrated technology solutions and precision agriculture to lower input costs and improve margins.Other Items of Concern and Uncertainties – Other items that could impact our results are:●global and regional political conditions, including the war in Ukraine and the Israel-Hamas war, ●economic, tax, and trade policies, ●new or retaliatory tariffs,●capital market disruptions, ●foreign currency and capital control policies, ●regulations and legislation regarding right to repair,●weather conditions,●marketplace adoption and monetization of technologies we have invested in,●our ability to strengthen our digital capabilities, automation, autonomy, and alternative power technologies,●changes in demand and pricing for new and used equipment, ●significant fluctuations in foreign currency exchange rates, ●volatility in the prices of many commodities, and ●slower economic growth or possible recession. ​​​ receivables are financed with fixed and floating rate borrowings. We manage our exposure to interest rate fluctuations by matching our receivables with our funding sources. We also enter into interest rate swap agreements to match our interest rate exposure. Rising interest rates have historically impacted our borrowings sooner than the benefit is realized from receivable and lease portfolios. As a result, our financial services operations experienced $170 (after-tax) less favorable financing spreads in 2023 compared to 2022. If interest rates continue to rise, we expect to continue experiencing spread compression in 2024. Demand for our products is negatively impacted by rising interest rates. We expect higher borrowing costs for our customers to primarily affect discretionary and residential product sales in 2024. Rising interest rates are driven by factors outside of our control, and as a result, we cannot reasonably foresee when this condition will subside. Agricultural Market Business Cycle. The agricultural market is affected by various factors including commodity prices, acreage planted, crop yields, and government policies. These factors affect farmers’ income and may result in lower demand for equipment. We may experience any of the following effects during unfavorable market conditions: lower net sales, higher sales discounts, higher receivable write-offs, or losses on equipment on operating leases. A potential benefit is that customers may invest in integrated technology solutions and precision agriculture to lower input costs and improve margins."
    },
    {
      "status": "REMOVED",
      "current_title": null,
      "prior_title": "Diluted Earnings Per Share (EPS) ($ per share)",
      "prior_body": "Other Significant Statement of Consolidated Income Changes – An explanation of the cost of sales to net sales ratio and other significant statement of consolidated income changes follows:​​​​​​​​​​​​​Deere & Company​2023​2022​% Change​Cost of sales to net sales​​67.9%​​73.7%​-8​+ Price realization​Favorable​(-) Production costs​Unfavorable​Price realization was 12 percent driven by strong demand. Production costs increased due to a moderate rise in material cost and manufacturing overhead. These factors were partially offset by lower freight costs and production efficiencies generated by easing supply chain disruptions.​​​​​​​​​​​Other income​$ 1,003​$ 1,295​-23​Other income was lower due to a non-cash gain on the remeasurement of the previously held equity investment in the Deere-Hitachi joint venture in 2022.​​​​​​​​​​​Research and development expenses​​ 2,177​​ 1,912​+14​Research and development expenditures were higher due to continued focus on developing new technology solutions and new product introductions.​​​​​​​​​​​Selling, administrative and general expenses​​ 4,595​​ 3,863​+19​Selling, administrative and general expenses rose due to higher salary expenses driven by inflationary conditions, profit-sharing incentives, and an increase in expenses to support the Leap Ambitions framework. Also impacting the current year was a cumulative correction of the accounting treatment for financing incentives offered to John Deere dealers (see Note 4).​​​​​​​​​​​Interest expense​​ 2,453​​ 1,062​+131​Interest expense increased due to higher average borrowing rates and higher average borrowings.​​​​​​​​​​​Other operating expenses​​ 1,292​​ 1,275​+1​See Note 9 for more information.​​​​​​​​​​​Provision for income taxes​​ 2,871​​ 2,007​+43​Consistent with higher pretax income.​​​​​​"
    },
    {
      "status": "REMOVED",
      "current_title": null,
      "prior_title": "An explanation of the cost of sales to net sales ratio and other significant statement of consolidated income changes follows:",
      "prior_body": "​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​"
    },
    {
      "status": "REMOVED",
      "current_title": null,
      "prior_title": "2023 compared to 2022",
      "prior_body": "Each equipment operation segment experienced price realization during 2023, as orderbooks were full and most product lines were on allocation. These factors contributed to higher shipment volumes for large agriculture and construction equipment. Production costs were unfavorable in 2023 due to higher material costs, profit-sharing incentive compensation, and manufacturing overhead costs, partially offset by lower freight costs and improved production efficiency. Material costs were higher in the first three quarters of 2023 but continued to moderate through the year. In the fourth quarter of 2023, material costs were lower than in the prior year."
    },
    {
      "status": "REMOVED",
      "current_title": null,
      "prior_title": "Production and Precision Agriculture Operations",
      "prior_body": "​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2023 ​ 2022 ​ % Change ​ Net sales ​ $ 26,790 ​ $ 22,002 ​ +22 ​ Sales volume and other ​ ​ ​ ​ ​ ​ ​ +7 ​ Price realization ​ ​ ​ ​ ​ ​ ​ +15 ​ Currency translation ​ ​ ​ ​ ​ ​ ​ ​ ​ Operating profit ​ ​ 6,996 ​ ​ 4,386 ​ +60 ​ Operating margin ​ ​ 26.1% ​ ​ 19.9% ​ ​ ​ ​ Sales volumes increased 10 percent in the U.S. and Canada, 32 percent in Australia, and 9 percent in Western Europe, partially offset by the effect of suspension of shipments to Russia. Price realization was 17 percent in the U.S. and Canada and 12 percent outside the U.S. and Canada, driven by strong demand. Prior period results were impacted by special items (see Note 4)."
    },
    {
      "status": "REMOVED",
      "current_title": null,
      "prior_title": "DEBT RATINGS",
      "prior_body": "​ To access debt markets, we rely on credit rating agencies to assign short-term and long-term credit ratings to our debt. These ratings are an indicator of credit quality for fixed income investors. A debt rating is not a recommendation by the rating agency to buy, sell, or hold. A credit rating agency may change or withdraw company ratings based on its assessment of our current and future ability to meet interest and principal repayment obligations. Lower credit ratings or negative changes to ratings outlooks generally result in higher borrowing costs, including costs of derivative transactions, and reduced access to debt capital markets, and may adversely impact our liquidity. The senior long-term and short-term debt ratings and outlook currently assigned to unsecured company securities by the rating agencies engaged by us are as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Senior ​ ​ ​ Long-Term ​ Short-Term ​ Outlook ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Fitch Ratings ​ A+ ​ F1 ​ Stable Moody’s Investors Service, Inc. A2 Prime-1 Positive Standard & Poor’s A A-1 Stable ​ ​ ​ ​ ​ ​ ​ ​"
    },
    {
      "status": "REMOVED",
      "current_title": null,
      "prior_title": "CRITICAL ACCOUNTING ESTIMATES",
      "prior_body": "​ ​ The timely preparation of financial statements requires management to make estimates and assumptions. Those estimates affect reported amounts in these financial statements. Changes in those estimates and assumptions could have a significant effect. The following estimates are the most critical to our financial statements: These items require the most difficult, subjective, or complex judgments. Our accounting policies are described primarily in Note 2 of our consolidated financial statements."
    },
    {
      "status": "REMOVED",
      "current_title": null,
      "prior_title": "Operating Lease Residual Values",
      "prior_body": "Equipment on operating leases is depreciated to the estimated residual value over the lease term. The residual values are based on several factors, including: We review residual value estimates during the lease term. Depreciation is adjusted over the remaining lease term if residual estimates are revised. Impairments are recorded when events or circumstances necessitate. At the end of the majority of leases, the equipment is disposed in the following sequence:"
    },
    {
      "status": "REMOVED",
      "current_title": null,
      "prior_title": "CONSOLIDATED",
      "prior_body": "​ ​ ​ ​ ​ 2023 ​ 2022 ​ 2021 ​ 2023 ​ 2022 ​ 2021 ​ 2023 ​ 2022 ​ 2021 ​ 2023 ​ 2022 ​ 2021 ​ ​ ​"
    },
    {
      "status": "REMOVED",
      "current_title": null,
      "prior_title": "CONSOLIDATED",
      "prior_body": "​ ​ ​ ​ ​ 2023 ​ 2022 ​ 2021 ​ 2023 ​ 2022 ​ 2021 ​ 2023 ​ 2022 ​ 2021 ​ 2023 ​ 2022 ​ 2021 ​ ​ ​"
    },
    {
      "status": "REMOVED",
      "current_title": null,
      "prior_title": "LIABILITIES",
      "prior_body": "​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Short-term borrowings ​ $ 1,230 ​ $ 1,040 ​ $ 16,709 ​ $ 11,552 ​ ​ ​ ​ ​ ​ ​ $ 17,939 ​ $ 12,592 ​ ​ ​ Short-term securitization borrowings ​ ​ ​ ​ ​ ​ ​ ​ 6,995 ​ ​ 5,711 ​ ​ ​ ​ ​ ​ ​ ​ 6,995 ​ ​ 5,711 ​ ​ ​ Payables to Equipment Operations ​ ​ ​ ​ ​ 4,516 ​ 6,569 ​ $ (4,516) ​ $ (6,569) ​ ​ ​ ​ ​ 7​ ​ Accounts payable and accrued expenses ​ 14,862 ​ 12,962 ​ 3,599 ​ 3,170 ​ (2,331) ​ (1,310) ​ 16,130 ​ 14,822 ​ 8​ ​ Deferred income taxes ​ 452 ​ 380 ​ 455 ​ 276 ​ (387) ​ (161) ​ 520 ​ 495 ​ 10​ ​ Long-term borrowings ​ 7,210 ​ 7,917 ​ 31,267 ​ 25,679 ​ ​ ​ ​ ​ 38,477 ​ 33,596 ​ ​ ​ Retirement benefits and other liabilities ​ 2,032 ​ 2,351 ​ 109 ​ 108 ​ (1) ​ (2) ​ 2,140 ​ 2,457 ​ 9​ ​ Total liabilities ​ 25,786 ​ 24,650 ​ 63,650 ​ 53,065 ​ (7,235) ​ (8,042) ​ 82,201 ​ 69,673 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Commitments and contingencies (Note 20) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Redeemable noncontrolling interest (Note 3) ​ ​ 97 ​ ​ 92 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 97 ​ ​ 92 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​"
    },
    {
      "status": "REMOVED",
      "current_title": null,
      "prior_title": "CONSOLIDATED",
      "prior_body": "​ ​ ​ ​ ​ 2023 ​ 2022 ​ 2021 ​ 2023 ​ 2022 ​ 2021 ​ 2023 ​ 2022 ​ 2021 ​ 2023 ​ 2022 ​ 2021 ​ ​ ​"
    },
    {
      "status": "MODIFIED",
      "current_title": "Cash, Cash Equivalents, and Restricted Cash at End of Year",
      "prior_title": "Cash, Cash Equivalents, and Restricted Cash at End of Year",
      "similarity_score": 0.916,
      "confidence": "high",
      "key_changes": [
        "Reworded sentence: \"​ $ 5,643 ​ $ 5,755 ​ $ 3,781 ​ $ 1,990 ​ $ 1,865 ​ $ 1,160 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ $ 7,633 ​ $ 7,620 ​ $ 4,941 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​\""
      ],
      "current_body": "​ $ 5,643 ​ $ 5,755 ​ $ 3,781 ​ $ 1,990 ​ $ 1,865 ​ $ 1,160 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ $ 7,633 ​ $ 7,620 ​ $ 4,941 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​",
      "prior_body": "​ $ 5,755 ​ $ 3,781 ​ $ 7,200 ​ $ 1,865 ​ $ 1,160 ​ $ 925 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ $ 7,620 ​ $ 4,941 ​ $ 8,125 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​"
    },
    {
      "status": "MODIFIED",
      "current_title": "Net Increase (Decrease) in Cash, Cash Equivalents, and Restricted Cash",
      "prior_title": "Net Increase (Decrease) in Cash, Cash Equivalents, and Restricted Cash",
      "similarity_score": 0.903,
      "confidence": "high",
      "key_changes": [
        "Reworded sentence: \"​ ​ (112) ​ ​ 1,974 ​ ​ (3,419) ​ ​ 125 ​ ​ 705 ​ ​ 235 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 13 ​ ​ 2,679 ​ ​ (3,184) ​ ​ ​\""
      ],
      "current_body": "​ ​ (112) ​ ​ 1,974 ​ ​ (3,419) ​ ​ 125 ​ ​ 705 ​ ​ 235 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 13 ​ ​ 2,679 ​ ​ (3,184) ​ ​ ​",
      "prior_body": "​ ​ 1,974 ​ ​ (3,419) ​ ​ 1,044 ​ ​ 705 ​ ​ 235 ​ ​ (91) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2,679 ​ ​ (3,184) ​ ​ 953 ​ ​ ​"
    },
    {
      "status": "MODIFIED",
      "current_title": "Operating Lease Residual Values",
      "prior_title": "Allowance for Credit Losses",
      "similarity_score": 0.897,
      "confidence": "high",
      "key_changes": [
        "Reworded sentence: \"Equipment on operating leases is depreciated to the estimated residual value over the lease term.\"",
        "Reworded sentence: \"Operating Lease Residual ValuesHypothetically, if (a) future market values for this equipment were to decrease 10 percent from our present estimates, and (b) all the equipment on operating leases were returned to us for remarketing at the end of the lease term, the total unfavorable impact after consideration of dealer residual value guarantees would be approximately $75.\"",
        "Reworded sentence: \"The valuation allowance as of October 27, 2024 was $1.6 billion.\"",
        "Reworded sentence: \"Among these factors are risks related to: ●the agricultural business cycle, which can be unpredictable and is affected by factors such as world grain stocks, harvest yields, available farm acres, acreage planted, soil conditions, prices for commodities and livestock, input costs, availability of transport for crops as well as adverse macroeconomic conditions, including unemployment, inflation, interest rate volatility, changes in consumer practices due to slower economic growth, and regional or global liquidity constraints; these constraints may impact our customers and dealers, resulting in higher provisions for credit losses and write-offs;●uncertainty of government policies and actions after recent U.S.\"",
        "Reworded sentence: \"Operating Lease Residual ValuesHypothetically, if (a) future market values for this equipment were to decrease 10 percent from our present estimates, and (b) all the equipment on operating leases were returned to us for remarketing at the end of the lease term, the total unfavorable impact after consideration of dealer residual value guarantees would be approximately $75.\""
      ],
      "current_body": "Equipment on operating leases is depreciated to the estimated residual value over the lease term. The residual values are based on several factors, including: 36 36 36 Table of Contents​●return experience, ●intended equipment use, ●market dynamics and trends, and ●dealer residual value guarantees. We review residual value estimates during the lease term. Depreciation is adjusted over the remaining lease term if residual estimates are revised. Impairments are recorded when events or circumstances necessitate. At the end of the majority of leases, the equipment is disposed in the following sequence: ●The lessee has the option to purchase the equipment for the contractual residual value. ●The dealer has the option to purchase the equipment.●The equipment is sold to a third party at the equipment’s fair value. In this situation, we may record a gain or a loss for the difference between the residual value and the sale price. Operating Lease Residual ValuesHypothetically, if (a) future market values for this equipment were to decrease 10 percent from our present estimates, and (b) all the equipment on operating leases were returned to us for remarketing at the end of the lease term, the total unfavorable impact after consideration of dealer residual value guarantees would be approximately $75. This amount would be recognized as higher depreciation expense over the remaining term of the operating leases, or potentially as an impairment.Income TaxesWe are subject to federal, state, and foreign income taxes. These tax laws can be complex. Significant judgment and interpretation is required to implement them. Changes in tax laws could materially affect our consolidated financial statements. We record our tax positions in the following categories:●current taxes,●deferred taxes, and●uncertain tax positions.Deferred income taxes represent temporary differences between the tax and the financial reporting basis of assets and liabilities. This will result in taxable or deductible amounts in the future. Loss carryforwards and tax credits are significant components of deferred tax asset balances. These assets are reviewed regularly for the following: ●the likelihood of recoverability from future taxable income, ●reversal of deferred tax liabilities, and ●tax planning strategies. Valuation allowances are established when we determine that the deferred tax benefit may not be realized. The recoverability analysis requires significant judgment and relies on estimates. The valuation allowance as of October 27, 2024 was $1.6 billion. Changes in foreign income tax laws, income for certain jurisdictions, or our tax structure could impact the valuation allowance balance.Some tax positions contain significant uncertainties. These positions may be challenged or disallowed by taxing authorities. If it is likely the position will be disallowed, no tax benefit is recorded. If it is likely the position will be sustained, a tax benefit is recognized. The ultimate resolution could take many years. This may result in a payment that is significantly different from the original estimate.See Note 8 for further information on income taxes.FORWARD-LOOKING STATEMENTSCertain statements contained herein, including in the section entitled “Overview” relating to future events, expectations, and trends constitute “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995 and involve factors that are subject to change, assumptions, risks, and uncertainties that could cause actual results to differ materially. Some of these risks and uncertainties could affect all lines of our operations generally while others could more heavily affect a particular line of business.Forward-looking statements are based on currently available information and current assumptions, expectations, and projections about future events and should not be relied upon. Except as required by law, we expressly disclaim any obligation to update or revise our forward-looking statements. Many factors, risks, and uncertainties could cause actual results to differ materially from these forward-looking statements. Among these factors are risks related to: ●the agricultural business cycle, which can be unpredictable and is affected by factors such as world grain stocks, harvest yields, available farm acres, acreage planted, soil conditions, prices for commodities and livestock, input costs, availability of transport for crops as well as adverse macroeconomic conditions, including unemployment, inflation, interest rate volatility, changes in consumer practices due to slower economic growth, and regional or global liquidity constraints; these constraints may impact our customers and dealers, resulting in higher provisions for credit losses and write-offs;●uncertainty of government policies and actions after recent U.S. elections in respect to global trade, tariffs, trade agreements, and energy, and the uncertainty of our ability to internationally sell products based on these actions and policies;●higher interest rates and currency fluctuations which could adversely affect the U.S. dollar, customer confidence, access to capital, and demand for our products and solutions;●our ability to adapt in highly competitive markets, including understanding and meeting customers’ changing expectations for products and solutions, including delivery and utilization of precision technology;37 Table of Contents​ Table of Contents Table of Contents ​ ●return experience, ●intended equipment use, ●market dynamics and trends, and ●dealer residual value guarantees. We review residual value estimates during the lease term. Depreciation is adjusted over the remaining lease term if residual estimates are revised. Impairments are recorded when events or circumstances necessitate. At the end of the majority of leases, the equipment is disposed in the following sequence: ●The lessee has the option to purchase the equipment for the contractual residual value. ●The dealer has the option to purchase the equipment.●The equipment is sold to a third party at the equipment’s fair value. In this situation, we may record a gain or a loss for the difference between the residual value and the sale price. Operating Lease Residual ValuesHypothetically, if (a) future market values for this equipment were to decrease 10 percent from our present estimates, and (b) all the equipment on operating leases were returned to us for remarketing at the end of the lease term, the total unfavorable impact after consideration of dealer residual value guarantees would be approximately $75. This amount would be recognized as higher depreciation expense over the remaining term of the operating leases, or potentially as an impairment.Income TaxesWe are subject to federal, state, and foreign income taxes. These tax laws can be complex. Significant judgment and interpretation is required to implement them. Changes in tax laws could materially affect our consolidated financial statements. We record our tax positions in the following categories:●current taxes,●deferred taxes, and●uncertain tax positions.Deferred income taxes represent temporary differences between the tax and the financial reporting basis of assets and liabilities. This will result in taxable or deductible amounts in the future. Loss carryforwards and tax credits are significant components of deferred tax asset balances. These assets are reviewed regularly for the following: ●the likelihood of recoverability from future taxable income, ●reversal of deferred tax liabilities, and ●tax planning strategies. Valuation allowances are established when we determine that the deferred tax benefit may not be realized. The recoverability analysis requires significant judgment and relies on estimates. The valuation allowance as of October 27, 2024 was $1.6 billion. Changes in foreign income tax laws, income for certain jurisdictions, or our tax structure could impact the valuation allowance balance.Some tax positions contain significant uncertainties. These positions may be challenged or disallowed by taxing authorities. If it is likely the position will be disallowed, no tax benefit is recorded. If it is likely the position will be sustained, a tax benefit is recognized. The ultimate resolution could take many years. This may result in a payment that is significantly different from the original estimate.See Note 8 for further information on income taxes.FORWARD-LOOKING STATEMENTSCertain statements contained herein, including in the section entitled “Overview” relating to future events, expectations, and trends constitute “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995 and involve factors that are subject to change, assumptions, risks, and uncertainties that could cause actual results to differ materially. Some of these risks and uncertainties could affect all lines of our operations generally while others could more heavily affect a particular line of business.Forward-looking statements are based on currently available information and current assumptions, expectations, and projections about future events and should not be relied upon. Except as required by law, we expressly disclaim any obligation to update or revise our forward-looking statements. Many factors, risks, and uncertainties could cause actual results to differ materially from these forward-looking statements. Among these factors are risks related to: ●the agricultural business cycle, which can be unpredictable and is affected by factors such as world grain stocks, harvest yields, available farm acres, acreage planted, soil conditions, prices for commodities and livestock, input costs, availability of transport for crops as well as adverse macroeconomic conditions, including unemployment, inflation, interest rate volatility, changes in consumer practices due to slower economic growth, and regional or global liquidity constraints; these constraints may impact our customers and dealers, resulting in higher provisions for credit losses and write-offs;●uncertainty of government policies and actions after recent U.S. elections in respect to global trade, tariffs, trade agreements, and energy, and the uncertainty of our ability to internationally sell products based on these actions and policies;●higher interest rates and currency fluctuations which could adversely affect the U.S. dollar, customer confidence, access to capital, and demand for our products and solutions;●our ability to adapt in highly competitive markets, including understanding and meeting customers’ changing expectations for products and solutions, including delivery and utilization of precision technology; ●return experience, ●intended equipment use, ●market dynamics and trends, and ●dealer residual value guarantees. We review residual value estimates during the lease term. Depreciation is adjusted over the remaining lease term if residual estimates are revised. Impairments are recorded when events or circumstances necessitate. At the end of the majority of leases, the equipment is disposed in the following sequence: ●The lessee has the option to purchase the equipment for the contractual residual value. ●The dealer has the option to purchase the equipment.●The equipment is sold to a third party at the equipment’s fair value. In this situation, we may record a gain or a loss for the difference between the residual value and the sale price. Operating Lease Residual ValuesHypothetically, if (a) future market values for this equipment were to decrease 10 percent from our present estimates, and (b) all the equipment on operating leases were returned to us for remarketing at the end of the lease term, the total unfavorable impact after consideration of dealer residual value guarantees would be approximately $75. This amount would be recognized as higher depreciation expense over the remaining term of the operating leases, or potentially as an impairment.Income TaxesWe are subject to federal, state, and foreign income taxes. These tax laws can be complex. Significant judgment and interpretation is required to implement them. Changes in tax laws could materially affect our consolidated financial statements. We record our tax positions in the following categories:●current taxes,●deferred taxes, and●uncertain tax positions.Deferred income taxes represent temporary differences between the tax and the financial reporting basis of assets and liabilities. This will result in taxable or deductible amounts in the future. Loss carryforwards and tax credits are significant components of deferred tax asset balances. These assets are reviewed regularly for the following: ●the likelihood of recoverability from future taxable income, ●reversal of deferred tax liabilities, and ●tax planning strategies. Valuation allowances are established when we determine that the deferred tax benefit may not be realized. The recoverability analysis requires significant judgment and relies on estimates. The valuation allowance as of October 27, 2024 was $1.6 billion. Changes in foreign income tax laws, income for certain jurisdictions, or our tax structure could impact the valuation allowance balance.Some tax positions contain significant uncertainties. These positions may be challenged or disallowed by taxing authorities. If it is likely the position will be disallowed, no tax benefit is recorded. If it is likely the position will be sustained, a tax benefit is recognized. The ultimate resolution could take many years. This may result in a payment that is significantly different from the original estimate.See Note 8 for further information on income taxes.FORWARD-LOOKING STATEMENTSCertain statements contained herein, including in the section entitled “Overview” relating to future events, expectations, and trends constitute “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995 and involve factors that are subject to change, assumptions, risks, and uncertainties that could cause actual results to differ materially. Some of these risks and uncertainties could affect all lines of our operations generally while others could more heavily affect a particular line of business.Forward-looking statements are based on currently available information and current assumptions, expectations, and projections about future events and should not be relied upon. Except as required by law, we expressly disclaim any obligation to update or revise our forward-looking statements. Many factors, risks, and uncertainties could cause actual results to differ materially from these forward-looking statements. Among these factors are risks related to: ●the agricultural business cycle, which can be unpredictable and is affected by factors such as world grain stocks, harvest yields, available farm acres, acreage planted, soil conditions, prices for commodities and livestock, input costs, availability of transport for crops as well as adverse macroeconomic conditions, including unemployment, inflation, interest rate volatility, changes in consumer practices due to slower economic growth, and regional or global liquidity constraints; these constraints may impact our customers and dealers, resulting in higher provisions for credit losses and write-offs;●uncertainty of government policies and actions after recent U.S. elections in respect to global trade, tariffs, trade agreements, and energy, and the uncertainty of our ability to internationally sell products based on these actions and policies;●higher interest rates and currency fluctuations which could adversely affect the U.S. dollar, customer confidence, access to capital, and demand for our products and solutions;●our ability to adapt in highly competitive markets, including understanding and meeting customers’ changing expectations for products and solutions, including delivery and utilization of precision technology; ●return experience, ●intended equipment use, ●market dynamics and trends, and ●dealer residual value guarantees. We review residual value estimates during the lease term. Depreciation is adjusted over the remaining lease term if residual estimates are revised. Impairments are recorded when events or circumstances necessitate. At the end of the majority of leases, the equipment is disposed in the following sequence: ●The lessee has the option to purchase the equipment for the contractual residual value. ●The dealer has the option to purchase the equipment.●The equipment is sold to a third party at the equipment’s fair value. In this situation, we may record a gain or a loss for the difference between the residual value and the sale price. Operating Lease Residual ValuesHypothetically, if (a) future market values for this equipment were to decrease 10 percent from our present estimates, and (b) all the equipment on operating leases were returned to us for remarketing at the end of the lease term, the total unfavorable impact after consideration of dealer residual value guarantees would be approximately $75. This amount would be recognized as higher depreciation expense over the remaining term of the operating leases, or potentially as an impairment.Income TaxesWe are subject to federal, state, and foreign income taxes. These tax laws can be complex. Significant judgment and interpretation is required to implement them. Changes in tax laws could materially affect our consolidated financial statements. We record our tax positions in the following categories:●current taxes,●deferred taxes, and●uncertain tax positions.Deferred income taxes represent temporary differences between the tax and the financial reporting basis of assets and liabilities. This will result in taxable or deductible amounts in the future. Loss carryforwards and tax credits are significant components of deferred tax asset balances. These assets are reviewed regularly for the following: ●the likelihood of recoverability from future taxable income, ●reversal of deferred tax liabilities, and ●tax planning strategies. Valuation allowances are established when we determine that the deferred tax benefit may not be realized. The recoverability analysis requires significant judgment and relies on estimates. The valuation allowance as of October 27, 2024 was $1.6 billion. Changes in foreign income tax laws, income for certain jurisdictions, or our tax structure could impact the valuation allowance balance.Some tax positions contain significant uncertainties. These positions may be challenged or disallowed by taxing authorities. If it is likely the position will be disallowed, no tax benefit is recorded. If it is likely the position will be sustained, a tax benefit is recognized. The ultimate resolution could take many years. This may result in a payment that is significantly different from the original estimate.See Note 8 for further information on income taxes.FORWARD-LOOKING STATEMENTSCertain statements contained herein, including in the section entitled “Overview” relating to future events, expectations, and trends constitute “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995 and involve factors that are subject to change, assumptions, risks, and uncertainties that could cause actual results to differ materially. Some of these risks and uncertainties could affect all lines of our operations generally while others could more heavily affect a particular line of business.Forward-looking statements are based on currently available information and current assumptions, expectations, and projections about future events and should not be relied upon. Except as required by law, we expressly disclaim any obligation to update or revise our forward-looking statements. Many factors, risks, and uncertainties could cause actual results to differ materially from these forward-looking statements. Among these factors are risks related to: ●the agricultural business cycle, which can be unpredictable and is affected by factors such as world grain stocks, harvest yields, available farm acres, acreage planted, soil conditions, prices for commodities and livestock, input costs, availability of transport for crops as well as adverse macroeconomic conditions, including unemployment, inflation, interest rate volatility, changes in consumer practices due to slower economic growth, and regional or global liquidity constraints; these constraints may impact our customers and dealers, resulting in higher provisions for credit losses and write-offs;●uncertainty of government policies and actions after recent U.S. elections in respect to global trade, tariffs, trade agreements, and energy, and the uncertainty of our ability to internationally sell products based on these actions and policies;●higher interest rates and currency fluctuations which could adversely affect the U.S. dollar, customer confidence, access to capital, and demand for our products and solutions;●our ability to adapt in highly competitive markets, including understanding and meeting customers’ changing expectations for products and solutions, including delivery and utilization of precision technology; ●return experience, ●intended equipment use, ●market dynamics and trends, and ●dealer residual value guarantees. We review residual value estimates during the lease term. Depreciation is adjusted over the remaining lease term if residual estimates are revised. Impairments are recorded when events or circumstances necessitate. At the end of the majority of leases, the equipment is disposed in the following sequence: ●The lessee has the option to purchase the equipment for the contractual residual value. ●The dealer has the option to purchase the equipment.●The equipment is sold to a third party at the equipment’s fair value. In this situation, we may record a gain or a loss for the difference between the residual value and the sale price. Operating Lease Residual ValuesHypothetically, if (a) future market values for this equipment were to decrease 10 percent from our present estimates, and (b) all the equipment on operating leases were returned to us for remarketing at the end of the lease term, the total unfavorable impact after consideration of dealer residual value guarantees would be approximately $75. This amount would be recognized as higher depreciation expense over the remaining term of the operating leases, or potentially as an impairment.Income TaxesWe are subject to federal, state, and foreign income taxes. These tax laws can be complex. Significant judgment and interpretation is required to implement them. Changes in tax laws could materially affect our consolidated financial statements. We record our tax positions in the following categories:●current taxes,●deferred taxes, and●uncertain tax positions.Deferred income taxes represent temporary differences between the tax and the financial reporting basis of assets and liabilities. This will result in taxable or deductible amounts in the future. Loss carryforwards and tax credits are significant components of deferred tax asset balances. These assets are reviewed regularly for the following: ●the likelihood of recoverability from future taxable income, ●reversal of deferred tax liabilities, and ●tax planning strategies. Valuation allowances are established when we determine that the deferred tax benefit may not be realized. The recoverability We review residual value estimates during the lease term. Depreciation is adjusted over the remaining lease term if residual estimates are revised. Impairments are recorded when events or circumstances necessitate. At the end of the majority of leases, the equipment is disposed in the following sequence:",
      "prior_body": "The allowance for credit losses is an estimate of the credit losses expected over the life of the receivable portfolio. The allowance is measured on a collective basis for receivables with similar risk characteristics. Receivables that do not share risk characteristics are evaluated on an individual basis. Risk characteristics include: ●market, ●geography, ●credit risk, and ●remaining balance. We utilize the following loss forecast models to estimate expected credit losses:●Transition matrix models are used for large and complex retail customer receivable pools. These models are used for more than 90 percent of retail customer receivables. Historical portfolio performance and current delinquency levels are used to forecast future defaults. Estimated recovery rates are applied to the estimated default balance to calculate the expected credit losses. ●Weighted average remaining maturity (WARM) models are used for smaller and less complex retail customer receivable pools. ●Historical loss rate models are used on wholesale receivables, with consideration of current economic conditions and dealer financial risk. The model output is adjusted for forecasted economic conditions, which may include the following economic indicators: ●commodity prices, ●industry equipment sales, ●unemployment rates, and ●housing starts. Management reviews each model’s output quarterly, and qualitative adjustments are incorporated as necessary.Allowance for Credit LossesThe allowance decreased in 2023 due to the disposition of the receivable portfolio in Russia (see Note 11). Excluding the portfolio in Russia, the allowance increased slightly as higher portfolio balances and higher expected losses on turf and construction customer accounts. The allowance increased in 2022 due to higher reserves related to the economic uncertainty in Russia. While we believe our allowance is sufficient to provide for losses over the life of our existing receivable portfolio, different assumptions would result in changes to the allowance for credit losses, specifically:●For the wholesale receivable portfolio: Changes in economic conditions have historically had limited impact on credit losses.●Within the retail customer receivable portfolio: Credit loss estimates are dependent on a number of factors, including historical portfolio performance, current economic conditions, current delinquency levels, and estimated recoveries on defaulted accounts. We utilize the following loss forecast models to estimate expected credit losses: The model output is adjusted for forecasted economic conditions, which may include the following economic indicators: Management reviews each model’s output quarterly, and qualitative adjustments are incorporated as necessary."
    },
    {
      "status": "MODIFIED",
      "current_title": "Income Taxes",
      "prior_title": "Income Taxes",
      "similarity_score": 0.895,
      "confidence": "high",
      "key_changes": [
        "Reworded sentence: \"These assets are reviewed regularly for the following: Valuation allowances are established when we determine that the deferred tax benefit may not be realized.\"",
        "Reworded sentence: \"The valuation allowance as of October 27, 2024 was $1.6 billion.\"",
        "Reworded sentence: \"Among these factors are risks related to: ●the agricultural business cycle, which can be unpredictable and is affected by factors such as world grain stocks, harvest yields, available farm acres, acreage planted, soil conditions, prices for commodities and livestock, input costs, availability of transport for crops as well as adverse macroeconomic conditions, including unemployment, inflation, interest rate volatility, changes in consumer practices due to slower economic growth, and regional or global liquidity constraints; these constraints may impact our customers and dealers, resulting in higher provisions for credit losses and write-offs;●uncertainty of government policies and actions after recent U.S.\""
      ],
      "current_body": "We are subject to federal, state, and foreign income taxes. These tax laws can be complex. Significant judgment and interpretation is required to implement them. Changes in tax laws could materially affect our consolidated financial statements. We record our tax positions in the following categories: Deferred income taxes represent temporary differences between the tax and the financial reporting basis of assets and liabilities. This will result in taxable or deductible amounts in the future. Loss carryforwards and tax credits are significant components of deferred tax asset balances. These assets are reviewed regularly for the following: Valuation allowances are established when we determine that the deferred tax benefit may not be realized. The recoverability analysis requires significant judgment and relies on estimates. The valuation allowance as of October 27, 2024 was $1.6 billion. Changes in foreign income tax laws, income for certain jurisdictions, or our tax structure could impact the valuation allowance balance.Some tax positions contain significant uncertainties. These positions may be challenged or disallowed by taxing authorities. If it is likely the position will be disallowed, no tax benefit is recorded. If it is likely the position will be sustained, a tax benefit is recognized. The ultimate resolution could take many years. This may result in a payment that is significantly different from the original estimate.See Note 8 for further information on income taxes.FORWARD-LOOKING STATEMENTSCertain statements contained herein, including in the section entitled “Overview” relating to future events, expectations, and trends constitute “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995 and involve factors that are subject to change, assumptions, risks, and uncertainties that could cause actual results to differ materially. Some of these risks and uncertainties could affect all lines of our operations generally while others could more heavily affect a particular line of business.Forward-looking statements are based on currently available information and current assumptions, expectations, and projections about future events and should not be relied upon. Except as required by law, we expressly disclaim any obligation to update or revise our forward-looking statements. Many factors, risks, and uncertainties could cause actual results to differ materially from these forward-looking statements. Among these factors are risks related to: ●the agricultural business cycle, which can be unpredictable and is affected by factors such as world grain stocks, harvest yields, available farm acres, acreage planted, soil conditions, prices for commodities and livestock, input costs, availability of transport for crops as well as adverse macroeconomic conditions, including unemployment, inflation, interest rate volatility, changes in consumer practices due to slower economic growth, and regional or global liquidity constraints; these constraints may impact our customers and dealers, resulting in higher provisions for credit losses and write-offs;●uncertainty of government policies and actions after recent U.S. elections in respect to global trade, tariffs, trade agreements, and energy, and the uncertainty of our ability to internationally sell products based on these actions and policies;●higher interest rates and currency fluctuations which could adversely affect the U.S. dollar, customer confidence, access to capital, and demand for our products and solutions;●our ability to adapt in highly competitive markets, including understanding and meeting customers’ changing expectations for products and solutions, including delivery and utilization of precision technology; analysis requires significant judgment and relies on estimates. The valuation allowance as of October 27, 2024 was $1.6 billion. Changes in foreign income tax laws, income for certain jurisdictions, or our tax structure could impact the valuation allowance balance. Some tax positions contain significant uncertainties. These positions may be challenged or disallowed by taxing authorities. If it is likely the position will be disallowed, no tax benefit is recorded. If it is likely the position will be sustained, a tax benefit is recognized. The ultimate resolution could take many years. This may result in a payment that is significantly different from the original estimate. See Note 8 for further information on income taxes.",
      "prior_body": "We are subject to federal, state, and foreign income taxes. These tax laws can be complex. Significant judgment and interpretation is required to implement them. Changes in tax laws could materially affect our consolidated financial statements. We record our tax positions in the following categories: Deferred income taxes represent temporary differences between the tax and the financial reporting basis of assets and liabilities. This will result in taxable or deductible amounts in the future. Loss carryforwards and tax credits are significant components of deferred tax asset balances. These assets are reviewed regularly for the following: ●the likelihood of recoverability from future taxable income, ●reversal of deferred tax liabilities, and ●tax planning strategies. Valuation allowances are established when we determine that the deferred tax benefit may not be realized. The recoverability analysis requires significant judgment and relies on estimates. The valuation allowance as of October 29, 2023 was $1.6 billion. Changes in foreign income tax laws, income for certain jurisdictions, or our tax structure could impact the valuation allowance balance.Some tax positions contain significant uncertainties. These positions may be challenged or disallowed by taxing authorities. If it is likely the position will be disallowed, no tax benefit is recorded. If it is likely the position will be sustained, a tax benefit is recognized. The ultimate resolution could take many years. This may result in a payment that is significantly different from the original estimate.See Note 8 for further information on income taxes.FORWARD-LOOKING STATEMENTSCertain statements contained herein, including in the section entitled “Overview” relating to future events, expectations, and trends constitute “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995 and involve factors that are subject to change, assumptions, risks, and uncertainties that could cause actual results to differ materially. Some of these risks and uncertainties could affect all lines of our operations generally while others could more heavily affect a particular line of business.Forward-looking statements are based on currently available information and current assumptions, expectations, and projections about future events and should not be relied upon. Except as required by law, we expressly disclaim any obligation to update or revise our forward-looking statements. Many factors, risks, and uncertainties could cause actual results to differ materially from these forward-looking statements. Among these factors are risks related to: ●changes in U.S., foreign and international laws, regulations, and policies relating to trade, spending, taxing, banking, monetary, environmental (including climate change and engine emission), and farming policies; ●political, economic, and social instability of the geographies in which we operate, including the ongoing wars between Russia and Ukraine and between Israel and Hamas;●adverse macroeconomic conditions, including unemployment, inflation, rising interest rates, changes in consumer practices due to slower economic growth or possible recession, and regional or global liquidity constraints; This will result in taxable or deductible amounts in the future. Loss carryforwards and tax credits are significant components of deferred tax asset balances. These assets are reviewed regularly for the following: Valuation allowances are established when we determine that the deferred tax benefit may not be realized. The recoverability analysis requires significant judgment and relies on estimates. The valuation allowance as of October 29, 2023 was $1.6 billion. Changes in foreign income tax laws, income for certain jurisdictions, or our tax structure could impact the valuation allowance balance. Some tax positions contain significant uncertainties. These positions may be challenged or disallowed by taxing authorities. If it is likely the position will be disallowed, no tax benefit is recorded. If it is likely the position will be sustained, a tax benefit is recognized. The ultimate resolution could take many years. This may result in a payment that is significantly different from the original estimate. See Note 8 for further information on income taxes."
    },
    {
      "status": "MODIFIED",
      "current_title": "Sales Incentive Accruals",
      "prior_title": "Sales Incentive Accruals",
      "similarity_score": 0.862,
      "confidence": "high",
      "key_changes": [
        "Reworded sentence: \"The decrease in 2024 resulted from lower sales.\"",
        "Reworded sentence: \"Over the last five fiscal years, this percent has varied by an average of 1.0 percent.\"",
        "Reworded sentence: \"Product Warranty AccrualsThe decrease in 2024 is the result of lower sales volumes.\"",
        "Reworded sentence: \"Over the last five fiscal years, the percent has varied plus or minus .09 percent.\"",
        "Reworded sentence: \"The key assumptions used by our actuaries to calculate the estimates include:●discount rates, ●health care cost trend rates, ●expected long-term return on plan assets, ●compensation increases, ●retirement rates, ●mortality rates, and ●expected contributions.\""
      ],
      "current_body": "The accruals recorded against receivables relate to programs where we have the contractual right and the intent to offset against existing receivables. The decrease in 2024 resulted from lower sales. A key assumption of the retail sales incentive accrual is the predictive value of the historical percent of retail sales incentive costs to retail sales. Over the last five fiscal years, this percent has varied by an average of 1.0 percent. Holding other assumptions constant, a 1.0 percent change would have modified the sales incentive accrual by about $135. ​Product WarrantiesA standard warranty is provided as an assurance that our equipment will function as intended. The standard warranty period varies by product and region. At the time a sale is recognized, we record an estimate of future warranty costs, based on the following calculation:●historical claims rate experience – multiplied by –●the estimated population. The historical claims rate is determined by a review of five-year claims costs. The estimated population is based on dealer inventories and retail sales. These estimates are reviewed quarterly. Adjustments are also made for current quality developments. Product Warranty AccrualsThe decrease in 2024 is the result of lower sales volumes. Product warranty accrual estimates are affected by the historical percent of warranty claims costs as a percentage of gross sales. Over the last five fiscal years, the percent has varied plus or minus .09 percent. Holding all other assumptions constant, if this estimated cost experience percent would have increased or decreased .09 percent, the warranty accrual at October 27, 2024 would have changed by approximately $50.Postretirement Benefit ObligationsThe pension and OPEB plan obligations (defined benefit) and expenses require the use of estimates. The main estimate is the present value of the projected future benefit payments. These future benefit payments extend several decades.The estimates are based on existing retirement plan provisions. No assumption is made regarding any potential changes to benefit provisions beyond those to which we are presently committed (e.g., in existing labor contracts). The key assumptions used by our actuaries to calculate the estimates include:●discount rates, ●health care cost trend rates, ●expected long-term return on plan assets, ●compensation increases, ●retirement rates, ●mortality rates, and ●expected contributions. Assumptions are set each year-end. These assumptions are not changed during the year unless there is a significant plan event. Actual results that differ from the assumptions affect future expenses and obligations. ​",
      "prior_body": "The accruals recorded against receivables relate to programs where we have the contractual right and the intent to offset against existing receivables. The increase in each of 2023 and 2022 primarily resulted from higher retail sales. Additional factors in 2023 were higher incentives for dealer market share and incentives provided to offset elevated interest rates. A key assumption of the retail sales incentive accrual is the predictive value of the historical percent of retail sales incentive costs to retail sales. Over the last five fiscal years, this percent has varied by an average of .7 percent. Holding other assumptions constant, .7 percent change would have modified the sales incentive accrual by $105.Product WarrantiesA standard warranty is provided as an assurance that our equipment will function as intended. The standard warranty period varies by product and region. At the time a sale is recognized, we record an estimate of future warranty costs, based on the following calculation:●historical claims rate experience – multiplied by –●the estimated population. The historical claims rate is determined by a review of five-year claims costs. The estimated population is based on dealer inventories and retail sales. These estimates are reviewed quarterly. Adjustments are also made for current quality developments. Product Warranty AccrualsThe increase in each of 2023 and 2022 related to higher sales volumes, partially offset by a decrease in the warranty rate. Product warranty accrual estimates are affected by the historical percent of warranty claims costs as a percentage of gross sales. During this time, the percent has varied plus or minus .12 percent. Holding all other assumptions constant, if this estimated cost experience percent would have increased or decreased .12 percent, the warranty accrual at October 29, 2023 would have changed by approximately $81.Postretirement Benefit ObligationsThe pension and OPEB plan obligations (defined benefit) and expenses require the use of estimates. The main estimate is the present value of the projected future benefit payments. These future benefit payments extend several decades.The estimates are based on existing retirement plan provisions. No assumption is made regarding any potential changes to benefit provisions beyond those to which we are presently committed (e.g., in existing labor contracts). The key assumptions used by our actuaries to calculate the estimates include:●discount rates, ●health care cost trend rates, ●expected long-term return on plan assets, ●compensation increases, 2023 were higher incentives for dealer market share and incentives provided to offset elevated interest rates. A key assumption of the retail sales incentive accrual is the predictive value of the historical percent of retail sales incentive costs to retail sales. Over the last five fiscal years, this percent has varied by an average of .7 percent. Holding other assumptions constant, .7 percent change would have modified the sales incentive accrual by $105."
    },
    {
      "status": "MODIFIED",
      "current_title": "Our ability to attract, develop, engage, and retain qualified employees could affect our ability to execute our strategy.",
      "prior_title": "Our ability to attract, develop, engage, and retain qualified employees could affect our ability to execute our strategy.",
      "similarity_score": 0.861,
      "confidence": "high",
      "key_changes": [
        "Reworded sentence: \"Our continued success depends, in part, on our ability to identify and attract qualified candidates with the requisite education, background, and experience, as well as our ability to develop, engage, and retain qualified employees.\"",
        "Reworded sentence: \"In addition, our culture and our values have been important contributors to our success to date and promote a sense of pride and fulfillment in our employees.\""
      ],
      "current_body": "Our continued success depends, in part, on our ability to identify and attract qualified candidates with the requisite education, background, and experience, as well as our ability to develop, engage, and retain qualified employees. Failure to attract, develop, engage, and retain qualified employees, whether as a result of an insufficient number of qualified applicants, difficulty in recruiting new employees, or inadequate resources to train, integrate, and retain qualified employees, could impair our ability to execute our business strategy and could adversely affect our business, results of operations, and financial condition. In addition, our culture and our values have been important contributors to our success to date and promote a sense of pride and fulfillment in our employees. Failure to preserve our culture or focus on our values could negatively affect our ability to retain and recruit talent. While we strive to reduce the impact of the departure of employees, our operations or ability to execute our business strategy may be affected by the loss of employees, such as in connection with the reduction in workforce we conducted in fiscal year 2024. This reduction may adversely affect us as a result of decreased employee morale, the loss of institutional knowledge held by departing employees, the allocation of resources to reorganize and reassign job roles and responsibilities, and the increased risk of litigation from former employees. In addition, we may not realize the expected cost savings from the reduction in workforce. We may also conduct other workforce reductions in the future, if deemed appropriate for our business.",
      "prior_body": "Our continued success depends, in part, on our ability to identify and attract qualified candidates with the requisite education, background, and experience as well as our ability to develop, engage, and retain qualified employees. Failure to attract, develop, engage, and retain qualified employees, whether as a result of an insufficient number of qualified applicants, difficulty in recruiting new employees, or inadequate resources to train, integrate, and retain qualified employees, could impair our ability to execute our business strategy and could adversely affect our business, results of operations, and financial condition. In addition, while we strive to reduce the impact of the departure of employees, our operations or ability to execute our business strategy and meet our business objectives may be affected by the loss of employees, particularly when departures involve larger numbers of employees, such as those we could experience if a surge occurs in the number of employees voluntarily leaving their jobs. Higher rates of employee separations may adversely affect us through decreased employee morale, the loss of knowledge of departing employees, and the devotion of resources to recruiting and onboarding new employees."
    },
    {
      "status": "MODIFIED",
      "current_title": "Total Cash, Cash Equivalents, and Restricted Cash",
      "prior_title": "Total Cash, Cash Equivalents, and Restricted Cash",
      "similarity_score": 0.835,
      "confidence": "high",
      "key_changes": [
        "Reworded sentence: \"​ $ 5,643 ​ $ 5,755 ​ $ 3,781 ​ $ 1,990 ​ $ 1,865 ​ $ 1,160 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ $ 7,633 ​ $ 7,620 ​ $ 4,941 ​ ​ ​ ​ ​ 11 Elimination of depreciation on leases related to inventory transferred to equipment on operating leases (see Note 6).\""
      ],
      "current_body": "​ $ 5,643 ​ $ 5,755 ​ $ 3,781 ​ $ 1,990 ​ $ 1,865 ​ $ 1,160 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ $ 7,633 ​ $ 7,620 ​ $ 4,941 ​ ​ ​ ​ ​ 11 Elimination of depreciation on leases related to inventory transferred to equipment on operating leases (see Note 6). 12 Reclassification of share-based compensation expense. 13 Elimination of dividends from financial services to the equipment operations, which are included in the equipment operations operating activities. 14 Primarily reclassification of receivables related to the sale of equipment. 15 Reclassification of direct lease agreements with retail customers. 16 Reclassification of sales incentive accruals on receivables sold to financial services. 17 Elimination of change in investment from equipment operations to financial services. 41 41 41",
      "prior_body": "​ $ 5,755 ​ $ 3,781 ​ $ 7,200 ​ $ 1,865 ​ $ 1,160 ​ $ 925 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ $ 7,620 ​ $ 4,941 ​ $ 8,125 ​ ​ ​ ​ ​ 12 Elimination of depreciation on leases related to inventory transferred to equipment on operating leases (see Note 6). 13 Reclassification of share-based compensation expense. 14 Elimination of dividends from financial services to the equipment operations, which are included in the equipment operations operating activities. 15 Primarily reclassification of receivables related to the sale of equipment. 16 Reclassification of direct lease agreements with retail customers. 17 Reclassification of sales incentive accruals on receivables sold to financial services. 18 Elimination and reclassification of the effects of financial services partial financing of the construction and forestry retail locations sales and subsequent collection of those amounts. 19 Elimination of investment from equipment operations to financial services. 41 41 41"
    },
    {
      "status": "MODIFIED",
      "current_title": "Components of Cash, Cash Equivalents, and Restricted Cash",
      "prior_title": "Components of Cash, Cash Equivalents, and Restricted Cash",
      "similarity_score": 0.835,
      "confidence": "high",
      "key_changes": [
        "Reworded sentence: \"​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Cash and cash equivalents ​ $ 5,615 ​ $ 5,720 ​ $ 3,767 ​ $ 1,709 ​ $ 1,738 ​ $ 1,007 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ $ 7,324 ​ $ 7,458 ​ $ 4,774 ​ ​ ​ Cash, cash equivalents, and restricted cash (Assets held for sale) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 116 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 116 ​ ​ ​ ​ ​ ​ ​ ​ ​ Restricted cash (Other assets) ​ ​ 28 ​ ​ 35 ​ ​ 14 ​ ​ 165 ​ ​ 127 ​ ​ 153 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 193 ​ ​ 162 ​ ​ 167 ​ ​ ​\""
      ],
      "current_body": "​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Cash and cash equivalents ​ $ 5,615 ​ $ 5,720 ​ $ 3,767 ​ $ 1,709 ​ $ 1,738 ​ $ 1,007 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ $ 7,324 ​ $ 7,458 ​ $ 4,774 ​ ​ ​ Cash, cash equivalents, and restricted cash (Assets held for sale) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 116 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 116 ​ ​ ​ ​ ​ ​ ​ ​ ​ Restricted cash (Other assets) ​ ​ 28 ​ ​ 35 ​ ​ 14 ​ ​ 165 ​ ​ 127 ​ ​ 153 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 193 ​ ​ 162 ​ ​ 167 ​ ​ ​",
      "prior_body": "​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Cash and cash equivalents ​ $ 5,720 ​ $ 3,767 ​ $ 7,188 ​ $ 1,738 ​ $ 1,007 ​ $ 829 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ $ 7,458 ​ $ 4,774 ​ $ 8,017 ​ ​ ​ Restricted cash (Other assets) ​ ​ 35 ​ ​ 14 ​ ​ 12 ​ ​ 127 ​ ​ 153 ​ ​ 96 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 162 ​ ​ 167 ​ ​ 108 ​ ​ ​"
    },
    {
      "status": "MODIFIED",
      "current_title": "Director and Executive Officer Trading Arrangements",
      "prior_title": "Changes in Internal Control Over Financial Reporting",
      "similarity_score": 0.799,
      "confidence": "high",
      "key_changes": [
        "Removed sentence: \"During the fourth quarter, there were no changes that have materially affected or are reasonably likely to materially affect our internal control over financial reporting.\"",
        "Removed sentence: \"Director and Executive Officer Trading Arrangements None.\"",
        "Added sentence: \"26 26 26 Table of ContentsPART IIIITEM 10.DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE.The information regarding directors required by this Item 10 will be set forth in the definitive proxy statement for our 2025 annual meeting of stockholders (proxy statement) to be filed with the Commission in advance of such meeting.\"",
        "Added sentence: \"Information regarding executive officers is presented in Item 1 of this report under the caption \"Information about our Executive Officers.\"We have adopted a code of ethics that applies to our executives, including our principal executive officer, principal financial officer, and principal accounting officer.\"",
        "Added sentence: \"This code of ethics and our corporate governance policies are posted on our website at http://www.deere.com/governance.\""
      ],
      "current_body": "None. ITEM 9C. DISCLOSURE REGARDING FOREIGN JURISDICTIONS THAT PREVENT INSPECTIONS. Not applicable. 26 26 26 Table of ContentsPART IIIITEM 10.DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE.The information regarding directors required by this Item 10 will be set forth in the definitive proxy statement for our 2025 annual meeting of stockholders (proxy statement) to be filed with the Commission in advance of such meeting. Information regarding executive officers is presented in Item 1 of this report under the caption \"Information about our Executive Officers.\"We have adopted a code of ethics that applies to our executives, including our principal executive officer, principal financial officer, and principal accounting officer. This code of ethics and our corporate governance policies are posted on our website at http://www.deere.com/governance. We intend to satisfy disclosure requirements regarding amendments to or waivers from our code of ethics by posting such information on this website. The charters of the Audit Review, Corporate Governance, Compensation, and Finance committees of our Board are available on our website as well. This information is also available in print free of charge to any person who requests it.ITEM 11.EXECUTIVE COMPENSATION.The information required by this Item 11 will be set forth in the proxy statement to be filed with the Commission.ITEM 12.SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS.The information required by this Item 12 will be set forth in the proxy statement to be filed with the Commission.ITEM 13.CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE.The information required by this Item 13 will be set forth in the proxy statement to be filed with the Commission.ITEM 14.PRINCIPAL ACCOUNTANT FEES AND SERVICES.Information required by this Item 14, including aggregate fees billed to us by our principal accountant, Deloitte & Touche LLP (PCAOB ID No. 34), will be set forth in the proxy statement to be filed with the Commission.​27 Table of Contents Table of Contents Table of Contents PART IIIITEM 10.DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE.The information regarding directors required by this Item 10 will be set forth in the definitive proxy statement for our 2025 annual meeting of stockholders (proxy statement) to be filed with the Commission in advance of such meeting. Information regarding executive officers is presented in Item 1 of this report under the caption \"Information about our Executive Officers.\"We have adopted a code of ethics that applies to our executives, including our principal executive officer, principal financial officer, and principal accounting officer. This code of ethics and our corporate governance policies are posted on our website at http://www.deere.com/governance. We intend to satisfy disclosure requirements regarding amendments to or waivers from our code of ethics by posting such information on this website. The charters of the Audit Review, Corporate Governance, Compensation, and Finance committees of our Board are available on our website as well. This information is also available in print free of charge to any person who requests it.ITEM 11.EXECUTIVE COMPENSATION.The information required by this Item 11 will be set forth in the proxy statement to be filed with the Commission.ITEM 12.SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS.The information required by this Item 12 will be set forth in the proxy statement to be filed with the Commission.ITEM 13.CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE.The information required by this Item 13 will be set forth in the proxy statement to be filed with the Commission.ITEM 14.PRINCIPAL ACCOUNTANT FEES AND SERVICES.Information required by this Item 14, including aggregate fees billed to us by our principal accountant, Deloitte & Touche LLP (PCAOB ID No. 34), will be set forth in the proxy statement to be filed with the Commission.​ PART IIIITEM 10.DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE.The information regarding directors required by this Item 10 will be set forth in the definitive proxy statement for our 2025 annual meeting of stockholders (proxy statement) to be filed with the Commission in advance of such meeting. Information regarding executive officers is presented in Item 1 of this report under the caption \"Information about our Executive Officers.\"We have adopted a code of ethics that applies to our executives, including our principal executive officer, principal financial officer, and principal accounting officer. This code of ethics and our corporate governance policies are posted on our website at http://www.deere.com/governance. We intend to satisfy disclosure requirements regarding amendments to or waivers from our code of ethics by posting such information on this website. The charters of the Audit Review, Corporate Governance, Compensation, and Finance committees of our Board are available on our website as well. This information is also available in print free of charge to any person who requests it.ITEM 11.EXECUTIVE COMPENSATION.The information required by this Item 11 will be set forth in the proxy statement to be filed with the Commission.ITEM 12.SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS.The information required by this Item 12 will be set forth in the proxy statement to be filed with the Commission.ITEM 13.CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE.The information required by this Item 13 will be set forth in the proxy statement to be filed with the Commission.ITEM 14.PRINCIPAL ACCOUNTANT FEES AND SERVICES.Information required by this Item 14, including aggregate fees billed to us by our principal accountant, Deloitte & Touche LLP (PCAOB ID No. 34), will be set forth in the proxy statement to be filed with the Commission.​ PART III ITEM 10. DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE. The information regarding directors required by this Item 10 will be set forth in the definitive proxy statement for our 2025 annual meeting of stockholders (proxy statement) to be filed with the Commission in advance of such meeting. Information regarding executive officers is presented in Item 1 of this report under the caption \"Information about our Executive Officers.\" We have adopted a code of ethics that applies to our executives, including our principal executive officer, principal financial officer, and principal accounting officer. This code of ethics and our corporate governance policies are posted on our website at http://www.deere.com/governance. We intend to satisfy disclosure requirements regarding amendments to or waivers from our code of ethics by posting such information on this website. The charters of the Audit Review, Corporate Governance, Compensation, and Finance committees of our Board are available on our website as well. This information is also available in print free of charge to any person who requests it. ITEM 11. EXECUTIVE COMPENSATION. The information required by this Item 11 will be set forth in the proxy statement to be filed with the Commission. ITEM 12. SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS. The information required by this Item 12 will be set forth in the proxy statement to be filed with the Commission. ITEM 13. CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE. The information required by this Item 13 will be set forth in the proxy statement to be filed with the Commission. ITEM 14. PRINCIPAL ACCOUNTANT FEES AND SERVICES. Information required by this Item 14, including aggregate fees billed to us by our principal accountant, Deloitte & Touche LLP (PCAOB ID No. 34), will be set forth in the proxy statement to be filed with the Commission. ​ 27 27 27 Table of ContentsPART IVITEM 15.EXHIBITS AND FINANCIAL STATEMENT SCHEDULES.​​​​​Page(1) Financial Statements​​​​​Statements of Consolidated Income for the years ended October 27, 2024, October 29, 2023, and October 30, 202244​​​​Statements of Consolidated Comprehensive Income for the years ended October 27, 2024, October 29, 2023, and October 30, 202245​​​​Consolidated Balance Sheets as of October 27, 2024 and October 29, 202346​​​​Statements of Consolidated Cash Flows for the years ended October 27, 2024, October 29, 2023, and October 30, 202247​​​​Statements of Changes in Consolidated Stockholders’ Equity for the years ended October 30, 2022, October 29, 2023, and October 27, 202448​​​​Notes to Consolidated Financial Statements49​​​(2) Exhibits​​​​​See the “Index to Exhibits” on pages 84 – 87 of this report​​​​​Certain instruments relating to long-term borrowings constituting less than 10 percent of registrant’s total assets are not filed as exhibits herewith pursuant to Item 601(b)4(iii)(A) of Regulation S-K. The registrant agrees to file copies of such instruments upon request of the Commission.​​​​​Financial Statement Schedules Omitted​​​​​The following schedules for the Company and consolidated subsidiaries are omitted because of the absence of the conditions under which they are required: I, II, III, IV, and V.​​​​ITEM 16.FORM 10-K SUMMARY.None.​​​​28 Table of Contents Table of Contents Table of Contents PART IVITEM 15.EXHIBITS AND FINANCIAL STATEMENT SCHEDULES.​​​​​Page(1) Financial Statements​​​​​Statements of Consolidated Income for the years ended October 27, 2024, October 29, 2023, and October 30, 202244​​​​Statements of Consolidated Comprehensive Income for the years ended October 27, 2024, October 29, 2023, and October 30, 202245​​​​Consolidated Balance Sheets as of October 27, 2024 and October 29, 202346​​​​Statements of Consolidated Cash Flows for the years ended October 27, 2024, October 29, 2023, and October 30, 202247​​​​Statements of Changes in Consolidated Stockholders’ Equity for the years ended October 30, 2022, October 29, 2023, and October 27, 202448​​​​Notes to Consolidated Financial Statements49​​​(2) Exhibits​​​​​See the “Index to Exhibits” on pages 84 – 87 of this report​​​​​Certain instruments relating to long-term borrowings constituting less than 10 percent of registrant’s total assets are not filed as exhibits herewith pursuant to Item 601(b)4(iii)(A) of Regulation S-K. The registrant agrees to file copies of such instruments upon request of the Commission.​​​​​Financial Statement Schedules Omitted​​​​​The following schedules for the Company and consolidated subsidiaries are omitted because of the absence of the conditions under which they are required: I, II, III, IV, and V.​​​​ITEM 16.FORM 10-K SUMMARY.None.​​​​ PART IVITEM 15.EXHIBITS AND FINANCIAL STATEMENT SCHEDULES.​​​​​Page(1) Financial Statements​​​​​Statements of Consolidated Income for the years ended October 27, 2024, October 29, 2023, and October 30, 202244​​​​Statements of Consolidated Comprehensive Income for the years ended October 27, 2024, October 29, 2023, and October 30, 202245​​​​Consolidated Balance Sheets as of October 27, 2024 and October 29, 202346​​​​Statements of Consolidated Cash Flows for the years ended October 27, 2024, October 29, 2023, and October 30, 202247​​​​Statements of Changes in Consolidated Stockholders’ Equity for the years ended October 30, 2022, October 29, 2023, and October 27, 202448​​​​Notes to Consolidated Financial Statements49​​​(2) Exhibits​​​​​See the “Index to Exhibits” on pages 84 – 87 of this report​​​​​Certain instruments relating to long-term borrowings constituting less than 10 percent of registrant’s total assets are not filed as exhibits herewith pursuant to Item 601(b)4(iii)(A) of Regulation S-K. The registrant agrees to file copies of such instruments upon request of the Commission.​​​​​Financial Statement Schedules Omitted​​​​​The following schedules for the Company and consolidated subsidiaries are omitted because of the absence of the conditions under which they are required: I, II, III, IV, and V.​​​​ITEM 16.FORM 10-K SUMMARY.None.​​​​ PART IV ITEM 15. EXHIBITS AND FINANCIAL STATEMENT SCHEDULES. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Page (1) Financial Statements ​ ​ ​ ​ ​ Statements of Consolidated Income for the years ended October 27, 2024, October 29, 2023, and October 30, 2022 Statements of Consolidated Income for the years ended October 27, 2024, October 29, 2023, and October 30, 2022 44 ​ ​ ​ ​ Statements of Consolidated Comprehensive Income for the years ended October 27, 2024, October 29, 2023, and October 30, 2022 Statements of Consolidated Comprehensive Income for the years ended October 27, 2024, October 29, 2023, and October 30, 2022 45 ​ ​ ​ ​ Consolidated Balance Sheets as of October 27, 2024 and October 29, 2023 Consolidated Balance Sheets as of October 27, 2024 and October 29, 2023 46 ​ ​ ​ ​ Statements of Consolidated Cash Flows for the years ended October 27, 2024, October 29, 2023, and October 30, 2022 Statements of Consolidated Cash Flows for the years ended October 27, 2024, October 29, 2023, and October 30, 2022 47 ​ ​ ​ ​ Statements of Changes in Consolidated Stockholders’ Equity for the years ended October 30, 2022, October 29, 2023, and October 27, 2024 Statements of Changes in Consolidated Stockholders’ Equity for the years ended October 30, 2022, October 29, 2023, and October 27, 2024 48 ​ ​ ​ ​ Notes to Consolidated Financial Statements Notes to Consolidated Financial Statements 49 ​ ​ ​ (2) Exhibits ​ ​ ​ ​ ​ See the “Index to Exhibits” on pages 84 – 87 of this report ​ ​ ​ ​ ​ Certain instruments relating to long-term borrowings constituting less than 10 percent of registrant’s total assets are not filed as exhibits herewith pursuant to Item 601(b)4(iii)(A) of Regulation S-K. The registrant agrees to file copies of such instruments upon request of the Commission. ​ ​ ​ ​ ​",
      "prior_body": "During the fourth quarter, there were no changes that have materially affected or are reasonably likely to materially affect our internal control over financial reporting. ITEM 9B. OTHER INFORMATION. Director and Executive Officer Trading Arrangements None. ITEM 9C. DISCLOSURE REGARDING FOREIGN JURISDICTIONS THAT PREVENT INSPECTIONS. Not applicable. PART III ITEM 10. DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE. The information regarding directors required by this Item 10 will be set forth in the definitive proxy statement for our 2024 annual meeting of stockholders (proxy statement) to be filed with the Commission in advance of such meeting. Information regarding executive officers is presented in Item 1 of this report under the caption \"Information about our Executive Officers.\" We have adopted a code of ethics that applies to our executives, including our principal executive officer, principal financial officer, and principal accounting officer. This code of ethics and our corporate governance policies are posted on our website at http://www.deere.com/governance. We intend to satisfy disclosure requirements regarding amendments to or waivers from our code of ethics by posting such information on this website. The charters of the Audit Review, Corporate Governance, Compensation, and Finance committees of our Board of Directors are available on our website as well. This information is also available in print free of charge to any person who requests it. ITEM 11. EXECUTIVE COMPENSATION. The information required by this Item 11 will be set forth in the proxy statement to be filed with the Commission. ITEM 12. SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS. The information required by this Item 12 will be set forth in the proxy statement to be filed with the Commission. ITEM 13. CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE. The information required by this Item 13 will be set forth in the proxy statement to be filed with the Commission. ITEM 14. PRINCIPAL ACCOUNTANT FEES AND SERVICES. Information required by this Item 14, including aggregate fees billed to us by our principal accountant, Deloitte & Touche LLP (PCAOB ID No. 34), will be set forth in the proxy statement to be filed with the Commission. ​ 27 27 27 Table of ContentsPART IVITEM 15.EXHIBITS AND FINANCIAL STATEMENT SCHEDULES.​​​​​Page(1) Financial Statements​​​​​Statements of Consolidated Income for the years ended October 29, 2023, October 30, 2022, and October 31, 202144​​​​Statements of Consolidated Comprehensive Income for the years ended October 29, 2023, October 30, 2022, and October 31, 202145​​​​Consolidated Balance Sheets as of October 29, 2023 and October 30, 202246​​​​Statements of Consolidated Cash Flows for the years ended October 29, 2023, October 30, 2022, and October 31, 202147​​​​Statements of Changes in Consolidated Stockholders’ Equity for the years ended October 31, 2021, October 30, 2022, and October 29, 202348​​​​Notes to Consolidated Financial Statements49​​​(2) Exhibits​​​​​See the “Index to Exhibits” on pages 83 – 86 of this report​​​​​Certain instruments relating to long-term borrowings constituting less than 10 percent of registrant’s total assets are not filed as exhibits herewith pursuant to Item 601(b)4(iii)(A) of Regulation S-K. Registrant agrees to file copies of such instruments upon request of the Commission.​​​​​Financial Statement Schedules Omitted​​​​​The following schedules for the company and consolidated subsidiaries are omitted because of the absence of the conditions under which they are required: I, II, III, IV, and V.​​​​ITEM 16.FORM 10-K SUMMARY.None.​​​​28 Table of Contents Table of Contents Table of Contents PART IVITEM 15.EXHIBITS AND FINANCIAL STATEMENT SCHEDULES.​​​​​Page(1) Financial Statements​​​​​Statements of Consolidated Income for the years ended October 29, 2023, October 30, 2022, and October 31, 202144​​​​Statements of Consolidated Comprehensive Income for the years ended October 29, 2023, October 30, 2022, and October 31, 202145​​​​Consolidated Balance Sheets as of October 29, 2023 and October 30, 202246​​​​Statements of Consolidated Cash Flows for the years ended October 29, 2023, October 30, 2022, and October 31, 202147​​​​Statements of Changes in Consolidated Stockholders’ Equity for the years ended October 31, 2021, October 30, 2022, and October 29, 202348​​​​Notes to Consolidated Financial Statements49​​​(2) Exhibits​​​​​See the “Index to Exhibits” on pages 83 – 86 of this report​​​​​Certain instruments relating to long-term borrowings constituting less than 10 percent of registrant’s total assets are not filed as exhibits herewith pursuant to Item 601(b)4(iii)(A) of Regulation S-K. Registrant agrees to file copies of such instruments upon request of the Commission.​​​​​Financial Statement Schedules Omitted​​​​​The following schedules for the company and consolidated subsidiaries are omitted because of the absence of the conditions under which they are required: I, II, III, IV, and V.​​​​ITEM 16.FORM 10-K SUMMARY.None.​​​​ PART IV ITEM 15. EXHIBITS AND FINANCIAL STATEMENT SCHEDULES. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Page (1) Financial Statements ​ ​ ​ ​ ​ Statements of Consolidated Income for the years ended October 29, 2023, October 30, 2022, and October 31, 2021 Statements of Consolidated Income for the years ended October 29, 2023, October 30, 2022, and October 31, 2021 44 ​ ​ ​ ​ Statements of Consolidated Comprehensive Income for the years ended October 29, 2023, October 30, 2022, and October 31, 2021 Statements of Consolidated Comprehensive Income for the years ended October 29, 2023, October 30, 2022, and October 31, 2021 45 ​ ​ ​ ​ Consolidated Balance Sheets as of October 29, 2023 and October 30, 2022 Consolidated Balance Sheets as of October 29, 2023 and October 30, 2022 46 ​ ​ ​ ​ Statements of Consolidated Cash Flows for the years ended October 29, 2023, October 30, 2022, and October 31, 2021 Statements of Consolidated Cash Flows for the years ended October 29, 2023, October 30, 2022, and October 31, 2021 47 ​ ​ ​ ​ Statements of Changes in Consolidated Stockholders’ Equity for the years ended October 31, 2021, October 30, 2022, and October 29, 2023 Statements of Changes in Consolidated Stockholders’ Equity for the years ended October 31, 2021, October 30, 2022, and October 29, 2023 48 ​ ​ ​ ​ Notes to Consolidated Financial Statements Notes to Consolidated Financial Statements 49 ​ ​ ​ (2) Exhibits ​ ​ ​ ​ ​ See the “Index to Exhibits” on pages 83 – 86 of this report ​ ​ ​ ​ ​ Certain instruments relating to long-term borrowings constituting less than 10 percent of registrant’s total assets are not filed as exhibits herewith pursuant to Item 601(b)4(iii)(A) of Regulation S-K. Registrant agrees to file copies of such instruments upon request of the Commission. ​ ​ ​ ​ ​"
    },
    {
      "status": "MODIFIED",
      "current_title": "(thousands)",
      "prior_title": "(thousands)",
      "similarity_score": 0.798,
      "confidence": "high",
      "key_changes": [
        "Reworded sentence: \"​ (millions) Jul 29 to Aug 25 877 ​ $ 362.97 876 23.1 ​ Aug 26 to Sept 22 515 ​ ​ 390.00 515 22.6 ​ Sept 23 to Oct 27 651 ​ 412.74 651 21.9 ​ Total 2,043 ​ ​ ​ 2,042 ​ ​ ​ ​ ​ STOCK PERFORMANCE GRAPH The following graph compares the yearly percentage change of Deere & Company’s cumulative total shareholder returns (TSR) for the last five years to that of the S&P 500 Index and the S&P 500 Industrials Index.\"",
        "Reworded sentence: \"​ ​ 25 25 25 Table of ContentsITEM 6.[RESERVED]​ITEM 7.MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS.See the information under the caption “Management’s Discussion and Analysis.”ITEM 7A.QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK.We are exposed to a variety of market risks, including interest rates and currency exchange rates.\"",
        "Reworded sentence: \"See the information under “Management’s Discussion and Analysis,” under “Financial Instrument Market Risk Information” and in Note 26 to the Consolidated Financial Statements.ITEM 8.FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA.See the Consolidated Financial Statements and notes thereto and supplementary data.ITEM 9.CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE.Not applicable.ITEM 9A.CONTROLS AND PROCEDURES.Disclosure Controls and ProceduresOur principal executive officer and our principal financial officer have concluded that our disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) of the Securities Exchange Act of 1934, as amended (the Exchange Act)) were effective as of October 27, 2024, based on the evaluation of these controls and procedures required by Rule 13a-15(b) or 15d-15(b) of the Exchange Act.Management’s Report on Internal Control Over Financial ReportingManagement is responsible for establishing and maintaining adequate internal control over financial reporting.\"",
        "Reworded sentence: \"See the information under “Management’s Discussion and Analysis,” under “Financial Instrument Market Risk Information” and in Note 26 to the Consolidated Financial Statements.ITEM 8.FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA.See the Consolidated Financial Statements and notes thereto and supplementary data.ITEM 9.CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE.Not applicable.ITEM 9A.CONTROLS AND PROCEDURES.Disclosure Controls and ProceduresOur principal executive officer and our principal financial officer have concluded that our disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) of the Securities Exchange Act of 1934, as amended (the Exchange Act)) were effective as of October 27, 2024, based on the evaluation of these controls and procedures required by Rule 13a-15(b) or 15d-15(b) of the Exchange Act.Management’s Report on Internal Control Over Financial ReportingManagement is responsible for establishing and maintaining adequate internal control over financial reporting.\""
      ],
      "current_body": "​ (millions) Jul 29 to Aug 25 877 ​ $ 362.97 876 23.1 ​ Aug 26 to Sept 22 515 ​ ​ 390.00 515 22.6 ​ Sept 23 to Oct 27 651 ​ 412.74 651 21.9 ​ Total 2,043 ​ ​ ​ 2,042 ​ ​ ​ ​ ​ STOCK PERFORMANCE GRAPH The following graph compares the yearly percentage change of Deere & Company’s cumulative total shareholder returns (TSR) for the last five years to that of the S&P 500 Index and the S&P 500 Industrials Index. The S&P 500 Industrials Index represents a focus group of companies across major industrial manufacturing categories that carry similar operational characteristics to us. The graph assumes $100 was invested on November 1, 2019, and that dividends were reinvested. The stock performance shown in the graph is not intended to forecast and does not necessarily indicate future price performance. ​ ​ 25 25 25 Table of ContentsITEM 6.[RESERVED]​ITEM 7.MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS.See the information under the caption “Management’s Discussion and Analysis.”ITEM 7A.QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK.We are exposed to a variety of market risks, including interest rates and currency exchange rates. We attempt to actively manage these risks. See the information under “Management’s Discussion and Analysis,” under “Financial Instrument Market Risk Information” and in Note 26 to the Consolidated Financial Statements.ITEM 8.FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA.See the Consolidated Financial Statements and notes thereto and supplementary data.ITEM 9.CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE.Not applicable.ITEM 9A.CONTROLS AND PROCEDURES.Disclosure Controls and ProceduresOur principal executive officer and our principal financial officer have concluded that our disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) of the Securities Exchange Act of 1934, as amended (the Exchange Act)) were effective as of October 27, 2024, based on the evaluation of these controls and procedures required by Rule 13a-15(b) or 15d-15(b) of the Exchange Act.Management’s Report on Internal Control Over Financial ReportingManagement is responsible for establishing and maintaining adequate internal control over financial reporting. Our internal control system was designed to provide reasonable assurance regarding the preparation and fair presentation of published financial statements in accordance with generally accepted U.S. accounting principles.All internal control systems, no matter how well designed, have inherent limitations. Therefore, even those systems determined to be effective can provide only reasonable assurance with respect to financial statement preparation and presentation in accordance with generally accepted accounting principles.Management assessed the effectiveness of our internal control over financial reporting as of October 27, 2024, using the criteria set forth in Internal Control – Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission. Based on that assessment, management concluded that, as of October 27, 2024, our internal control over financial reporting was effective.Our independent registered public accounting firm has issued an audit report on the effectiveness of our internal control over financial reporting. That report is included herein.Changes in Internal Control Over Financial ReportingDuring the fourth quarter, there were no changes that have materially affected or are reasonably likely to materially affect our internal control over financial reporting.ITEM 9B.OTHER INFORMATION.Director and Executive Officer Trading ArrangementsNone.ITEM 9C. DISCLOSURE REGARDING FOREIGN JURISDICTIONS THAT PREVENT INSPECTIONS.Not applicable.26 Table of Contents Table of Contents Table of Contents ITEM 6.[RESERVED]​ITEM 7.MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS.See the information under the caption “Management’s Discussion and Analysis.”ITEM 7A.QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK.We are exposed to a variety of market risks, including interest rates and currency exchange rates. We attempt to actively manage these risks. See the information under “Management’s Discussion and Analysis,” under “Financial Instrument Market Risk Information” and in Note 26 to the Consolidated Financial Statements.ITEM 8.FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA.See the Consolidated Financial Statements and notes thereto and supplementary data.ITEM 9.CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE.Not applicable.ITEM 9A.CONTROLS AND PROCEDURES.Disclosure Controls and ProceduresOur principal executive officer and our principal financial officer have concluded that our disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) of the Securities Exchange Act of 1934, as amended (the Exchange Act)) were effective as of October 27, 2024, based on the evaluation of these controls and procedures required by Rule 13a-15(b) or 15d-15(b) of the Exchange Act.Management’s Report on Internal Control Over Financial ReportingManagement is responsible for establishing and maintaining adequate internal control over financial reporting. Our internal control system was designed to provide reasonable assurance regarding the preparation and fair presentation of published financial statements in accordance with generally accepted U.S. accounting principles.All internal control systems, no matter how well designed, have inherent limitations. Therefore, even those systems determined to be effective can provide only reasonable assurance with respect to financial statement preparation and presentation in accordance with generally accepted accounting principles.Management assessed the effectiveness of our internal control over financial reporting as of October 27, 2024, using the criteria set forth in Internal Control – Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission. Based on that assessment, management concluded that, as of October 27, 2024, our internal control over financial reporting was effective.Our independent registered public accounting firm has issued an audit report on the effectiveness of our internal control over financial reporting. That report is included herein.Changes in Internal Control Over Financial ReportingDuring the fourth quarter, there were no changes that have materially affected or are reasonably likely to materially affect our internal control over financial reporting.ITEM 9B.OTHER INFORMATION.Director and Executive Officer Trading ArrangementsNone.ITEM 9C. DISCLOSURE REGARDING FOREIGN JURISDICTIONS THAT PREVENT INSPECTIONS.Not applicable. ITEM 6.[RESERVED]​ITEM 7.MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS.See the information under the caption “Management’s Discussion and Analysis.”ITEM 7A.QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK.We are exposed to a variety of market risks, including interest rates and currency exchange rates. We attempt to actively manage these risks. See the information under “Management’s Discussion and Analysis,” under “Financial Instrument Market Risk Information” and in Note 26 to the Consolidated Financial Statements.ITEM 8.FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA.See the Consolidated Financial Statements and notes thereto and supplementary data.ITEM 9.CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE.Not applicable.ITEM 9A.CONTROLS AND PROCEDURES.Disclosure Controls and ProceduresOur principal executive officer and our principal financial officer have concluded that our disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) of the Securities Exchange Act of 1934, as amended (the Exchange Act)) were effective as of October 27, 2024, based on the evaluation of these controls and procedures required by Rule 13a-15(b) or 15d-15(b) of the Exchange Act.Management’s Report on Internal Control Over Financial ReportingManagement is responsible for establishing and maintaining adequate internal control over financial reporting. Our internal control system was designed to provide reasonable assurance regarding the preparation and fair presentation of published financial statements in accordance with generally accepted U.S. accounting principles.All internal control systems, no matter how well designed, have inherent limitations. Therefore, even those systems determined to be effective can provide only reasonable assurance with respect to financial statement preparation and presentation in accordance with generally accepted accounting principles.Management assessed the effectiveness of our internal control over financial reporting as of October 27, 2024, using the criteria set forth in Internal Control – Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission. Based on that assessment, management concluded that, as of October 27, 2024, our internal control over financial reporting was effective.Our independent registered public accounting firm has issued an audit report on the effectiveness of our internal control over financial reporting. That report is included herein.Changes in Internal Control Over Financial ReportingDuring the fourth quarter, there were no changes that have materially affected or are reasonably likely to materially affect our internal control over financial reporting.ITEM 9B.OTHER INFORMATION.Director and Executive Officer Trading ArrangementsNone.ITEM 9C. DISCLOSURE REGARDING FOREIGN JURISDICTIONS THAT PREVENT INSPECTIONS.Not applicable. ITEM 6. [RESERVED] ​ ITEM 7. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS. See the information under the caption “Management’s Discussion and Analysis.” ITEM 7A. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK. We are exposed to a variety of market risks, including interest rates and currency exchange rates. We attempt to actively manage these risks. See the information under “Management’s Discussion and Analysis,” under “Financial Instrument Market Risk Information” and in Note 26 to the Consolidated Financial Statements. ITEM 8. FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA. See the Consolidated Financial Statements and notes thereto and supplementary data. ITEM 9. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE. Not applicable. ITEM 9A. CONTROLS AND PROCEDURES.",
      "prior_body": "​ (millions) Jul 31 to Aug 27 682 ​ $ 424.30 681 42.3 ​ Aug 28 to Sept 24 2,204 ​ ​ 410.43 2,204 39.8 ​ Sept 25 to Oct 29 3,593 ​ 384.94 3,593 35.9 ​ Total 6,479 ​ ​ ​ 6,478 ​ ​ ​ ​ ​ STOCK PERFORMANCE GRAPH The graph compares the total shareholder returns (TSR) of Deere & Company, the Standard & Poor’s (S&P) 500 Construction Machinery & Heavy Transportation Equipment Index, the S&P 500 Industrials, and the S&P 500 Stock Index over a five-year period. It assumes $100 was invested on October 26, 2018 and that dividends were reinvested. Our stock price at October 27, 2023, was $361.15. Going forward, we intend to use the S&P 500 Industrials to replace the S&P 500 Construction Machinery & Heavy Transportation Equipment. We believe the S&P 500 Industrials provides a better benchmark to compare our cumulative total returns against the industry because it comprises those companies included in the S&P 500 that are classified as members of the GICS industrials sector, and therefore, have many characteristics similar to us, regardless of the specific types of products they offer. In contrast, the S&P’s 500 Construction Machinery & Heavy Transportation Equipment Index is made up of only four companies (Caterpillar (CAT), Cummins (CMI), Paccar (PCAR), and Wabtec (WAB)). The stock performance shown in the graph is not intended to forecast and does not necessarily indicate future price performance. 25 25 25 Table of Contents​ITEM 6.[RESERVED]​​​ITEM 7.MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS.See the information under the caption “Management’s Discussion and Analysis.”ITEM 7A.QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK.We are exposed to a variety of market risks, including interest rates and currency exchange rates. We attempt to actively manage these risks. See the information under “Management’s Discussion and Analysis,” under “Financial Instrument Market Risk Information” and in Note 26 to the Consolidated Financial Statements.ITEM 8.FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA.See the Consolidated Financial Statements and notes thereto and supplementary data.ITEM 9.CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE.Not applicable.ITEM 9A.CONTROLS AND PROCEDURES.Disclosure Controls and ProceduresOur principal executive officer and our principal financial officer have concluded that our disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) of the Securities Exchange Act of 1934, as amended (the Exchange Act)) were effective as of October 29, 2023, based on the evaluation of these controls and procedures required by Rule 13a-15(b) or 15d-15(b) of the Exchange Act.Management’s Report on Internal Control Over Financial ReportingManagement is responsible for establishing and maintaining adequate internal control over financial reporting. Our internal control system was designed to provide reasonable assurance regarding the preparation and fair presentation of published financial statements in accordance with generally accepted accounting principles.26 Table of Contents Table of Contents Table of Contents ​ITEM 6.[RESERVED]​​​ITEM 7.MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS.See the information under the caption “Management’s Discussion and Analysis.”ITEM 7A.QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK.We are exposed to a variety of market risks, including interest rates and currency exchange rates. We attempt to actively manage these risks. See the information under “Management’s Discussion and Analysis,” under “Financial Instrument Market Risk Information” and in Note 26 to the Consolidated Financial Statements.ITEM 8.FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA.See the Consolidated Financial Statements and notes thereto and supplementary data.ITEM 9.CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE.Not applicable.ITEM 9A.CONTROLS AND PROCEDURES.Disclosure Controls and ProceduresOur principal executive officer and our principal financial officer have concluded that our disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) of the Securities Exchange Act of 1934, as amended (the Exchange Act)) were effective as of October 29, 2023, based on the evaluation of these controls and procedures required by Rule 13a-15(b) or 15d-15(b) of the Exchange Act.Management’s Report on Internal Control Over Financial ReportingManagement is responsible for establishing and maintaining adequate internal control over financial reporting. Our internal control system was designed to provide reasonable assurance regarding the preparation and fair presentation of published financial statements in accordance with generally accepted accounting principles. ​ ITEM 6. [RESERVED] ​ ​ ​ ITEM 7. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS. See the information under the caption “Management’s Discussion and Analysis.” ITEM 7A. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK. We are exposed to a variety of market risks, including interest rates and currency exchange rates. We attempt to actively manage these risks. See the information under “Management’s Discussion and Analysis,” under “Financial Instrument Market Risk Information” and in Note 26 to the Consolidated Financial Statements. ITEM 8. FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA. See the Consolidated Financial Statements and notes thereto and supplementary data. ITEM 9. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE. Not applicable. ITEM 9A. CONTROLS AND PROCEDURES."
    },
    {
      "status": "MODIFIED",
      "current_title": "Product Warranty Accruals",
      "prior_title": "Product Warranty Accruals",
      "similarity_score": 0.797,
      "confidence": "high",
      "key_changes": [
        "Reworded sentence: \"The decrease in 2024 is the result of lower sales volumes.\""
      ],
      "current_body": "The decrease in 2024 is the result of lower sales volumes.",
      "prior_body": "The increase in each of 2023 and 2022 related to higher sales volumes, partially offset by a decrease in the warranty rate."
    },
    {
      "status": "MODIFIED",
      "current_title": "Postretirement Benefit Obligations",
      "prior_title": "Postretirement Benefit Obligations",
      "similarity_score": 0.796,
      "confidence": "high",
      "key_changes": [
        "Reworded sentence: \"The key assumptions used by our actuaries to calculate the estimates include: Assumptions are set each year-end.\"",
        "Reworded sentence: \"Actual results that differ from the assumptions affect future expenses and obligations.\"",
        "Reworded sentence: \"We utilize the following loss forecast models to estimate expected credit losses:●Linear regression models are used for large and complex retail customer receivable pools, which represent more than 90 percent of retail customer receivables.\"",
        "Reworded sentence: \"Management reviews each model’s output quarterly, and qualitative adjustments are incorporated as necessary to arrive at management’s best estimate of expected credit losses.Allowance for Credit LossesDuring 2024, we determined that the financial services business in Brazil met the held for sale criteria.\"",
        "Reworded sentence: \"We utilize the following loss forecast models to estimate expected credit losses:●Linear regression models are used for large and complex retail customer receivable pools, which represent more than 90 percent of retail customer receivables.\""
      ],
      "current_body": "The pension and OPEB plan obligations (defined benefit) and expenses require the use of estimates. The main estimate is the present value of the projected future benefit payments. These future benefit payments extend several decades. The estimates are based on existing retirement plan provisions. No assumption is made regarding any potential changes to benefit provisions beyond those to which we are presently committed (e.g., in existing labor contracts). The key assumptions used by our actuaries to calculate the estimates include: Assumptions are set each year-end. These assumptions are not changed during the year unless there is a significant plan event. Actual results that differ from the assumptions affect future expenses and obligations. 35 35 35 Table of Contents​The key pension and OPEB amounts follow:​​​​​​​​​​​​​ 2024 2023 2022 Pension and OPEB net (benefit) cost​$ (86)​$ (13)​$ 176​Long-term expected return on pension and OPEB plan assets (as a percent) ​6.8​​6.2​​5.0​Long-term expected return on pension and OPEB plan assets​​ 1,075​​ 995​ 836​Actual return (loss) on pension and OPEB plan assets​​ 1,962​​ (395)​​ (3,565)​Pension assets, net of pension liabilities 2,003​ 2,076​ 2,690​OPEB liabilities, net of OPEB assets 1,191​ 1,001​ 1,205​​​The increase in the 2024 pension and OPEB net benefit was due to an increase in the expected long-term rates of return on pension plan assets and the Canadian pension settlement charge recognized in 2023 (see Note 7).The effect of hypothetical changes to selected assumptions on our major U.S. retirement benefit plans would be as follows:​​​​​​​​​​​​​​​October 27, 2024​2025​​​​​Increase​Increase​​​Percentage​(Decrease)​(Decrease)​Assumptions Change PBO/APBO* Expense Pensions:​​​​​​​​​Discount rate** +/-.5​$(495)/550​$4/7​Expected return on assets​+/-.5​​​​ (63)/63​OPEB:​​​​​​​​​Discount rate** +/-.5​ (138)/149​ (3)/1​Expected return on assets +/-.5​​​​ (11)/11​Health care cost trend rate** +/-1.0​ 263/(230)​ 33/(35)​* Projected benefit obligation (PBO) for pension plans and accumulated postretirement benefit obligation (APBO) for OPEB plans.** Pretax impact on service cost, interest cost, and amortization of gains or losses.​Allowance for Credit LossesThe allowance for credit losses is an estimate of the credit losses expected over the life of the receivable portfolio. The allowance is measured on a collective basis for receivables with similar risk characteristics. Receivables that do not share risk characteristics are evaluated on an individual basis. Risk characteristics include:●finance product category, ●market, ●geography, ●credit risk, and ●remaining balance. We utilize the following loss forecast models to estimate expected credit losses:●Linear regression models are used for large and complex retail customer receivable pools, which represent more than 90 percent of retail customer receivables. These statistical models utilize independent variables, or predictive features, to estimate lifetime default rates, which are subsequently adjusted for expected recoveries to arrive at lifetime credit loss estimates. Independent variables include credit quality at time of application, remaining account balance, delinquency status, and various economic factors, such as commodity prices, employment levels, and housing data.●Weighted average remaining maturity (WARM) models are used for smaller and less complex retail customer receivable pools. ●Historical loss rate models are used on wholesale receivables, with consideration of current economic conditions and dealer financial risk. Management reviews each model’s output quarterly, and qualitative adjustments are incorporated as necessary to arrive at management’s best estimate of expected credit losses.Allowance for Credit LossesDuring 2024, we determined that the financial services business in Brazil met the held for sale criteria. The receivables in Brazil were reclassified to “Assets held for sale.” The associated allowance for credit losses was reversed and a valuation allowance for the assets held for sale was recorded (see Note 4). Excluding the business in Brazil, the allowance for credit losses increased, primarily due to higher expected losses as a result of elevated delinquencies and a decline in market conditions. This increase was partially offset by a decrease in the allowance on revolving charge accounts, driven by write-offs of seasonal financing program accounts and recoveries expected on those accounts in the future. While we believe our allowance is sufficient to provide for losses over the life of our existing receivable portfolio, different assumptions would result in changes to the allowance for credit losses. Within the retail customer receivable portfolio, credit loss estimates are dependent on a number of factors, including credit quality at time of application, remaining account balances, current delinquency levels, various economic factors, and estimated recoveries on defaulted accounts. Changes in any of these factors could impact our credit losses. Conversely, changes in economic conditions have historically had limited impact on credit losses within the wholesale receivable portfolio. Holding all other factors constant, a 10 percent increase in the linear regression models’ forecasted defaults and a simultaneous 10 percent decrease in recovery rates would have resulted in a $70 increase to the allowance for credit losses at October 27, 2024.Operating Lease Residual ValuesEquipment on operating leases is depreciated to the estimated residual value over the lease term. The residual values are based on several factors, including:●lease term, ●expected hours of usage, ●historical wholesale sales prices,36 Table of Contents​ Table of Contents Table of Contents ​ The key pension and OPEB amounts follow:​​​​​​​​​​​​​ 2024 2023 2022 Pension and OPEB net (benefit) cost​$ (86)​$ (13)​$ 176​Long-term expected return on pension and OPEB plan assets (as a percent) ​6.8​​6.2​​5.0​Long-term expected return on pension and OPEB plan assets​​ 1,075​​ 995​ 836​Actual return (loss) on pension and OPEB plan assets​​ 1,962​​ (395)​​ (3,565)​Pension assets, net of pension liabilities 2,003​ 2,076​ 2,690​OPEB liabilities, net of OPEB assets 1,191​ 1,001​ 1,205​​​The increase in the 2024 pension and OPEB net benefit was due to an increase in the expected long-term rates of return on pension plan assets and the Canadian pension settlement charge recognized in 2023 (see Note 7).The effect of hypothetical changes to selected assumptions on our major U.S. retirement benefit plans would be as follows:​​​​​​​​​​​​​​​October 27, 2024​2025​​​​​Increase​Increase​​​Percentage​(Decrease)​(Decrease)​Assumptions Change PBO/APBO* Expense Pensions:​​​​​​​​​Discount rate** +/-.5​$(495)/550​$4/7​Expected return on assets​+/-.5​​​​ (63)/63​OPEB:​​​​​​​​​Discount rate** +/-.5​ (138)/149​ (3)/1​Expected return on assets +/-.5​​​​ (11)/11​Health care cost trend rate** +/-1.0​ 263/(230)​ 33/(35)​* Projected benefit obligation (PBO) for pension plans and accumulated postretirement benefit obligation (APBO) for OPEB plans.** Pretax impact on service cost, interest cost, and amortization of gains or losses.​Allowance for Credit LossesThe allowance for credit losses is an estimate of the credit losses expected over the life of the receivable portfolio. The allowance is measured on a collective basis for receivables with similar risk characteristics. Receivables that do not share risk characteristics are evaluated on an individual basis. Risk characteristics include:●finance product category, ●market, ●geography, ●credit risk, and ●remaining balance. We utilize the following loss forecast models to estimate expected credit losses:●Linear regression models are used for large and complex retail customer receivable pools, which represent more than 90 percent of retail customer receivables. These statistical models utilize independent variables, or predictive features, to estimate lifetime default rates, which are subsequently adjusted for expected recoveries to arrive at lifetime credit loss estimates. Independent variables include credit quality at time of application, remaining account balance, delinquency status, and various economic factors, such as commodity prices, employment levels, and housing data.●Weighted average remaining maturity (WARM) models are used for smaller and less complex retail customer receivable pools. ●Historical loss rate models are used on wholesale receivables, with consideration of current economic conditions and dealer financial risk. Management reviews each model’s output quarterly, and qualitative adjustments are incorporated as necessary to arrive at management’s best estimate of expected credit losses.Allowance for Credit LossesDuring 2024, we determined that the financial services business in Brazil met the held for sale criteria. The receivables in Brazil were reclassified to “Assets held for sale.” The associated allowance for credit losses was reversed and a valuation allowance for the assets held for sale was recorded (see Note 4). Excluding the business in Brazil, the allowance for credit losses increased, primarily due to higher expected losses as a result of elevated delinquencies and a decline in market conditions. This increase was partially offset by a decrease in the allowance on revolving charge accounts, driven by write-offs of seasonal financing program accounts and recoveries expected on those accounts in the future. While we believe our allowance is sufficient to provide for losses over the life of our existing receivable portfolio, different assumptions would result in changes to the allowance for credit losses. Within the retail customer receivable portfolio, credit loss estimates are dependent on a number of factors, including credit quality at time of application, remaining account balances, current delinquency levels, various economic factors, and estimated recoveries on defaulted accounts. Changes in any of these factors could impact our credit losses. Conversely, changes in economic conditions have historically had limited impact on credit losses within the wholesale receivable portfolio. Holding all other factors constant, a 10 percent increase in the linear regression models’ forecasted defaults and a simultaneous 10 percent decrease in recovery rates would have resulted in a $70 increase to the allowance for credit losses at October 27, 2024.Operating Lease Residual ValuesEquipment on operating leases is depreciated to the estimated residual value over the lease term. The residual values are based on several factors, including:●lease term, ●expected hours of usage, ●historical wholesale sales prices, The key pension and OPEB amounts follow:​​​​​​​​​​​​​ 2024 2023 2022 Pension and OPEB net (benefit) cost​$ (86)​$ (13)​$ 176​Long-term expected return on pension and OPEB plan assets (as a percent) ​6.8​​6.2​​5.0​Long-term expected return on pension and OPEB plan assets​​ 1,075​​ 995​ 836​Actual return (loss) on pension and OPEB plan assets​​ 1,962​​ (395)​​ (3,565)​Pension assets, net of pension liabilities 2,003​ 2,076​ 2,690​OPEB liabilities, net of OPEB assets 1,191​ 1,001​ 1,205​​​The increase in the 2024 pension and OPEB net benefit was due to an increase in the expected long-term rates of return on pension plan assets and the Canadian pension settlement charge recognized in 2023 (see Note 7).The effect of hypothetical changes to selected assumptions on our major U.S. retirement benefit plans would be as follows:​​​​​​​​​​​​​​​October 27, 2024​2025​​​​​Increase​Increase​​​Percentage​(Decrease)​(Decrease)​Assumptions Change PBO/APBO* Expense Pensions:​​​​​​​​​Discount rate** +/-.5​$(495)/550​$4/7​Expected return on assets​+/-.5​​​​ (63)/63​OPEB:​​​​​​​​​Discount rate** +/-.5​ (138)/149​ (3)/1​Expected return on assets +/-.5​​​​ (11)/11​Health care cost trend rate** +/-1.0​ 263/(230)​ 33/(35)​* Projected benefit obligation (PBO) for pension plans and accumulated postretirement benefit obligation (APBO) for OPEB plans.** Pretax impact on service cost, interest cost, and amortization of gains or losses.​Allowance for Credit LossesThe allowance for credit losses is an estimate of the credit losses expected over the life of the receivable portfolio. The allowance is measured on a collective basis for receivables with similar risk characteristics. Receivables that do not share risk characteristics are evaluated on an individual basis. Risk characteristics include:●finance product category, ●market, ●geography, ●credit risk, and ●remaining balance. We utilize the following loss forecast models to estimate expected credit losses:●Linear regression models are used for large and complex retail customer receivable pools, which represent more than 90 percent of retail customer receivables. These statistical models utilize independent variables, or predictive features, to estimate lifetime default rates, which are subsequently adjusted for expected recoveries to arrive at lifetime credit loss estimates. Independent variables include credit quality at time of application, remaining account balance, delinquency status, and various economic factors, such as commodity prices, employment levels, and housing data.●Weighted average remaining maturity (WARM) models are used for smaller and less complex retail customer receivable pools. ●Historical loss rate models are used on wholesale receivables, with consideration of current economic conditions and dealer financial risk. Management reviews each model’s output quarterly, and qualitative adjustments are incorporated as necessary to arrive at management’s best estimate of expected credit losses.Allowance for Credit LossesDuring 2024, we determined that the financial services business in Brazil met the held for sale criteria. The receivables in Brazil were reclassified to “Assets held for sale.” The associated allowance for credit losses was reversed and a valuation allowance for the assets held for sale was recorded (see Note 4). Excluding the business in Brazil, the allowance for credit losses increased, primarily due to higher expected losses as a result of elevated delinquencies and a decline in market conditions. This increase was partially offset by a decrease in the allowance on revolving charge accounts, driven by write-offs of seasonal financing program accounts and recoveries expected on those accounts in the future. While we believe our allowance is sufficient to provide for losses over the life of our existing receivable portfolio, different assumptions would result in changes to the allowance for credit losses. Within the retail customer receivable portfolio, credit loss estimates are dependent on a number of factors, including credit quality at time of application, remaining account balances, current delinquency levels, various economic factors, and estimated recoveries on defaulted accounts. Changes in any of these factors could impact our credit losses. Conversely, changes in economic conditions have historically had limited impact on credit losses within the wholesale receivable portfolio. Holding all other factors constant, a 10 percent increase in the linear regression models’ forecasted defaults and a simultaneous 10 percent decrease in recovery rates would have resulted in a $70 increase to the allowance for credit losses at October 27, 2024.Operating Lease Residual ValuesEquipment on operating leases is depreciated to the estimated residual value over the lease term. The residual values are based on several factors, including:●lease term, ●expected hours of usage, ●historical wholesale sales prices, The key pension and OPEB amounts follow:​​​​​​​​​​​​​ 2024 2023 2022 Pension and OPEB net (benefit) cost​$ (86)​$ (13)​$ 176​Long-term expected return on pension and OPEB plan assets (as a percent) ​6.8​​6.2​​5.0​Long-term expected return on pension and OPEB plan assets​​ 1,075​​ 995​ 836​Actual return (loss) on pension and OPEB plan assets​​ 1,962​​ (395)​​ (3,565)​Pension assets, net of pension liabilities 2,003​ 2,076​ 2,690​OPEB liabilities, net of OPEB assets 1,191​ 1,001​ 1,205​​​The increase in the 2024 pension and OPEB net benefit was due to an increase in the expected long-term rates of return on pension plan assets and the Canadian pension settlement charge recognized in 2023 (see Note 7).The effect of hypothetical changes to selected assumptions on our major U.S. retirement benefit plans would be as follows:​​​​​​​​​​​​​​​October 27, 2024​2025​​​​​Increase​Increase​​​Percentage​(Decrease)​(Decrease)​Assumptions Change PBO/APBO* Expense Pensions:​​​​​​​​​Discount rate** +/-.5​$(495)/550​$4/7​Expected return on assets​+/-.5​​​​ (63)/63​OPEB:​​​​​​​​​Discount rate** +/-.5​ (138)/149​ (3)/1​Expected return on assets +/-.5​​​​ (11)/11​Health care cost trend rate** +/-1.0​ 263/(230)​ 33/(35)​* Projected benefit obligation (PBO) for pension plans and accumulated postretirement benefit obligation (APBO) for OPEB plans.** Pretax impact on service cost, interest cost, and amortization of gains or losses.​Allowance for Credit LossesThe allowance for credit losses is an estimate of the credit losses expected over the life of the receivable portfolio. The allowance is measured on a collective basis for receivables with similar risk characteristics. Receivables that do not share risk characteristics are evaluated on an individual basis. Risk characteristics include:●finance product category, ●market, ●geography, ●credit risk, and ●remaining balance. We utilize the following loss forecast models to estimate expected credit losses:●Linear regression models are used for large and complex retail customer receivable pools, which represent more than 90 percent of retail customer receivables. These statistical models utilize independent variables, or predictive features, to estimate lifetime default rates, which are subsequently adjusted for expected recoveries to arrive at lifetime credit loss estimates. Independent variables include credit quality at time of application, remaining account balance, delinquency status, and various economic factors, such as commodity prices, employment levels, and housing data.●Weighted average remaining maturity (WARM) models are used for smaller and less complex retail customer receivable pools. ●Historical loss rate models are used on wholesale receivables, with consideration of current economic conditions and dealer financial risk. Management reviews each model’s output quarterly, and qualitative adjustments are incorporated as necessary to arrive at management’s best estimate of expected credit losses.Allowance for Credit LossesDuring 2024, we determined that the financial services business in Brazil met the held for sale criteria. The receivables in Brazil were reclassified to “Assets held for sale.” The associated allowance for credit losses was reversed and a valuation allowance for the assets held for sale was recorded (see Note 4). Excluding the business in Brazil, the allowance for credit losses increased, primarily due to higher expected losses as a result of elevated delinquencies and a decline in market conditions. This increase was partially offset by a decrease in the allowance on revolving charge accounts, driven by write-offs of seasonal financing program accounts and recoveries expected on those accounts in the future. While we believe our allowance is sufficient to provide for losses over the life of our existing receivable portfolio, different assumptions would result in changes to the allowance for credit losses. Within the retail customer receivable portfolio, credit loss estimates are dependent on a number of factors, including credit quality at time of application, remaining account balances, current delinquency levels, various economic factors, and estimated recoveries on defaulted accounts. Changes in any of these factors could impact our credit losses. Conversely, changes in economic conditions have historically had limited impact on credit losses within the wholesale receivable portfolio. Holding all other factors constant, a 10 percent increase in the linear regression models’ forecasted defaults and a simultaneous 10 percent decrease in recovery rates would have resulted in a $70 increase to the allowance for credit losses at October 27, 2024.Operating Lease Residual ValuesEquipment on operating leases is depreciated to the estimated residual value over the lease term. The residual values are based on several factors, including:●lease term, ●expected hours of usage, ●historical wholesale sales prices, The key pension and OPEB amounts follow:​​​​​​​​​​​​​ 2024 2023 2022 Pension and OPEB net (benefit) cost​$ (86)​$ (13)​$ 176​Long-term expected return on pension and OPEB plan assets (as a percent) ​6.8​​6.2​​5.0​Long-term expected return on pension and OPEB plan assets​​ 1,075​​ 995​ 836​Actual return (loss) on pension and OPEB plan assets​​ 1,962​​ (395)​​ (3,565)​Pension assets, net of pension liabilities 2,003​ 2,076​ 2,690​OPEB liabilities, net of OPEB assets 1,191​ 1,001​ 1,205​​​The increase in the 2024 pension and OPEB net benefit was due to an increase in the expected long-term rates of return on pension plan assets and the Canadian pension settlement charge recognized in 2023 (see Note 7).The effect of hypothetical changes to selected assumptions on our major U.S. retirement benefit plans would be as follows:​​​​​​​​​​​​​​​October 27, 2024​2025​​​​​Increase​Increase​​​Percentage​(Decrease)​(Decrease)​Assumptions Change PBO/APBO* Expense Pensions:​​​​​​​​​Discount rate** +/-.5​$(495)/550​$4/7​Expected return on assets​+/-.5​​​​ (63)/63​OPEB:​​​​​​​​​Discount rate** +/-.5​ (138)/149​ (3)/1​Expected return on assets +/-.5​​​​ (11)/11​Health care cost trend rate** +/-1.0​ 263/(230)​ 33/(35)​* Projected benefit obligation (PBO) for pension plans and accumulated postretirement benefit obligation (APBO) for OPEB plans.** Pretax impact on service cost, interest cost, and amortization of gains or losses.​Allowance for Credit LossesThe allowance for credit losses is an estimate of the credit losses expected over the life of the receivable portfolio. The allowance is measured on a collective basis for receivables with similar risk characteristics. Receivables that do not share risk characteristics are evaluated on an individual basis. Risk characteristics include:●finance product category, ●market, ●geography, ●credit risk, and ●remaining balance. We utilize the following loss forecast models to estimate expected credit losses:●Linear regression models are used for large and complex retail customer receivable pools, which represent more than 90 percent of retail customer receivables. These statistical models utilize independent variables, or predictive features, to estimate lifetime default rates, which are subsequently adjusted for expected recoveries to arrive at lifetime credit loss The key pension and OPEB amounts follow: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2024 2023 2022 Pension and OPEB net (benefit) cost ​ $ (86) ​ $ (13) ​ $ 176 ​ Long-term expected return on pension and OPEB plan assets (as a percent) ​ 6.8 ​ ​ 6.2 ​ ​ 5.0 ​ Long-term expected return on pension and OPEB plan assets ​ ​ 1,075 ​ ​ 995 ​ 836 ​ Actual return (loss) on pension and OPEB plan assets ​ ​ 1,962 ​ ​ (395) ​ ​ (3,565) ​ Pension assets, net of pension liabilities 2,003 ​ 2,076 ​ 2,690 ​ OPEB liabilities, net of OPEB assets 1,191 ​ 1,001 ​ 1,205 ​ ​ ​ The increase in the 2024 pension and OPEB net benefit was due to an increase in the expected long-term rates of return on pension plan assets and the Canadian pension settlement charge recognized in 2023 (see Note 7). The effect of hypothetical changes to selected assumptions on our major U.S. retirement benefit plans would be as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​",
      "prior_body": "The pension and OPEB plan obligations (defined benefit) and expenses require the use of estimates. The main estimate is the present value of the projected future benefit payments. These future benefit payments extend several decades. The estimates are based on existing retirement plan provisions. No assumption is made regarding any potential changes to benefit provisions beyond those to which we are presently committed (e.g., in existing labor contracts). The key assumptions used by our actuaries to calculate the estimates include: 35 35 35 Table of Contents​●retirement rates, ●mortality rates, and ●expected contributions. Assumptions are set each year-end. These assumptions are not changed during the year unless there is a significant plan event. Actual results that differ from the assumptions affect future expenses and obligations.The key pension and OPEB amounts follow:​​​​​​​​​​​​​ 2023 2022 2021 Pension and OPEB net (benefit) cost​$ (13)​$ 176​$ 197​Long-term expected return on pension and OPEB plan assets (as a percent) ​6.2​​5.0​​5.9​Long-term expected return on pension and OPEB plan assets​​ 995​​ 836​ 876​Actual return (loss) on pension and OPEB plan assets​​ (395)​​ (3,565)​​ 3,616​Pension assets, net of pension liabilities 2,076​ 2,690​ 2,665​OPEB liabilities, net of OPEB assets 1,001​ 1,205​ 3,175​​​The reduction in the 2023 pension and OPEB net (benefit) cost was due to increased expected long-term return rates on plan assets and increased discount rates.The effect of hypothetical changes to selected assumptions on our major U.S. retirement benefit plans would be as follows:​​​​​​​​​​​​​​​October 29, 2023​2024​​​​​Increase​Increase​​​Percentage​(Decrease)​(Decrease)​Assumptions Change PBO/APBO* Expense Pension​​​​​​​​​Discount rate** +/-.5​$(414)/456​$3/(3)​Expected return on assets​+/-.5​​​​ (63)/63​OPEB​​​​​​​​​Discount rate** +/-.5​ (120)/130​ (4)/5​Expected return on assets +/-.5​​​​ (10)/10​Health care cost trend rate** +/-1.0​ 231/(202)​ 39/(34)​*Projected benefit obligation (PBO) for pension plans and accumulated postretirement benefit obligation (APBO) for OPEB plans.**Pretax impact on service cost, interest cost, and amortization of gains or losses.​Allowance for Credit LossesThe allowance for credit losses is an estimate of the credit losses expected over the life of the receivable portfolio. The allowance is measured on a collective basis for receivables with similar risk characteristics. Receivables that do not share risk characteristics are evaluated on an individual basis. Risk characteristics include:●finance product category, ●market, ●geography, ●credit risk, and ●remaining balance. We utilize the following loss forecast models to estimate expected credit losses:●Transition matrix models are used for large and complex retail customer receivable pools. These models are used for more than 90 percent of retail customer receivables. Historical portfolio performance and current delinquency levels are used to forecast future defaults. Estimated recovery rates are applied to the estimated default balance to calculate the expected credit losses. ●Weighted average remaining maturity (WARM) models are used for smaller and less complex retail customer receivable pools. ●Historical loss rate models are used on wholesale receivables, with consideration of current economic conditions and dealer financial risk. The model output is adjusted for forecasted economic conditions, which may include the following economic indicators: ●commodity prices, ●industry equipment sales, ●unemployment rates, and ●housing starts. Management reviews each model’s output quarterly, and qualitative adjustments are incorporated as necessary.Allowance for Credit LossesThe allowance decreased in 2023 due to the disposition of the receivable portfolio in Russia (see Note 11). Excluding the portfolio in Russia, the allowance increased slightly as higher portfolio balances and higher expected losses on turf and construction customer accounts. The allowance increased in 2022 due to higher reserves related to the economic uncertainty in Russia. While we believe our allowance is sufficient to provide for losses over the life of our existing receivable portfolio, different assumptions would result in changes to the allowance for credit losses, specifically:●For the wholesale receivable portfolio: Changes in economic conditions have historically had limited impact on credit losses.●Within the retail customer receivable portfolio: Credit loss estimates are dependent on a number of factors, including historical portfolio performance, current economic conditions, current delinquency levels, and estimated recoveries on defaulted accounts. 36 Table of Contents​ Table of Contents Table of Contents ​ ●retirement rates, ●mortality rates, and ●expected contributions. Assumptions are set each year-end. These assumptions are not changed during the year unless there is a significant plan event. Actual results that differ from the assumptions affect future expenses and obligations.The key pension and OPEB amounts follow:​​​​​​​​​​​​​ 2023 2022 2021 Pension and OPEB net (benefit) cost​$ (13)​$ 176​$ 197​Long-term expected return on pension and OPEB plan assets (as a percent) ​6.2​​5.0​​5.9​Long-term expected return on pension and OPEB plan assets​​ 995​​ 836​ 876​Actual return (loss) on pension and OPEB plan assets​​ (395)​​ (3,565)​​ 3,616​Pension assets, net of pension liabilities 2,076​ 2,690​ 2,665​OPEB liabilities, net of OPEB assets 1,001​ 1,205​ 3,175​​​The reduction in the 2023 pension and OPEB net (benefit) cost was due to increased expected long-term return rates on plan assets and increased discount rates.The effect of hypothetical changes to selected assumptions on our major U.S. retirement benefit plans would be as follows:​​​​​​​​​​​​​​​October 29, 2023​2024​​​​​Increase​Increase​​​Percentage​(Decrease)​(Decrease)​Assumptions Change PBO/APBO* Expense Pension​​​​​​​​​Discount rate** +/-.5​$(414)/456​$3/(3)​Expected return on assets​+/-.5​​​​ (63)/63​OPEB​​​​​​​​​Discount rate** +/-.5​ (120)/130​ (4)/5​Expected return on assets +/-.5​​​​ (10)/10​Health care cost trend rate** +/-1.0​ 231/(202)​ 39/(34)​*Projected benefit obligation (PBO) for pension plans and accumulated postretirement benefit obligation (APBO) for OPEB plans.**Pretax impact on service cost, interest cost, and amortization of gains or losses.​Allowance for Credit LossesThe allowance for credit losses is an estimate of the credit losses expected over the life of the receivable portfolio. The allowance is measured on a collective basis for receivables with similar risk characteristics. Receivables that do not share risk characteristics are evaluated on an individual basis. Risk characteristics include:●finance product category, ●market, ●geography, ●credit risk, and ●remaining balance. We utilize the following loss forecast models to estimate expected credit losses:●Transition matrix models are used for large and complex retail customer receivable pools. These models are used for more than 90 percent of retail customer receivables. Historical portfolio performance and current delinquency levels are used to forecast future defaults. Estimated recovery rates are applied to the estimated default balance to calculate the expected credit losses. ●Weighted average remaining maturity (WARM) models are used for smaller and less complex retail customer receivable pools. ●Historical loss rate models are used on wholesale receivables, with consideration of current economic conditions and dealer financial risk. The model output is adjusted for forecasted economic conditions, which may include the following economic indicators: ●commodity prices, ●industry equipment sales, ●unemployment rates, and ●housing starts. Management reviews each model’s output quarterly, and qualitative adjustments are incorporated as necessary.Allowance for Credit LossesThe allowance decreased in 2023 due to the disposition of the receivable portfolio in Russia (see Note 11). Excluding the portfolio in Russia, the allowance increased slightly as higher portfolio balances and higher expected losses on turf and construction customer accounts. The allowance increased in 2022 due to higher reserves related to the economic uncertainty in Russia. While we believe our allowance is sufficient to provide for losses over the life of our existing receivable portfolio, different assumptions would result in changes to the allowance for credit losses, specifically:●For the wholesale receivable portfolio: Changes in economic conditions have historically had limited impact on credit losses.●Within the retail customer receivable portfolio: Credit loss estimates are dependent on a number of factors, including historical portfolio performance, current economic conditions, current delinquency levels, and estimated recoveries on defaulted accounts. ●retirement rates, ●mortality rates, and ●expected contributions. Assumptions are set each year-end. These assumptions are not changed during the year unless there is a significant plan event. Actual results that differ from the assumptions affect future expenses and obligations.The key pension and OPEB amounts follow:​​​​​​​​​​​​​ 2023 2022 2021 Pension and OPEB net (benefit) cost​$ (13)​$ 176​$ 197​Long-term expected return on pension and OPEB plan assets (as a percent) ​6.2​​5.0​​5.9​Long-term expected return on pension and OPEB plan assets​​ 995​​ 836​ 876​Actual return (loss) on pension and OPEB plan assets​​ (395)​​ (3,565)​​ 3,616​Pension assets, net of pension liabilities 2,076​ 2,690​ 2,665​OPEB liabilities, net of OPEB assets 1,001​ 1,205​ 3,175​​​The reduction in the 2023 pension and OPEB net (benefit) cost was due to increased expected long-term return rates on plan assets and increased discount rates.The effect of hypothetical changes to selected assumptions on our major U.S. retirement benefit plans would be as follows:​​​​​​​​​​​​​​​October 29, 2023​2024​​​​​Increase​Increase​​​Percentage​(Decrease)​(Decrease)​Assumptions Change PBO/APBO* Expense Pension​​​​​​​​​Discount rate** +/-.5​$(414)/456​$3/(3)​Expected return on assets​+/-.5​​​​ (63)/63​OPEB​​​​​​​​​Discount rate** +/-.5​ (120)/130​ (4)/5​Expected return on assets +/-.5​​​​ (10)/10​Health care cost trend rate** +/-1.0​ 231/(202)​ 39/(34)​*Projected benefit obligation (PBO) for pension plans and accumulated postretirement benefit obligation (APBO) for OPEB plans.**Pretax impact on service cost, interest cost, and amortization of gains or losses.​Allowance for Credit LossesThe allowance for credit losses is an estimate of the credit losses expected over the life of the receivable portfolio. The allowance is measured on a collective basis for receivables with similar risk characteristics. Receivables that do not share risk characteristics are evaluated on an individual basis. Risk characteristics include:●finance product category, ●market, ●geography, ●credit risk, and ●remaining balance. We utilize the following loss forecast models to estimate expected credit losses:●Transition matrix models are used for large and complex retail customer receivable pools. These models are used for more than 90 percent of retail customer receivables. Historical portfolio performance and current delinquency levels are used to forecast future defaults. Estimated recovery rates are applied to the estimated default balance to calculate the expected credit losses. ●Weighted average remaining maturity (WARM) models are used for smaller and less complex retail customer receivable pools. ●Historical loss rate models are used on wholesale receivables, with consideration of current economic conditions and dealer financial risk. The model output is adjusted for forecasted economic conditions, which may include the following economic indicators: ●commodity prices, ●industry equipment sales, ●unemployment rates, and ●housing starts. Management reviews each model’s output quarterly, and qualitative adjustments are incorporated as necessary.Allowance for Credit LossesThe allowance decreased in 2023 due to the disposition of the receivable portfolio in Russia (see Note 11). Excluding the portfolio in Russia, the allowance increased slightly as higher portfolio balances and higher expected losses on turf and construction customer accounts. The allowance increased in 2022 due to higher reserves related to the economic uncertainty in Russia. While we believe our allowance is sufficient to provide for losses over the life of our existing receivable portfolio, different assumptions would result in changes to the allowance for credit losses, specifically:●For the wholesale receivable portfolio: Changes in economic conditions have historically had limited impact on credit losses.●Within the retail customer receivable portfolio: Credit loss estimates are dependent on a number of factors, including historical portfolio performance, current economic conditions, current delinquency levels, and estimated recoveries on defaulted accounts. ●retirement rates, ●mortality rates, and ●expected contributions. Assumptions are set each year-end. These assumptions are not changed during the year unless there is a significant plan event. Actual results that differ from the assumptions affect future expenses and obligations.The key pension and OPEB amounts follow:​​​​​​​​​​​​​ 2023 2022 2021 Pension and OPEB net (benefit) cost​$ (13)​$ 176​$ 197​Long-term expected return on pension and OPEB plan assets (as a percent) ​6.2​​5.0​​5.9​Long-term expected return on pension and OPEB plan assets​​ 995​​ 836​ 876​Actual return (loss) on pension and OPEB plan assets​​ (395)​​ (3,565)​​ 3,616​Pension assets, net of pension liabilities 2,076​ 2,690​ 2,665​OPEB liabilities, net of OPEB assets 1,001​ 1,205​ 3,175​​​The reduction in the 2023 pension and OPEB net (benefit) cost was due to increased expected long-term return rates on plan assets and increased discount rates.The effect of hypothetical changes to selected assumptions on our major U.S. retirement benefit plans would be as follows:​​​​​​​​​​​​​​​October 29, 2023​2024​​​​​Increase​Increase​​​Percentage​(Decrease)​(Decrease)​Assumptions Change PBO/APBO* Expense Pension​​​​​​​​​Discount rate** +/-.5​$(414)/456​$3/(3)​Expected return on assets​+/-.5​​​​ (63)/63​OPEB​​​​​​​​​Discount rate** +/-.5​ (120)/130​ (4)/5​Expected return on assets +/-.5​​​​ (10)/10​Health care cost trend rate** +/-1.0​ 231/(202)​ 39/(34)​*Projected benefit obligation (PBO) for pension plans and accumulated postretirement benefit obligation (APBO) for OPEB plans.**Pretax impact on service cost, interest cost, and amortization of gains or losses.​Allowance for Credit LossesThe allowance for credit losses is an estimate of the credit losses expected over the life of the receivable portfolio. The allowance is measured on a collective basis for receivables with similar risk characteristics. Receivables that do not share risk characteristics are evaluated on an individual basis. Risk characteristics include:●finance product category, Assumptions are set each year-end. These assumptions are not changed during the year unless there is a significant plan event. Actual results that differ from the assumptions affect future expenses and obligations. The key pension and OPEB amounts follow: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2023 2022 2021 Pension and OPEB net (benefit) cost ​ $ (13) ​ $ 176 ​ $ 197 ​ Long-term expected return on pension and OPEB plan assets (as a percent) ​ 6.2 ​ ​ 5.0 ​ ​ 5.9 ​ Long-term expected return on pension and OPEB plan assets ​ ​ 995 ​ ​ 836 ​ 876 ​ Actual return (loss) on pension and OPEB plan assets ​ ​ (395) ​ ​ (3,565) ​ ​ 3,616 ​ Pension assets, net of pension liabilities 2,076 ​ 2,690 ​ 2,665 ​ OPEB liabilities, net of OPEB assets 1,001 ​ 1,205 ​ 3,175 ​ ​ ​ The reduction in the 2023 pension and OPEB net (benefit) cost was due to increased expected long-term return rates on plan assets and increased discount rates. The effect of hypothetical changes to selected assumptions on our major U.S. retirement benefit plans would be as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​"
    },
    {
      "status": "MODIFIED",
      "current_title": "DEBT RATINGS",
      "prior_title": "Cash Returned to Shareholders",
      "similarity_score": 0.794,
      "confidence": "high",
      "key_changes": [
        "Reworded sentence: \"​ To access public debt capital markets, we rely on credit rating agencies to assign short-term and long-term credit ratings to our debt securities as an indicator of credit quality for fixed income investors.\"",
        "Reworded sentence: \"These payments will likely be replaced with new borrowings to finance the receivable and lease portfolio, which is expected to be lower in 2025.Purchase Obligations – As of October 27, 2024, our outstanding purchase obligations were $3.2 billion, with $2.8 billion payable within one year.\""
      ],
      "current_body": "​ To access public debt capital markets, we rely on credit rating agencies to assign short-term and long-term credit ratings to our debt securities as an indicator of credit quality for fixed income investors. A security rating is not a recommendation by the rating agency to buy, sell, or hold our securities. A credit rating agency may change or withdraw ratings based on its assessment of our current and future ability to meet interest and principal repayment obligations. Each agency’s rating should be evaluated independently of any other rating. Lower credit ratings generally result in higher borrowing costs, including costs of derivative transactions, reduced access to debt capital markets, and may adversely impact our liquidity.The senior long-term and short-term debt ratings and outlook currently assigned to unsecured company securities by the rating agencies engaged by us are as follows:​​​​​​​​​ Senior ​ ​​Long-Term​Short-Term​Outlook​​​​​​​​​​​​​​Fitch Ratings​A+​F1​StableMoody’s Investors Service, Inc. A1 Prime-1 StableStandard & Poor’s A A-1 Stable​​​​CONTRACTUAL OBLIGATIONS AND CASH REQUIREMENTS2025 and BeyondOur material cash requirements include the following:Borrowings – As of October 27, 2024, we had $17.6 billion of payments due on borrowings and securitization borrowings in the next year, along with interest payments of $2.5 billion. The securitization borrowing payments are based on the expected liquidation of the retail notes. See Notes 12 and 19 for additional borrowing details. These payments will likely be replaced with new borrowings to finance the receivable and lease portfolio, which is expected to be lower in 2025.Purchase Obligations – As of October 27, 2024, our outstanding purchase obligations were $3.2 billion, with $2.8 billion payable within one year. These purchase obligations are noncancelable.Other Cash Requirements – In addition to our contractual obligations, we have the following commitments:●capital expenditures of $1.6 billion are planned for 2025,●expected quarterly cash dividend throughout 2025 (subject to change at the discretion of our Board of Directors), and●total pension and other postretirement benefit (OPEB) contributions in 2025 are expected to be approximately $760 including a voluntary OPEB contribution of up to $520 (see Note 7).Share repurchases will be considered as a means of deploying excess cash to shareholders, once the previously mentioned requirements are met. ​​CRITICAL ACCOUNTING ESTIMATES​​The timely preparation of financial statements requires management to make estimates and assumptions. Those estimates affect reported amounts in these financial statements. Changes in those estimates and assumptions could have a significant effect. The following estimates are the most critical to our financial statements: ●sales incentives,●product warranties, result in higher borrowing costs, including costs of derivative transactions, reduced access to debt capital markets, and may adversely impact our liquidity. The senior long-term and short-term debt ratings and outlook currently assigned to unsecured company securities by the rating agencies engaged by us are as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Senior ​ ​ ​ Long-Term ​ Short-Term ​ Outlook ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Fitch Ratings ​ A+ ​ F1 ​ Stable Moody’s Investors Service, Inc. A1 Prime-1 Stable Standard & Poor’s A A-1 Stable ​ ​ ​ ​ ​ ​ ​ ​",
      "prior_body": "Cash returned to shareholders increased $3.7 billion in 2023. ​ ​ ​ ​ ​ ​ ​ DEBT RATINGS​To access debt markets, we rely on credit rating agencies to assign short-term and long-term credit ratings to our debt. These ratings are an indicator of credit quality for fixed income investors. A debt rating is not a recommendation by the rating agency to buy, sell, or hold. A credit rating agency may change or withdraw company ratings based on its assessment of our current and future ability to meet interest and principal repayment obligations. Lower credit ratings or negative changes to ratings outlooks generally result in higher borrowing costs, including costs of derivative transactions, and reduced access to debt capital markets, and may adversely impact our liquidity.The senior long-term and short-term debt ratings and outlook currently assigned to unsecured company securities by the rating agencies engaged by us are as follows:​​​​​​​​​ Senior ​ ​​Long-Term​Short-Term​Outlook​​​​​​​​​​​​​​Fitch Ratings​A+​F1​StableMoody’s Investors Service, Inc. A2 Prime-1 PositiveStandard & Poor’s A A-1 Stable​​​​CONTRACTUAL OBLIGATIONS AND CASH REQUIREMENTS2024 and BeyondOur material cash requirements include the following:Borrowings – As of October 29, 2023, we had $21.2 billion of payments due on borrowings and securitization borrowings in the next year, along with interest payments of $2.2 billion. The securitization borrowing payments are based on the expected liquidation of the retail notes. See Notes 12 and 19 for additional borrowing details. These payments will likely be replaced with new borrowings to finance the receivable and lease portfolio, which is expected to grow in 2024.Purchase Obligations – As of October 29, 2023, our outstanding purchase obligations were $4.5 billion, with $4.1 billion payable within one year. These purchase obligations are noncancelable.Other Cash Requirements – In addition to our contractual obligations, we have the following commitments:●capital expenditures of $1.9 billion are planned for 2024,●expected quarterly cash dividend throughout 2024 (subject to change at the discretion of our Board of Directors), and●total pension and OPEB contributions in 2024 are expected to be approximately $225.Share repurchases will be considered as a means of deploying excess cash to shareholders, once the previously mentioned requirements are met. ​​"
    },
    {
      "status": "MODIFIED",
      "current_title": "Unused Credit Lines",
      "prior_title": "Property and Equipment",
      "similarity_score": 0.791,
      "confidence": "high",
      "key_changes": [
        "Reworded sentence: \"33 33 33 Table of Contents​Financial Services Ratio of Interest-Bearing Debt to Stockholder’s Equity​​​CASH FLOWS2024, 2023, and 2022​​​​​​​​​​​​​​2024​2023​2022​Net cash provided by operating activities​$ 9,231​$ 8,589​$ 4,699​Net cash used for investing activities​​ (6,464)​​ (8,749)​​ (8,485)​Net cash provided by (used for) financing activities​​ (2,717)​​ 2,808​​ 826​Effect of exchange rate changes on cash, cash equivalents, and restricted cash​​ (37)​​ 31​​ (224)​Net increase (decrease) in cash, cash equivalents, and restricted cash​$ 13​$ 2,679​$ (3,184)​​Cash inflows from operating activities were $9.2 billion in 2024, driven by net income adjusted for non-cash provisions and lower inventories and receivables from a decline in sales.\"",
        "Reworded sentence: \"These payments will likely be replaced with new borrowings to finance the receivable and lease portfolio, which is expected to be lower in 2025.Purchase Obligations – As of October 27, 2024, our outstanding purchase obligations were $3.2 billion, with $2.8 billion payable within one year.\"",
        "Reworded sentence: \"These payments will likely be replaced with new borrowings to finance the receivable and lease portfolio, which is expected to be lower in 2025.Purchase Obligations – As of October 27, 2024, our outstanding purchase obligations were $3.2 billion, with $2.8 billion payable within one year.\"",
        "Reworded sentence: \"These payments will likely be replaced with new borrowings to finance the receivable and lease portfolio, which is expected to be lower in 2025.Purchase Obligations – As of October 27, 2024, our outstanding purchase obligations were $3.2 billion, with $2.8 billion payable within one year.\""
      ],
      "current_body": "33 33 33 Table of Contents​Financial Services Ratio of Interest-Bearing Debt to Stockholder’s Equity​​​CASH FLOWS2024, 2023, and 2022​​​​​​​​​​​​​​2024​2023​2022​Net cash provided by operating activities​$ 9,231​$ 8,589​$ 4,699​Net cash used for investing activities​​ (6,464)​​ (8,749)​​ (8,485)​Net cash provided by (used for) financing activities​​ (2,717)​​ 2,808​​ 826​Effect of exchange rate changes on cash, cash equivalents, and restricted cash​​ (37)​​ 31​​ (224)​Net increase (decrease) in cash, cash equivalents, and restricted cash​$ 13​$ 2,679​$ (3,184)​​Cash inflows from operating activities were $9.2 billion in 2024, driven by net income adjusted for non-cash provisions and lower inventories and receivables from a decline in sales. These items were partially offset by a decrease in vendor payables and a reduction in dealer sales incentive accruals. Cash outflows from investing activities were $6.5 billion in 2024 due to growth in the financing receivable and lease portfolios and capital expenditures.Cash outflows from financing activities were $2.7 billion in 2024, as repurchases of common stock and dividends paid were partially offset by higher borrowings.Cash Returned to ShareholdersCash returned to shareholders decreased $3.0 billion in 2024 as we managed cash flows through the declining business cycle in accordance with our use-of-cash priorities.​​DEBT RATINGS​To access public debt capital markets, we rely on credit rating agencies to assign short-term and long-term credit ratings to our debt securities as an indicator of credit quality for fixed income investors. A security rating is not a recommendation by the rating agency to buy, sell, or hold our securities. A credit rating agency may change or withdraw ratings based on its assessment of our current and future ability to meet interest and principal repayment obligations. Each agency’s rating should be evaluated independently of any other rating. Lower credit ratings generally result in higher borrowing costs, including costs of derivative transactions, reduced access to debt capital markets, and may adversely impact our liquidity.The senior long-term and short-term debt ratings and outlook currently assigned to unsecured company securities by the rating agencies engaged by us are as follows:​​​​​​​​​ Senior ​ ​​Long-Term​Short-Term​Outlook​​​​​​​​​​​​​​Fitch Ratings​A+​F1​StableMoody’s Investors Service, Inc. A1 Prime-1 StableStandard & Poor’s A A-1 Stable​​​​CONTRACTUAL OBLIGATIONS AND CASH REQUIREMENTS2025 and BeyondOur material cash requirements include the following:Borrowings – As of October 27, 2024, we had $17.6 billion of payments due on borrowings and securitization borrowings in the next year, along with interest payments of $2.5 billion. The securitization borrowing payments are based on the expected liquidation of the retail notes. See Notes 12 and 19 for additional borrowing details. These payments will likely be replaced with new borrowings to finance the receivable and lease portfolio, which is expected to be lower in 2025.Purchase Obligations – As of October 27, 2024, our outstanding purchase obligations were $3.2 billion, with $2.8 billion payable within one year. These purchase obligations are noncancelable.Other Cash Requirements – In addition to our contractual obligations, we have the following commitments:●capital expenditures of $1.6 billion are planned for 2025,●expected quarterly cash dividend throughout 2025 (subject to change at the discretion of our Board of Directors), and●total pension and other postretirement benefit (OPEB) contributions in 2025 are expected to be approximately $760 including a voluntary OPEB contribution of up to $520 (see Note 7).Share repurchases will be considered as a means of deploying excess cash to shareholders, once the previously mentioned requirements are met. ​​CRITICAL ACCOUNTING ESTIMATES​​The timely preparation of financial statements requires management to make estimates and assumptions. Those estimates affect reported amounts in these financial statements. Changes in those estimates and assumptions could have a significant effect. The following estimates are the most critical to our financial statements: ●sales incentives,●product warranties,34 Table of Contents​ Table of Contents Table of Contents ​ Financial Services Ratio of Interest-Bearing Debt to Stockholder’s Equity​​​CASH FLOWS2024, 2023, and 2022​​​​​​​​​​​​​​2024​2023​2022​Net cash provided by operating activities​$ 9,231​$ 8,589​$ 4,699​Net cash used for investing activities​​ (6,464)​​ (8,749)​​ (8,485)​Net cash provided by (used for) financing activities​​ (2,717)​​ 2,808​​ 826​Effect of exchange rate changes on cash, cash equivalents, and restricted cash​​ (37)​​ 31​​ (224)​Net increase (decrease) in cash, cash equivalents, and restricted cash​$ 13​$ 2,679​$ (3,184)​​Cash inflows from operating activities were $9.2 billion in 2024, driven by net income adjusted for non-cash provisions and lower inventories and receivables from a decline in sales. These items were partially offset by a decrease in vendor payables and a reduction in dealer sales incentive accruals. Cash outflows from investing activities were $6.5 billion in 2024 due to growth in the financing receivable and lease portfolios and capital expenditures.Cash outflows from financing activities were $2.7 billion in 2024, as repurchases of common stock and dividends paid were partially offset by higher borrowings.Cash Returned to ShareholdersCash returned to shareholders decreased $3.0 billion in 2024 as we managed cash flows through the declining business cycle in accordance with our use-of-cash priorities.​​DEBT RATINGS​To access public debt capital markets, we rely on credit rating agencies to assign short-term and long-term credit ratings to our debt securities as an indicator of credit quality for fixed income investors. A security rating is not a recommendation by the rating agency to buy, sell, or hold our securities. A credit rating agency may change or withdraw ratings based on its assessment of our current and future ability to meet interest and principal repayment obligations. Each agency’s rating should be evaluated independently of any other rating. Lower credit ratings generally result in higher borrowing costs, including costs of derivative transactions, reduced access to debt capital markets, and may adversely impact our liquidity.The senior long-term and short-term debt ratings and outlook currently assigned to unsecured company securities by the rating agencies engaged by us are as follows:​​​​​​​​​ Senior ​ ​​Long-Term​Short-Term​Outlook​​​​​​​​​​​​​​Fitch Ratings​A+​F1​StableMoody’s Investors Service, Inc. A1 Prime-1 StableStandard & Poor’s A A-1 Stable​​​​CONTRACTUAL OBLIGATIONS AND CASH REQUIREMENTS2025 and BeyondOur material cash requirements include the following:Borrowings – As of October 27, 2024, we had $17.6 billion of payments due on borrowings and securitization borrowings in the next year, along with interest payments of $2.5 billion. The securitization borrowing payments are based on the expected liquidation of the retail notes. See Notes 12 and 19 for additional borrowing details. These payments will likely be replaced with new borrowings to finance the receivable and lease portfolio, which is expected to be lower in 2025.Purchase Obligations – As of October 27, 2024, our outstanding purchase obligations were $3.2 billion, with $2.8 billion payable within one year. These purchase obligations are noncancelable.Other Cash Requirements – In addition to our contractual obligations, we have the following commitments:●capital expenditures of $1.6 billion are planned for 2025,●expected quarterly cash dividend throughout 2025 (subject to change at the discretion of our Board of Directors), and●total pension and other postretirement benefit (OPEB) contributions in 2025 are expected to be approximately $760 including a voluntary OPEB contribution of up to $520 (see Note 7).Share repurchases will be considered as a means of deploying excess cash to shareholders, once the previously mentioned requirements are met. ​​CRITICAL ACCOUNTING ESTIMATES​​The timely preparation of financial statements requires management to make estimates and assumptions. Those estimates affect reported amounts in these financial statements. Changes in those estimates and assumptions could have a significant effect. The following estimates are the most critical to our financial statements: ●sales incentives,●product warranties, Financial Services Ratio of Interest-Bearing Debt to Stockholder’s Equity​​​CASH FLOWS2024, 2023, and 2022​​​​​​​​​​​​​​2024​2023​2022​Net cash provided by operating activities​$ 9,231​$ 8,589​$ 4,699​Net cash used for investing activities​​ (6,464)​​ (8,749)​​ (8,485)​Net cash provided by (used for) financing activities​​ (2,717)​​ 2,808​​ 826​Effect of exchange rate changes on cash, cash equivalents, and restricted cash​​ (37)​​ 31​​ (224)​Net increase (decrease) in cash, cash equivalents, and restricted cash​$ 13​$ 2,679​$ (3,184)​​Cash inflows from operating activities were $9.2 billion in 2024, driven by net income adjusted for non-cash provisions and lower inventories and receivables from a decline in sales. These items were partially offset by a decrease in vendor payables and a reduction in dealer sales incentive accruals. Cash outflows from investing activities were $6.5 billion in 2024 due to growth in the financing receivable and lease portfolios and capital expenditures.Cash outflows from financing activities were $2.7 billion in 2024, as repurchases of common stock and dividends paid were partially offset by higher borrowings.Cash Returned to ShareholdersCash returned to shareholders decreased $3.0 billion in 2024 as we managed cash flows through the declining business cycle in accordance with our use-of-cash priorities.​​DEBT RATINGS​To access public debt capital markets, we rely on credit rating agencies to assign short-term and long-term credit ratings to our debt securities as an indicator of credit quality for fixed income investors. A security rating is not a recommendation by the rating agency to buy, sell, or hold our securities. A credit rating agency may change or withdraw ratings based on its assessment of our current and future ability to meet interest and principal repayment obligations. Each agency’s rating should be evaluated independently of any other rating. Lower credit ratings generally result in higher borrowing costs, including costs of derivative transactions, reduced access to debt capital markets, and may adversely impact our liquidity.The senior long-term and short-term debt ratings and outlook currently assigned to unsecured company securities by the rating agencies engaged by us are as follows:​​​​​​​​​ Senior ​ ​​Long-Term​Short-Term​Outlook​​​​​​​​​​​​​​Fitch Ratings​A+​F1​StableMoody’s Investors Service, Inc. A1 Prime-1 StableStandard & Poor’s A A-1 Stable​​​​CONTRACTUAL OBLIGATIONS AND CASH REQUIREMENTS2025 and BeyondOur material cash requirements include the following:Borrowings – As of October 27, 2024, we had $17.6 billion of payments due on borrowings and securitization borrowings in the next year, along with interest payments of $2.5 billion. The securitization borrowing payments are based on the expected liquidation of the retail notes. See Notes 12 and 19 for additional borrowing details. These payments will likely be replaced with new borrowings to finance the receivable and lease portfolio, which is expected to be lower in 2025.Purchase Obligations – As of October 27, 2024, our outstanding purchase obligations were $3.2 billion, with $2.8 billion payable within one year. These purchase obligations are noncancelable.Other Cash Requirements – In addition to our contractual obligations, we have the following commitments:●capital expenditures of $1.6 billion are planned for 2025,●expected quarterly cash dividend throughout 2025 (subject to change at the discretion of our Board of Directors), and●total pension and other postretirement benefit (OPEB) contributions in 2025 are expected to be approximately $760 including a voluntary OPEB contribution of up to $520 (see Note 7).Share repurchases will be considered as a means of deploying excess cash to shareholders, once the previously mentioned requirements are met. ​​CRITICAL ACCOUNTING ESTIMATES​​The timely preparation of financial statements requires management to make estimates and assumptions. Those estimates affect reported amounts in these financial statements. Changes in those estimates and assumptions could have a significant effect. The following estimates are the most critical to our financial statements: ●sales incentives,●product warranties, Financial Services Ratio of Interest-Bearing Debt to Stockholder’s Equity​​​CASH FLOWS2024, 2023, and 2022​​​​​​​​​​​​​​2024​2023​2022​Net cash provided by operating activities​$ 9,231​$ 8,589​$ 4,699​Net cash used for investing activities​​ (6,464)​​ (8,749)​​ (8,485)​Net cash provided by (used for) financing activities​​ (2,717)​​ 2,808​​ 826​Effect of exchange rate changes on cash, cash equivalents, and restricted cash​​ (37)​​ 31​​ (224)​Net increase (decrease) in cash, cash equivalents, and restricted cash​$ 13​$ 2,679​$ (3,184)​​Cash inflows from operating activities were $9.2 billion in 2024, driven by net income adjusted for non-cash provisions and lower inventories and receivables from a decline in sales. These items were partially offset by a decrease in vendor payables and a reduction in dealer sales incentive accruals. Cash outflows from investing activities were $6.5 billion in 2024 due to growth in the financing receivable and lease portfolios and capital expenditures.Cash outflows from financing activities were $2.7 billion in 2024, as repurchases of common stock and dividends paid were partially offset by higher borrowings.Cash Returned to ShareholdersCash returned to shareholders decreased $3.0 billion in 2024 as we managed cash flows through the declining business cycle in accordance with our use-of-cash priorities.​​DEBT RATINGS​To access public debt capital markets, we rely on credit rating agencies to assign short-term and long-term credit ratings to our debt securities as an indicator of credit quality for fixed income investors. A security rating is not a recommendation by the rating agency to buy, sell, or hold our securities. A credit rating agency may change or withdraw ratings based on its assessment of our current and future ability to meet interest and principal repayment obligations. Each agency’s rating should be evaluated independently of any other rating. Lower credit ratings generally result in higher borrowing costs, including costs of derivative transactions, reduced access to debt capital markets, and may adversely impact our liquidity.The senior long-term and short-term debt ratings and outlook currently assigned to unsecured company securities by the rating agencies engaged by us are as follows:​​​​​​​​​ Senior ​ ​​Long-Term​Short-Term​Outlook​​​​​​​​​​​​​​Fitch Ratings​A+​F1​StableMoody’s Investors Service, Inc. A1 Prime-1 StableStandard & Poor’s A A-1 Stable​​​​CONTRACTUAL OBLIGATIONS AND CASH REQUIREMENTS2025 and BeyondOur material cash requirements include the following:Borrowings – As of October 27, 2024, we had $17.6 billion of payments due on borrowings and securitization borrowings in the next year, along with interest payments of $2.5 billion. The securitization borrowing payments are based on the expected liquidation of the retail notes. See Notes 12 and 19 for additional borrowing details. These payments will likely be replaced with new borrowings to finance the receivable and lease portfolio, which is expected to be lower in 2025.Purchase Obligations – As of October 27, 2024, our outstanding purchase obligations were $3.2 billion, with $2.8 billion payable within one year. These purchase obligations are noncancelable.Other Cash Requirements – In addition to our contractual obligations, we have the following commitments:●capital expenditures of $1.6 billion are planned for 2025,●expected quarterly cash dividend throughout 2025 (subject to change at the discretion of our Board of Directors), and●total pension and other postretirement benefit (OPEB) contributions in 2025 are expected to be approximately $760 including a voluntary OPEB contribution of up to $520 (see Note 7).Share repurchases will be considered as a means of deploying excess cash to shareholders, once the previously mentioned requirements are met. ​​CRITICAL ACCOUNTING ESTIMATES​​The timely preparation of financial statements requires management to make estimates and assumptions. Those estimates affect reported amounts in these financial statements. Changes in those estimates and assumptions could have a significant effect. The following estimates are the most critical to our financial statements: ●sales incentives,●product warranties, Financial Services Ratio of Interest-Bearing Debt to Stockholder’s Equity​​​CASH FLOWS2024, 2023, and 2022​​​​​​​​​​​​​​2024​2023​2022​Net cash provided by operating activities​$ 9,231​$ 8,589​$ 4,699​Net cash used for investing activities​​ (6,464)​​ (8,749)​​ (8,485)​Net cash provided by (used for) financing activities​​ (2,717)​​ 2,808​​ 826​Effect of exchange rate changes on cash, cash equivalents, and restricted cash​​ (37)​​ 31​​ (224)​Net increase (decrease) in cash, cash equivalents, and restricted cash​$ 13​$ 2,679​$ (3,184)​​Cash inflows from operating activities were $9.2 billion in 2024, driven by net income adjusted for non-cash provisions and lower inventories and receivables from a decline in sales. These items were partially offset by a decrease in vendor payables and a reduction in dealer sales incentive accruals. Cash outflows from investing activities were $6.5 billion in 2024 due to growth in the financing receivable and lease portfolios and capital expenditures.Cash outflows from financing activities were $2.7 billion in 2024, as repurchases of common stock and dividends paid were partially offset by higher borrowings.Cash Returned to ShareholdersCash returned to shareholders decreased $3.0 billion in 2024 as we managed cash flows through the declining business cycle in accordance with our use-of-cash priorities.​​DEBT RATINGS​To access public debt capital markets, we rely on credit rating agencies to assign short-term and long-term credit ratings to our debt securities as an indicator of credit quality for fixed income investors. A security rating is not a recommendation by the rating agency to buy, sell, or hold our securities. A credit rating agency may change or withdraw ratings based on its assessment of our current and future ability to meet interest and principal repayment obligations. Each agency’s rating should be evaluated independently of any other rating. Lower credit ratings generally",
      "prior_body": "33 33 33 Table of Contents​Borrowings●Borrowings increased corresponding with the level of the financing receivable and lease portfolios. Unused Credit Lines●The decrease in unused credit lines was due to an increase in commercial paper outstanding to fund growth in the receivable portfolios.Financial Services Ratio of Interest-Bearing Debt to Stockholder’s Equity​​​CASH FLOWS2023, 2022, and 2021​​​​​​​​​​​​​​2023​2022​2021​Net cash provided by operating activities​$ 8,589​$ 4,699​$ 7,726​Net cash used for investing activities​​ (8,749)​​ (8,485)​​ (5,750)​Net cash provided by (used for) financing activities​​ 2,808​​ 826​​ (1,078)​Effect of exchange rate changes on cash, cash equivalents, and restricted cash​​ 31​​ (224)​​ 55​Net increase (decrease) in cash, cash equivalents, and restricted cash​$ 2,679​$ (3,184)​$ 953​​Operating cash flows in 2023 were higher due to an increase in net income and lower inventory offset by higher receivables related to sales, while operating cash flows in 2022 were impacted by a $1 billion other postretirement benefit (OPEB) contribution. Cash outflows from investing activities were $8.7 billion in 2023 due to growth in the financing receivable and lease portfolios, and purchases of property and equipment.Cash inflows from financing activities were $2.8 billion in 2023, as higher borrowings were partially offset by repurchases of common stock and dividends paid.Cash Returned to ShareholdersCash returned to shareholders increased $3.7 billion in 2023.​​​DEBT RATINGS​To access debt markets, we rely on credit rating agencies to assign short-term and long-term credit ratings to our debt. These ratings are an indicator of credit quality for fixed income investors. A debt rating is not a recommendation by the rating agency to buy, sell, or hold. A credit rating agency may change or withdraw company ratings based on its assessment of our current and future ability to meet interest and principal repayment obligations. Lower credit ratings or negative changes to ratings outlooks generally result in higher borrowing costs, including costs of derivative transactions, and reduced access to debt capital markets, and may adversely impact our liquidity.The senior long-term and short-term debt ratings and outlook currently assigned to unsecured company securities by the rating agencies engaged by us are as follows:​​​​​​​​​ Senior ​ ​​Long-Term​Short-Term​Outlook​​​​​​​​​​​​​​Fitch Ratings​A+​F1​StableMoody’s Investors Service, Inc. A2 Prime-1 PositiveStandard & Poor’s A A-1 Stable​​​​CONTRACTUAL OBLIGATIONS AND CASH REQUIREMENTS2024 and BeyondOur material cash requirements include the following:Borrowings – As of October 29, 2023, we had $21.2 billion of payments due on borrowings and securitization borrowings in the next year, along with interest payments of $2.2 billion. The securitization borrowing payments are based on the expected liquidation of the retail notes. See Notes 12 and 19 for additional borrowing details. These payments will likely be replaced with new borrowings to finance the receivable and lease portfolio, which is expected to grow in 2024.Purchase Obligations – As of October 29, 2023, our outstanding purchase obligations were $4.5 billion, with $4.1 billion payable within one year. These purchase obligations are noncancelable.Other Cash Requirements – In addition to our contractual obligations, we have the following commitments:●capital expenditures of $1.9 billion are planned for 2024,●expected quarterly cash dividend throughout 2024 (subject to change at the discretion of our Board of Directors), and●total pension and OPEB contributions in 2024 are expected to be approximately $225.Share repurchases will be considered as a means of deploying excess cash to shareholders, once the previously mentioned requirements are met. ​​34 Table of Contents​ Table of Contents Table of Contents ​ Borrowings●Borrowings increased corresponding with the level of the financing receivable and lease portfolios. Unused Credit Lines●The decrease in unused credit lines was due to an increase in commercial paper outstanding to fund growth in the receivable portfolios.Financial Services Ratio of Interest-Bearing Debt to Stockholder’s Equity​​​CASH FLOWS2023, 2022, and 2021​​​​​​​​​​​​​​2023​2022​2021​Net cash provided by operating activities​$ 8,589​$ 4,699​$ 7,726​Net cash used for investing activities​​ (8,749)​​ (8,485)​​ (5,750)​Net cash provided by (used for) financing activities​​ 2,808​​ 826​​ (1,078)​Effect of exchange rate changes on cash, cash equivalents, and restricted cash​​ 31​​ (224)​​ 55​Net increase (decrease) in cash, cash equivalents, and restricted cash​$ 2,679​$ (3,184)​$ 953​​Operating cash flows in 2023 were higher due to an increase in net income and lower inventory offset by higher receivables related to sales, while operating cash flows in 2022 were impacted by a $1 billion other postretirement benefit (OPEB) contribution. Cash outflows from investing activities were $8.7 billion in 2023 due to growth in the financing receivable and lease portfolios, and purchases of property and equipment.Cash inflows from financing activities were $2.8 billion in 2023, as higher borrowings were partially offset by repurchases of common stock and dividends paid.Cash Returned to ShareholdersCash returned to shareholders increased $3.7 billion in 2023.​​​DEBT RATINGS​To access debt markets, we rely on credit rating agencies to assign short-term and long-term credit ratings to our debt. These ratings are an indicator of credit quality for fixed income investors. A debt rating is not a recommendation by the rating agency to buy, sell, or hold. A credit rating agency may change or withdraw company ratings based on its assessment of our current and future ability to meet interest and principal repayment obligations. Lower credit ratings or negative changes to ratings outlooks generally result in higher borrowing costs, including costs of derivative transactions, and reduced access to debt capital markets, and may adversely impact our liquidity.The senior long-term and short-term debt ratings and outlook currently assigned to unsecured company securities by the rating agencies engaged by us are as follows:​​​​​​​​​ Senior ​ ​​Long-Term​Short-Term​Outlook​​​​​​​​​​​​​​Fitch Ratings​A+​F1​StableMoody’s Investors Service, Inc. A2 Prime-1 PositiveStandard & Poor’s A A-1 Stable​​​​CONTRACTUAL OBLIGATIONS AND CASH REQUIREMENTS2024 and BeyondOur material cash requirements include the following:Borrowings – As of October 29, 2023, we had $21.2 billion of payments due on borrowings and securitization borrowings in the next year, along with interest payments of $2.2 billion. The securitization borrowing payments are based on the expected liquidation of the retail notes. See Notes 12 and 19 for additional borrowing details. These payments will likely be replaced with new borrowings to finance the receivable and lease portfolio, which is expected to grow in 2024.Purchase Obligations – As of October 29, 2023, our outstanding purchase obligations were $4.5 billion, with $4.1 billion payable within one year. These purchase obligations are noncancelable.Other Cash Requirements – In addition to our contractual obligations, we have the following commitments:●capital expenditures of $1.9 billion are planned for 2024,●expected quarterly cash dividend throughout 2024 (subject to change at the discretion of our Board of Directors), and●total pension and OPEB contributions in 2024 are expected to be approximately $225.Share repurchases will be considered as a means of deploying excess cash to shareholders, once the previously mentioned requirements are met. ​​ Borrowings●Borrowings increased corresponding with the level of the financing receivable and lease portfolios. Unused Credit Lines●The decrease in unused credit lines was due to an increase in commercial paper outstanding to fund growth in the receivable portfolios.Financial Services Ratio of Interest-Bearing Debt to Stockholder’s Equity​​​CASH FLOWS2023, 2022, and 2021​​​​​​​​​​​​​​2023​2022​2021​Net cash provided by operating activities​$ 8,589​$ 4,699​$ 7,726​Net cash used for investing activities​​ (8,749)​​ (8,485)​​ (5,750)​Net cash provided by (used for) financing activities​​ 2,808​​ 826​​ (1,078)​Effect of exchange rate changes on cash, cash equivalents, and restricted cash​​ 31​​ (224)​​ 55​Net increase (decrease) in cash, cash equivalents, and restricted cash​$ 2,679​$ (3,184)​$ 953​​Operating cash flows in 2023 were higher due to an increase in net income and lower inventory offset by higher receivables related to sales, while operating cash flows in 2022 were impacted by a $1 billion other postretirement benefit (OPEB) contribution. Cash outflows from investing activities were $8.7 billion in 2023 due to growth in the financing receivable and lease portfolios, and purchases of property and equipment.Cash inflows from financing activities were $2.8 billion in 2023, as higher borrowings were partially offset by repurchases of common stock and dividends paid.Cash Returned to ShareholdersCash returned to shareholders increased $3.7 billion in 2023.​​​DEBT RATINGS​To access debt markets, we rely on credit rating agencies to assign short-term and long-term credit ratings to our debt. These ratings are an indicator of credit quality for fixed income investors. A debt rating is not a recommendation by the rating agency to buy, sell, or hold. A credit rating agency may change or withdraw company ratings based on its assessment of our current and future ability to meet interest and principal repayment obligations. Lower credit ratings or negative changes to ratings outlooks generally result in higher borrowing costs, including costs of derivative transactions, and reduced access to debt capital markets, and may adversely impact our liquidity.The senior long-term and short-term debt ratings and outlook currently assigned to unsecured company securities by the rating agencies engaged by us are as follows:​​​​​​​​​ Senior ​ ​​Long-Term​Short-Term​Outlook​​​​​​​​​​​​​​Fitch Ratings​A+​F1​StableMoody’s Investors Service, Inc. A2 Prime-1 PositiveStandard & Poor’s A A-1 Stable​​​​CONTRACTUAL OBLIGATIONS AND CASH REQUIREMENTS2024 and BeyondOur material cash requirements include the following:Borrowings – As of October 29, 2023, we had $21.2 billion of payments due on borrowings and securitization borrowings in the next year, along with interest payments of $2.2 billion. The securitization borrowing payments are based on the expected liquidation of the retail notes. See Notes 12 and 19 for additional borrowing details. These payments will likely be replaced with new borrowings to finance the receivable and lease portfolio, which is expected to grow in 2024.Purchase Obligations – As of October 29, 2023, our outstanding purchase obligations were $4.5 billion, with $4.1 billion payable within one year. These purchase obligations are noncancelable.Other Cash Requirements – In addition to our contractual obligations, we have the following commitments:●capital expenditures of $1.9 billion are planned for 2024,●expected quarterly cash dividend throughout 2024 (subject to change at the discretion of our Board of Directors), and●total pension and OPEB contributions in 2024 are expected to be approximately $225.Share repurchases will be considered as a means of deploying excess cash to shareholders, once the previously mentioned requirements are met. ​​ Borrowings●Borrowings increased corresponding with the level of the financing receivable and lease portfolios. Unused Credit Lines●The decrease in unused credit lines was due to an increase in commercial paper outstanding to fund growth in the receivable portfolios.Financial Services Ratio of Interest-Bearing Debt to Stockholder’s Equity​​​CASH FLOWS2023, 2022, and 2021​​​​​​​​​​​​​​2023​2022​2021​Net cash provided by operating activities​$ 8,589​$ 4,699​$ 7,726​Net cash used for investing activities​​ (8,749)​​ (8,485)​​ (5,750)​Net cash provided by (used for) financing activities​​ 2,808​​ 826​​ (1,078)​Effect of exchange rate changes on cash, cash equivalents, and restricted cash​​ 31​​ (224)​​ 55​Net increase (decrease) in cash, cash equivalents, and restricted cash​$ 2,679​$ (3,184)​$ 953​​Operating cash flows in 2023 were higher due to an increase in net income and lower inventory offset by higher receivables related to sales, while operating cash flows in 2022 were impacted by a $1 billion other postretirement benefit (OPEB) contribution. Cash outflows from investing activities were $8.7 billion in 2023 due to growth in the financing receivable and lease portfolios, and purchases of property and equipment.Cash inflows from financing activities were $2.8 billion in 2023, as higher borrowings were partially offset by repurchases of common stock and dividends paid.Cash Returned to ShareholdersCash returned to shareholders increased $3.7 billion in 2023.​​​ Borrowings"
    },
    {
      "status": "MODIFIED",
      "current_title": "Security breaches and other disruptions to our information technology infrastructure could interfere with our operations and could compromise our information as well as information of our employees, customers, suppliers, and/or dealers, exposing us to liability that could cause our business and reputation to suffer.",
      "prior_title": "Security breaches and other disruptions to our information technology infrastructure could interfere with our operations and could compromise our information as well as information of our employees, customers, suppliers, and/or dealers, exposing us to liability that could cause our business and reputation to suffer.",
      "similarity_score": 0.79,
      "confidence": "high",
      "key_changes": [
        "Reworded sentence: \"We use information technology systems to record, process, and summarize financial information and results of operations for internal reporting purposes and to comply with regulatory financial reporting, legal, and tax requirements.\"",
        "Reworded sentence: \"Any such access, acquisition, disclosure, alteration, misuse, or other loss of information could result in legal claims or proceedings, government investigations, liability or regulatory penalties, disruption or shut down of our operations, disruption or shut down of our dealers’ and customers’ operations, and damage to our reputation, which could adversely affect our business, results of operations, and financial condition.\"",
        "Reworded sentence: \"Any unauthorized access to or control of our products or systems, any loss of data, or any perception that products, systems, or data are vulnerable could result in loss of sales based on customers’ loss of confidence in our products, legal claims or proceedings against us, government investigation, liability, or regulatory penalties, which could adversely affect our business, results of operations, and financial condition.Technical or regulatory limitations may impact our ability to effectively implement automation, autonomy, and artificial intelligence solutions.\"",
        "Reworded sentence: \"Any such access, acquisition, disclosure, alteration, misuse, or other loss of information could result in legal claims or proceedings, government investigations, liability or regulatory penalties, disruption or shut down of our operations, disruption or shut down of our dealers’ and customers’ operations, and damage to our reputation, which could adversely affect our business, results of operations, and financial condition.\"",
        "Reworded sentence: \"Any unauthorized access to or control of our products or systems, any loss of data, or any perception that products, systems, or data are vulnerable could result in loss of sales based on customers’ loss of confidence in our products, legal claims or proceedings against us, government investigation, liability, or regulatory penalties, which could adversely affect our business, results of operations, and financial condition.Technical or regulatory limitations may impact our ability to effectively implement automation, autonomy, and artificial intelligence solutions.\""
      ],
      "current_body": "In the ordinary course of business, we rely upon information technology networks and systems, some of which are managed by third parties, to process, transmit, and store electronic information and to manage or support a variety of business processes and activities, including supply chain, manufacturing, distribution, invoicing, and collection of payments from dealers and other purchasers of our equipment and from customers of the financial services segment. We use information technology systems to record, process, and summarize financial information and results of operations for internal reporting purposes and to comply with regulatory financial reporting, legal, and tax requirements. Additionally, we collect and store confidential data, including intellectual property, proprietary business information, and the proprietary business information of our customers, suppliers, and dealers, as well as personal data of our customers and employees in 19 19 19 Table of Contentsdata centers, which are often owned by third parties and maintained on their information technology networks. The secure operation of these information technology networks, and the processing and maintenance of this information, are critical to our business operations and strategy.Despite security measures, including exercises, tests, incident simulations, and system assessments designed to discover and address potential vulnerabilities, our information technology networks and infrastructure have been and may be vulnerable to intrusion, damage, disruptions, or shutdowns due to attacks by cyber criminals, employees’, suppliers’, or dealers’ error or malfeasance, supply chain compromise, disruptions during the process of upgrading or replacing computer software or hardware, power outages, computer viruses, ransomware or other malware, telecommunication or utility failures, terrorist acts, natural disasters, or other events. Although we have not suffered any significant cyber incidents that resulted in material business impact, we have from time to time been, and expect to continue to be, the target of malicious cyber threat actors. The occurrence of any significant event could compromise our networks, and the information stored there could be accessed, obtained, publicly disclosed, lost, altered, misused, or stolen. Any such access, acquisition, disclosure, alteration, misuse, or other loss of information could result in legal claims or proceedings, government investigations, liability or regulatory penalties, disruption or shut down of our operations, disruption or shut down of our dealers’ and customers’ operations, and damage to our reputation, which could adversely affect our business, results of operations, and financial condition. Furthermore, as security threats continue to evolve and increase in frequency and sophistication, we may need to invest additional resources to enhance information security.Any unauthorized control or manipulation of our products’ systems could result in loss of confidence in us and our products. Some of our products include connectivity hardware and software typically used for remote system updates. While we have implemented security measures intended to protect against unauthorized remote access to these products, malicious threat actors have attempted, and may attempt in the future, to gain unauthorized access to such products in order to gain control of the products, change the products’ functionality, user interface, or performance characteristics, interfere with the products’ operations, or gain access to data stored in or generated by the products or to systems to which they connect. In addition, reports of unauthorized access to our products, systems, and data, regardless of their reliability, may result in the perception that the products, systems, or data are vulnerable to malicious or unauthorized modifications. Any unauthorized access to or control of our products or systems, any loss of data, or any perception that products, systems, or data are vulnerable could result in loss of sales based on customers’ loss of confidence in our products, legal claims or proceedings against us, government investigation, liability, or regulatory penalties, which could adversely affect our business, results of operations, and financial condition.Technical or regulatory limitations may impact our ability to effectively implement automation, autonomy, and artificial intelligence solutions. We utilize automation and machine learning in some of our products, including consumer-facing features, and leverage generative artificial intelligence in our business processes. For example, the automation software, digital tools, applications, and analytics utilized in John Deere’s products are designed to improve customer decision-making, such as the automation package on the S7 Series Combines and the computer vision and machine learning technology that enables our See & Spray™ targeted spraying solution. While we believe the use of these emerging technologies can present significant benefits, it also creates risks and challenges as the use of artificial intelligence is a novel business model without an established track record. Data sourcing, technology, integration and process issues, programmed bias in decision-making algorithms, concerns over intellectual property, security concerns, and the protection of privacy could impair the adoption and acceptance of autonomous machine solutions. Furthermore, any confidential information that we input into a third-party generative artificial intelligence platform could be leaked or disclosed to others, including sensitive information that is used to train the third parties’ model. Additionally, if the data used to train the solution or the content, analyses, or recommendations that the machine learning and intelligence applications assist in producing is deemed to be inaccurate, incomplete, biased or questionable, our brand and reputation may be harmed and we may be subject to legal liability claims. The development of our own artificial intelligence applications may require additional investment in the development of proprietary systems, models, or datasets, which are often complex, may be costly and could impact the results of our operations. Developing, testing, and deploying these technologies may also increase the cost profile of our products due to the level of investment needed to enable such initiatives. Disruption of our technology systems or unexpected network interruption could disrupt our business.We are increasingly dependent on technology systems to operate on a day-to-day basis. The failure of our technology systems to operate properly or effectively, problems with transitioning to upgraded or replacement systems, or difficulty in integrating new systems, could adversely affect our business. These disruptions could result in delays, which could reduce demand for our products and cause our sales to decline. In addition, if changes in technology cause our information systems to become obsolete, or if our information systems are inadequate to handle our growth and new technologies, we could lose customers. Any significant disruption 20 Table of Contents Table of Contents Table of Contents data centers, which are often owned by third parties and maintained on their information technology networks. The secure operation of these information technology networks, and the processing and maintenance of this information, are critical to our business operations and strategy.Despite security measures, including exercises, tests, incident simulations, and system assessments designed to discover and address potential vulnerabilities, our information technology networks and infrastructure have been and may be vulnerable to intrusion, damage, disruptions, or shutdowns due to attacks by cyber criminals, employees’, suppliers’, or dealers’ error or malfeasance, supply chain compromise, disruptions during the process of upgrading or replacing computer software or hardware, power outages, computer viruses, ransomware or other malware, telecommunication or utility failures, terrorist acts, natural disasters, or other events. Although we have not suffered any significant cyber incidents that resulted in material business impact, we have from time to time been, and expect to continue to be, the target of malicious cyber threat actors. The occurrence of any significant event could compromise our networks, and the information stored there could be accessed, obtained, publicly disclosed, lost, altered, misused, or stolen. Any such access, acquisition, disclosure, alteration, misuse, or other loss of information could result in legal claims or proceedings, government investigations, liability or regulatory penalties, disruption or shut down of our operations, disruption or shut down of our dealers’ and customers’ operations, and damage to our reputation, which could adversely affect our business, results of operations, and financial condition. Furthermore, as security threats continue to evolve and increase in frequency and sophistication, we may need to invest additional resources to enhance information security.Any unauthorized control or manipulation of our products’ systems could result in loss of confidence in us and our products. Some of our products include connectivity hardware and software typically used for remote system updates. While we have implemented security measures intended to protect against unauthorized remote access to these products, malicious threat actors have attempted, and may attempt in the future, to gain unauthorized access to such products in order to gain control of the products, change the products’ functionality, user interface, or performance characteristics, interfere with the products’ operations, or gain access to data stored in or generated by the products or to systems to which they connect. In addition, reports of unauthorized access to our products, systems, and data, regardless of their reliability, may result in the perception that the products, systems, or data are vulnerable to malicious or unauthorized modifications. Any unauthorized access to or control of our products or systems, any loss of data, or any perception that products, systems, or data are vulnerable could result in loss of sales based on customers’ loss of confidence in our products, legal claims or proceedings against us, government investigation, liability, or regulatory penalties, which could adversely affect our business, results of operations, and financial condition.Technical or regulatory limitations may impact our ability to effectively implement automation, autonomy, and artificial intelligence solutions. We utilize automation and machine learning in some of our products, including consumer-facing features, and leverage generative artificial intelligence in our business processes. For example, the automation software, digital tools, applications, and analytics utilized in John Deere’s products are designed to improve customer decision-making, such as the automation package on the S7 Series Combines and the computer vision and machine learning technology that enables our See & Spray™ targeted spraying solution. While we believe the use of these emerging technologies can present significant benefits, it also creates risks and challenges as the use of artificial intelligence is a novel business model without an established track record. Data sourcing, technology, integration and process issues, programmed bias in decision-making algorithms, concerns over intellectual property, security concerns, and the protection of privacy could impair the adoption and acceptance of autonomous machine solutions. Furthermore, any confidential information that we input into a third-party generative artificial intelligence platform could be leaked or disclosed to others, including sensitive information that is used to train the third parties’ model. Additionally, if the data used to train the solution or the content, analyses, or recommendations that the machine learning and intelligence applications assist in producing is deemed to be inaccurate, incomplete, biased or questionable, our brand and reputation may be harmed and we may be subject to legal liability claims. The development of our own artificial intelligence applications may require additional investment in the development of proprietary systems, models, or datasets, which are often complex, may be costly and could impact the results of our operations. Developing, testing, and deploying these technologies may also increase the cost profile of our products due to the level of investment needed to enable such initiatives. Disruption of our technology systems or unexpected network interruption could disrupt our business.We are increasingly dependent on technology systems to operate on a day-to-day basis. The failure of our technology systems to operate properly or effectively, problems with transitioning to upgraded or replacement systems, or difficulty in integrating new systems, could adversely affect our business. These disruptions could result in delays, which could reduce demand for our products and cause our sales to decline. In addition, if changes in technology cause our information systems to become obsolete, or if our information systems are inadequate to handle our growth and new technologies, we could lose customers. Any significant disruption data centers, which are often owned by third parties and maintained on their information technology networks. The secure operation of these information technology networks, and the processing and maintenance of this information, are critical to our business operations and strategy.Despite security measures, including exercises, tests, incident simulations, and system assessments designed to discover and address potential vulnerabilities, our information technology networks and infrastructure have been and may be vulnerable to intrusion, damage, disruptions, or shutdowns due to attacks by cyber criminals, employees’, suppliers’, or dealers’ error or malfeasance, supply chain compromise, disruptions during the process of upgrading or replacing computer software or hardware, power outages, computer viruses, ransomware or other malware, telecommunication or utility failures, terrorist acts, natural disasters, or other events. Although we have not suffered any significant cyber incidents that resulted in material business impact, we have from time to time been, and expect to continue to be, the target of malicious cyber threat actors. The occurrence of any significant event could compromise our networks, and the information stored there could be accessed, obtained, publicly disclosed, lost, altered, misused, or stolen. Any such access, acquisition, disclosure, alteration, misuse, or other loss of information could result in legal claims or proceedings, government investigations, liability or regulatory penalties, disruption or shut down of our operations, disruption or shut down of our dealers’ and customers’ operations, and damage to our reputation, which could adversely affect our business, results of operations, and financial condition. Furthermore, as security threats continue to evolve and increase in frequency and sophistication, we may need to invest additional resources to enhance information security.Any unauthorized control or manipulation of our products’ systems could result in loss of confidence in us and our products. Some of our products include connectivity hardware and software typically used for remote system updates. While we have implemented security measures intended to protect against unauthorized remote access to these products, malicious threat actors have attempted, and may attempt in the future, to gain unauthorized access to such products in order to gain control of the products, change the products’ functionality, user interface, or performance characteristics, interfere with the products’ operations, or gain access to data stored in or generated by the products or to systems to which they connect. In addition, reports of unauthorized access to our products, systems, and data, regardless of their reliability, may result in the perception that the products, systems, or data are vulnerable to malicious or unauthorized modifications. Any unauthorized access to or control of our products or systems, any loss of data, or any perception that products, systems, or data are vulnerable could result in loss of sales based on customers’ loss of confidence in our products, legal claims or proceedings against us, government investigation, liability, or regulatory penalties, which could adversely affect our business, results of operations, and financial condition.Technical or regulatory limitations may impact our ability to effectively implement automation, autonomy, and artificial intelligence solutions. We utilize automation and machine learning in some of our products, including consumer-facing features, and leverage generative artificial intelligence in our business processes. For example, the automation software, digital tools, applications, and analytics utilized in John Deere’s products are designed to improve customer decision-making, such as the automation package on the S7 Series Combines and the computer vision and machine learning technology that enables our See & Spray™ targeted spraying solution. While we believe the use of these emerging technologies can present significant benefits, it also creates risks and challenges as the use of artificial intelligence is a novel business model without an established track record. Data sourcing, technology, integration and process issues, programmed bias in decision-making algorithms, concerns over intellectual property, security concerns, and the protection of privacy could impair the adoption and acceptance of autonomous machine solutions. Furthermore, any confidential information that we input into a third-party generative artificial intelligence platform could be leaked or disclosed to others, including sensitive information that is used to train the third parties’ model. Additionally, if the data used to train the solution or the content, analyses, or recommendations that the machine learning and intelligence applications assist in producing is deemed to be inaccurate, incomplete, biased or questionable, our brand and reputation may be harmed and we may be subject to legal liability claims. The development of our own artificial intelligence applications may require additional investment in the development of proprietary systems, models, or datasets, which are often complex, may be costly and could impact the results of our operations. Developing, testing, and deploying these technologies may also increase the cost profile of our products due to the level of investment needed to enable such initiatives. Disruption of our technology systems or unexpected network interruption could disrupt our business.We are increasingly dependent on technology systems to operate on a day-to-day basis. The failure of our technology systems to operate properly or effectively, problems with transitioning to upgraded or replacement systems, or difficulty in integrating new systems, could adversely affect our business. These disruptions could result in delays, which could reduce demand for our products and cause our sales to decline. In addition, if changes in technology cause our information systems to become obsolete, or if our information systems are inadequate to handle our growth and new technologies, we could lose customers. Any significant disruption data centers, which are often owned by third parties and maintained on their information technology networks. The secure operation of these information technology networks, and the processing and maintenance of this information, are critical to our business operations and strategy. Despite security measures, including exercises, tests, incident simulations, and system assessments designed to discover and address potential vulnerabilities, our information technology networks and infrastructure have been and may be vulnerable to intrusion, damage, disruptions, or shutdowns due to attacks by cyber criminals, employees’, suppliers’, or dealers’ error or malfeasance, supply chain compromise, disruptions during the process of upgrading or replacing computer software or hardware, power outages, computer viruses, ransomware or other malware, telecommunication or utility failures, terrorist acts, natural disasters, or other events. Although we have not suffered any significant cyber incidents that resulted in material business impact, we have from time to time been, and expect to continue to be, the target of malicious cyber threat actors. The occurrence of any significant event could compromise our networks, and the information stored there could be accessed, obtained, publicly disclosed, lost, altered, misused, or stolen. Any such access, acquisition, disclosure, alteration, misuse, or other loss of information could result in legal claims or proceedings, government investigations, liability or regulatory penalties, disruption or shut down of our operations, disruption or shut down of our dealers’ and customers’ operations, and damage to our reputation, which could adversely affect our business, results of operations, and financial condition. Furthermore, as security threats continue to evolve and increase in frequency and sophistication, we may need to invest additional resources to enhance information security.",
      "prior_body": "In the ordinary course of business, we rely upon information technology networks and systems, some of which are managed by third parties, to process, transmit, and store electronic information and to manage or support a variety of business processes and activities, including supply chain, manufacturing, distribution, invoicing, and collection of payments from dealers and other purchasers of our equipment and from customers of the financial services segment. We use information technology systems to record, process, and 21 21 21 Table of Contentssummarize financial information and results of operations for internal reporting purposes and to comply with regulatory financial reporting, legal, and tax requirements. Additionally, we collect and store sensitive data, including intellectual property, proprietary business information, and the proprietary business information of our customers, suppliers, and dealers, as well as personally identifiable information of our customers and employees in data centers which are often owned by third parties and on information technology networks. The secure operation of these information technology networks and the processing and maintenance of this information is critical to our business operations and strategy.Despite security measures, including a vulnerability disclosure program, and business continuity plans, our information technology networks and infrastructure have been and may be vulnerable to intrusion, damage, disruptions, or shutdowns due to attacks by cyber criminals, employees’, suppliers’, or dealers’ error or malfeasance, supply chain compromise, disruptions during the process of upgrading or replacing computer software or hardware, power outages, computer viruses, ransomware or other malware, telecommunication or utility failures, terrorist acts, natural disasters, or other events. Although we have not suffered any significant cyber incidents that resulted in material business impact, we have from time to time been the target of malicious cyber threat actors. The occurrence of any significant event could compromise our networks, and the information stored there could be accessed, obtained, publicly disclosed, lost, altered, misused, or stolen. Any such access, disclosure, alteration, misuse, or other loss of information could result in legal claims or proceedings, government investigations, liability or regulatory penalties, disruption or shut down of our operations, and damage to our reputation, which could adversely affect our business, results of operations, and financial condition. Furthermore, as security threats continue to evolve and increase in frequency and sophistication, we may need to invest additional resources to protect information security.Any unauthorized control or manipulation of our products’ systems could result in loss of confidence in us and our products. Some of our products include connectivity hardware and software typically used for remote system updates. While we have implemented security measures intended to protect against unauthorized remote access to these products, malicious threat actors have attempted, and may attempt in the future, to gain unauthorized access to such products in order to gain control of the products, change the products’ functionality, user interface, or performance characteristics, interfere with the products’ operations, or gain access to data stored in or generated by the products or to systems to which they connect. In addition, reports of unauthorized access to our products, systems, and data, regardless of their reliability, may result in the perception that the products, systems, or data are vulnerable to malicious or unauthorized modifications. Any unauthorized access to or control of our products or systems, any loss of data, or any perception that products, systems, or data are vulnerable could result in legal claims or proceedings against us, government investigations, liability, or regulatory penalties, which could adversely affect our business, results of operations, and financial condition. Our business could be adversely affected by the infringement or loss of intellectual property rights.We protect our intellectual property with a combination of patents, trademarks, copyrights, trade secret laws, and legal agreements. We heavily rely on certain trademarks to protect our identity and customer recognition of our products and services, including, but not limited to, the “John Deere” mark, the leaping deer logo, the “Nothing Runs Like a Deere” slogan, and the green and yellow color combination. These trademarks, as well as the many patents that protect innovations used in our products, are integral to our business, and their loss could have a material adverse effect on us. Additionally, third parties may initiate legal proceedings to challenge the validity of our intellectual property or allege that we infringe on their intellectual property. We may incur substantial costs if third parties initiate such legal proceedings, or if we initiate legal proceedings to protect or enforce our intellectual property. If the outcome of any such legal proceedings is unfavorable to us, our business could be adversely affected. LEGAL AND COMPLIANCE RISKS Our global operations are subject to complex and changing laws and regulations, the violation of which could expose us to potential liabilities, increased costs, and other adverse effects.We are subject to numerous international, federal, state, and local laws and regulations, many of which are complex, frequently changing, and subject to varying interpretations. These laws and regulations cover a variety of subjects, including advertising, anti-money laundering, antitrust, consumer finance, environmental, climate-related, health and safety, foreign exchange controls and cash repatriation restrictions, foreign ownership and investment, import/export and trade, human rights, labor and employment, product liability reporting, cybersecurity, data privacy, telematics, and connectivity. These laws may vary substantially within the different markets in which we operate. Compliance with these laws and regulations is expensive and may further increase the cost of conducting our global operations. In addition, we must comply with the U.S. Foreign 22 Table of Contents Table of Contents Table of Contents summarize financial information and results of operations for internal reporting purposes and to comply with regulatory financial reporting, legal, and tax requirements. Additionally, we collect and store sensitive data, including intellectual property, proprietary business information, and the proprietary business information of our customers, suppliers, and dealers, as well as personally identifiable information of our customers and employees in data centers which are often owned by third parties and on information technology networks. The secure operation of these information technology networks and the processing and maintenance of this information is critical to our business operations and strategy.Despite security measures, including a vulnerability disclosure program, and business continuity plans, our information technology networks and infrastructure have been and may be vulnerable to intrusion, damage, disruptions, or shutdowns due to attacks by cyber criminals, employees’, suppliers’, or dealers’ error or malfeasance, supply chain compromise, disruptions during the process of upgrading or replacing computer software or hardware, power outages, computer viruses, ransomware or other malware, telecommunication or utility failures, terrorist acts, natural disasters, or other events. Although we have not suffered any significant cyber incidents that resulted in material business impact, we have from time to time been the target of malicious cyber threat actors. The occurrence of any significant event could compromise our networks, and the information stored there could be accessed, obtained, publicly disclosed, lost, altered, misused, or stolen. Any such access, disclosure, alteration, misuse, or other loss of information could result in legal claims or proceedings, government investigations, liability or regulatory penalties, disruption or shut down of our operations, and damage to our reputation, which could adversely affect our business, results of operations, and financial condition. Furthermore, as security threats continue to evolve and increase in frequency and sophistication, we may need to invest additional resources to protect information security.Any unauthorized control or manipulation of our products’ systems could result in loss of confidence in us and our products. Some of our products include connectivity hardware and software typically used for remote system updates. While we have implemented security measures intended to protect against unauthorized remote access to these products, malicious threat actors have attempted, and may attempt in the future, to gain unauthorized access to such products in order to gain control of the products, change the products’ functionality, user interface, or performance characteristics, interfere with the products’ operations, or gain access to data stored in or generated by the products or to systems to which they connect. In addition, reports of unauthorized access to our products, systems, and data, regardless of their reliability, may result in the perception that the products, systems, or data are vulnerable to malicious or unauthorized modifications. Any unauthorized access to or control of our products or systems, any loss of data, or any perception that products, systems, or data are vulnerable could result in legal claims or proceedings against us, government investigations, liability, or regulatory penalties, which could adversely affect our business, results of operations, and financial condition. Our business could be adversely affected by the infringement or loss of intellectual property rights.We protect our intellectual property with a combination of patents, trademarks, copyrights, trade secret laws, and legal agreements. We heavily rely on certain trademarks to protect our identity and customer recognition of our products and services, including, but not limited to, the “John Deere” mark, the leaping deer logo, the “Nothing Runs Like a Deere” slogan, and the green and yellow color combination. These trademarks, as well as the many patents that protect innovations used in our products, are integral to our business, and their loss could have a material adverse effect on us. Additionally, third parties may initiate legal proceedings to challenge the validity of our intellectual property or allege that we infringe on their intellectual property. We may incur substantial costs if third parties initiate such legal proceedings, or if we initiate legal proceedings to protect or enforce our intellectual property. If the outcome of any such legal proceedings is unfavorable to us, our business could be adversely affected. LEGAL AND COMPLIANCE RISKS Our global operations are subject to complex and changing laws and regulations, the violation of which could expose us to potential liabilities, increased costs, and other adverse effects.We are subject to numerous international, federal, state, and local laws and regulations, many of which are complex, frequently changing, and subject to varying interpretations. These laws and regulations cover a variety of subjects, including advertising, anti-money laundering, antitrust, consumer finance, environmental, climate-related, health and safety, foreign exchange controls and cash repatriation restrictions, foreign ownership and investment, import/export and trade, human rights, labor and employment, product liability reporting, cybersecurity, data privacy, telematics, and connectivity. These laws may vary substantially within the different markets in which we operate. Compliance with these laws and regulations is expensive and may further increase the cost of conducting our global operations. In addition, we must comply with the U.S. Foreign summarize financial information and results of operations for internal reporting purposes and to comply with regulatory financial reporting, legal, and tax requirements. Additionally, we collect and store sensitive data, including intellectual property, proprietary business information, and the proprietary business information of our customers, suppliers, and dealers, as well as personally identifiable information of our customers and employees in data centers which are often owned by third parties and on information technology networks. The secure operation of these information technology networks and the processing and maintenance of this information is critical to our business operations and strategy. Despite security measures, including a vulnerability disclosure program, and business continuity plans, our information technology networks and infrastructure have been and may be vulnerable to intrusion, damage, disruptions, or shutdowns due to attacks by cyber criminals, employees’, suppliers’, or dealers’ error or malfeasance, supply chain compromise, disruptions during the process of upgrading or replacing computer software or hardware, power outages, computer viruses, ransomware or other malware, telecommunication or utility failures, terrorist acts, natural disasters, or other events. Although we have not suffered any significant cyber incidents that resulted in material business impact, we have from time to time been the target of malicious cyber threat actors. The occurrence of any significant event could compromise our networks, and the information stored there could be accessed, obtained, publicly disclosed, lost, altered, misused, or stolen. Any such access, disclosure, alteration, misuse, or other loss of information could result in legal claims or proceedings, government investigations, liability or regulatory penalties, disruption or shut down of our operations, and damage to our reputation, which could adversely affect our business, results of operations, and financial condition. Furthermore, as security threats continue to evolve and increase in frequency and sophistication, we may need to invest additional resources to protect information security."
    },
    {
      "status": "MODIFIED",
      "current_title": "Income before Income Taxes",
      "prior_title": "Income before Income Taxes",
      "similarity_score": 0.755,
      "confidence": "high",
      "key_changes": [
        "Reworded sentence: \"​ ​ 8,308 ​ ​ 12,217 ​ ​ 7,962 ​ ​ 898 ​ ​ 802 ​ ​ 1,165 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 9,206 ​ ​ 13,019 ​ ​ 9,127 ​ ​ ​ Provision for income taxes ​ ​ 1,887 ​ ​ 2,685 ​ ​ 1,718 ​ ​ 207 ​ ​ 186 ​ ​ 289 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2,094 ​ ​ 2,871 ​ ​ 2,007 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​\""
      ],
      "current_body": "​ ​ 8,308 ​ ​ 12,217 ​ ​ 7,962 ​ ​ 898 ​ ​ 802 ​ ​ 1,165 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 9,206 ​ ​ 13,019 ​ ​ 9,127 ​ ​ ​ Provision for income taxes ​ ​ 1,887 ​ ​ 2,685 ​ ​ 1,718 ​ ​ 207 ​ ​ 186 ​ ​ 289 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2,094 ​ ​ 2,871 ​ ​ 2,007 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​",
      "prior_body": "​ ​ 12,217 ​ ​ 7,962 ​ ​ 6,452 ​ ​ 802 ​ ​ 1,165 ​ ​ 1,150 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 13,019 ​ ​ 9,127 ​ ​ 7,602 ​ ​ ​ Provision for income taxes ​ ​ 2,685 ​ ​ 1,718 ​ ​ 1,386 ​ ​ 186 ​ ​ 289 ​ ​ 272 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2,871 ​ ​ 2,007 ​ ​ 1,658 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​"
    },
    {
      "status": "MODIFIED",
      "current_title": "Total Liabilities and Stockholders’ Equity",
      "prior_title": "Total Liabilities and Stockholders’ Equity",
      "similarity_score": 0.748,
      "confidence": "medium",
      "key_changes": [
        "Reworded sentence: \"​ $ 39,205 ​ $ 40,590 ​ $ 73,612 ​ $ 70,732 ​ $ (5,497) ​ $ (7,235) ​ $ 107,320 ​ $ 104,087 ​ ​ ​ ​ ​ 6 Elimination of receivables / payables between equipment operations and financial services.\""
      ],
      "current_body": "​ $ 39,205 ​ $ 40,590 ​ $ 73,612 ​ $ 70,732 ​ $ (5,497) ​ $ (7,235) ​ $ 107,320 ​ $ 104,087 ​ ​ ​ ​ ​ 6 Elimination of receivables / payables between equipment operations and financial services. 7 Primarily reclassification of sales incentive accruals on receivables sold to financial services. 8 Reclassification of net pension assets / liabilities. 9 Reclassification of deferred tax assets / liabilities in the same taxing jurisdictions. 10 Elimination of financial services’ equity. ​ 40 40 40 Table of ContentsSUPPLEMENTAL CONSOLIDATING DATA (continued)​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​STATEMENTS OF CASH FLOWS​​​For the Years Ended October 27, 2024, October 29, 2023, and October 30, 2022​​​Unaudited​​​​​EQUIPMENT​FINANCIAL​​​​​​​​​OPERATIONS​SERVICES​ELIMINATIONS​CONSOLIDATED​​​​​2024​2023​2022​2024​2023​2022​2024​2023​2022​2024​2023​2022​​​Cash Flows from Operating Activities​​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​​​​Net income​$ 6,392​$ 9,536​$ 6,250​$ 696​$ 619​$ 880​​ ​​​ ​​​ ​​$7,088​$ 10,155​$ 7,130​​​Adjustments to reconcile net income to net cash provided by operating activities:​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Provision (credit) for credit losses​​ 14​​ 7​​ 3​​ 296​​ (23)​​ 189​​ ​​​ ​​​ ​​​ 310​​ (16)​​ 192​​​Provision for depreciation and amortization​​ 1,220​​ 1,123​​ 1,041​​ 1,040​​ 1,016​​ 1,050​$ (142)​$ (135)​$ (196)​​ 2,118​​ 2,004​​ 1,895​ 11​​Impairments and other adjustments​​ 28​​ 18​​ 88​​ 97​​ 173​​ ​​​ ​​​ ​​​ ​​​ 125​​ 191​​ 88​​​Share-based compensation expense​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​ 208​​ 130​​ 85​​ 208​​ 130​​ 85​ 12​​Gain on remeasurement of previously held equity investment​​ ​​​ ​​​ (326)​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​​​​​​​ (326)​​​Distributed earnings of Financial Services​​ 250​​ 215​​ 444​​ ​​​ ​​​ ​​​ (250)​​ (215)​​ (444)​​​​​​​​ ​​ 13​​Provision (credit) for deferred income taxes​​ (97)​​ (959)​​ 8​​ (197)​​ 169​​ (74)​​ ​​​ ​​​ ​​​ (294)​​ (790)​​ (66)​​​Changes in assets and liabilities:​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​​​​​​​​​​​Receivables related to sales ​​ (13)​​ (58)​​ (189)​​ ​​​ ​​​ ​​​ 434​​ (4,195)​​ (2,294)​​ 421​​ (4,253)​​ (2,483)​14, 16​​Inventories​​ 1,011​​ 474​​ (1,924)​​ ​​​ ​​​ ​​​ (223)​​ (195)​​ (167)​​ 788​​ 279​​ (2,091)​ 15​​Accounts payable and accrued expenses​​ (1,429)​​ 1,352​​ 1,444​​ 277​​ 449​​ 143​​ 112​​ (971)​​ (454)​​(1,040)​​ 830​​ 1,133​ 16​​Accrued income taxes payable/receivable​​ (218)​​ 8​​ 166​​ 95​​ (31)​​ (25)​​ ​​​ ​​​ ​​​ (123)​​ (23)​​ 141​​​Retirement benefits​​ (215)​​ (164)​​ (1,016)​​ (12)​​ (6)​​ 1​​ ​​​ ​​​ ​​​ (227)​​ (170)​​ (1,015)​​​Other​​ (38)​​ 367​​ 250​​ 40​​ (51)​​ (287)​​ (145)​​ (64)​​ 53​​ (143)​​ 252​​ 16​11, 12, 15​​Net cash provided by operating activities​​ 6,905​​ 11,919​​ 6,239​​ 2,332​​ 2,315​​ 1,877​​ (6)​​ (5,645)​​ (3,417)​​ 9,231​​ 8,589​​ 4,699​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Cash Flows from Investing Activities​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Collections of receivables (excluding receivables related to sales)​​ ​​​ ​​​ ​​​ 26,029​​ 24,128​​ 22,400​​ (867)​​ (1,077)​​ (1,493)​​ 25,162​​ 23,051​​ 20,907​ 14​​Proceeds from maturities and sales of marketable securities​​ 99​​ 59​​ ​​​ 733​​ 127​​ 79​​ ​​​​​​​​​ 832​​ 186​​ 79​​​Proceeds from sales of equipment on operating leases​​ ​​​ ​​​ ​​​ 1,929​​ 1,981​​ 2,093​​ ​​​ ​​​ ​​​ 1,929​​ 1,981​​ 2,093​​​Cost of receivables acquired (excluding receivables related to sales) ​​ ​​​ ​​​ ​​​ (29,152)​​ (29,229)​​ (26,903)​​ 336​​ 457​​ 603​​ (28,816)​​ (28,772)​​ (26,300)​ 14​​Acquisitions of businesses, net of cash acquired​​ ​​​ (82)​​ (498)​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​​​​ (82)​​ (498)​​​Purchases of marketable securities​​ (209)​​ (173)​​ (76)​​ (846)​​ (318)​​ (174)​​ ​​​ ​​​ ​​​ (1,055)​​ (491)​​ (250)​​​Purchases of property and equipment​​ (1,636)​​ (1,494)​​ (1,131)​​ (4)​​ (4)​​ (3)​​ ​​​ ​​​ ​​​ (1,640)​​ (1,498)​​ (1,134)​​​Cost of equipment on operating leases acquired​​ ​​​ ​​​ ​​​ (3,464)​​ (3,234)​​ (2,879)​​ 302​​ 264​​ 225​​ (3,162)​​ (2,970)​​ (2,654)​ 15​​Decrease (increase) in investment in Financial Services​​ 4​​ (870)​​ 7​​ ​​​ ​​​ ​​​ (4)​​ 870​​ (7)​​​​​​​​ ​​ 17​​Decrease (increase) in trade and wholesale receivables​​ ​​​ ​​​ ​​​ 21​​ (5,783)​​ (3,601)​​ (21)​​ 5,783​​ 3,601​​​​​​​​ ​​ 14​​Collateral on derivatives – net ​​ ​​​ (1)​​ 5​​ 413​​ (11)​​ (647)​​ ​​​ ​​​ ​​​ 413​​ (12)​​ (642)​​​Other​​ (125)​​ (176)​​ (137)​​ (8)​​ 31​​ 14​​ 6​​ 3​​ 37​​ (127)​​ (142)​​ (86)​​​Net cash used for investing activities​​ (1,867)​​ (2,737)​​ (1,830)​​ (4,349)​​ (12,312)​​ (9,621)​​ (248)​​ 6,300​​ 2,966​​ (6,464)​​ (8,749)​​ (8,485)​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Cash Flows from Financing Activities​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Net proceeds (payments) in short-term borrowings (original maturities three months or less)​​ 28​​ (113)​​ 136​​ (1,884)​​ 4,121​​ 3,716​​ ​​​ ​​​​​​ (1,856)​​ 4,008​​ 3,852​​​Change in intercompany receivables/payables​​ 1,459​​ 2,090​​ (1,633)​​ (1,459)​​ (2,090)​​ 1,633​​ ​​​ ​​​​​​​​​​​​ ​​​​Proceeds from borrowings issued (original maturities greater than three months)​​ 159​​ 342​​ 138​​ 17,937​​ 15,087​​ 10,220​​ ​​​ ​​​​​​ 18,096​​ 15,429​​ 10,358​​​Payments of borrowings (original maturities greater than three months)​​ (1,123)​​ (901)​​ (1,356)​​ (12,109)​​ (7,012)​​ (7,089)​​ ​​​ ​​​​​​ (13,232)​​ (7,913)​​ (8,445)​​​Repurchases of common stock​​(4,007)​​ (7,216)​​ (3,597)​​ ​​​ ​​​ ​​​ ​​​ ​​​​​​ (4,007)​​ (7,216)​​ (3,597)​​​Capital investment from Equipment Operations​​ ​​​ ​​​ ​​​ (4)​​ 870​​ (7)​​ 4​​ (870)​​ 7​​​​​​​​ ​​ 17​​Dividends paid​​ (1,605)​​ (1,427)​​ (1,313)​​ (250)​​ (215)​​ (444)​​ 250​​ 215​​ 444​​ (1,605)​​ (1,427)​​ (1,313)​ 13​​Other​​ (46)​​ (7)​​ 6​​ (67)​​ (66)​​ (35)​​ ​​​ ​​​ ​​​ (113)​​ (73)​​ (29)​​​Net cash provided by (used for) financing activities​​ (5,135)​​ (7,232)​​ (7,619)​​ 2,164​​ 10,695​​ 7,994​​ 254​​ (655)​​ 451​​ (2,717)​​ 2,808​​ 826​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Effect of Exchange Rate Changes on Cash, Cash Equivalents, and Restricted Cash​​ (15)​​ 24​​ (209)​​ (22)​​ 7​​ (15)​​ ​​​ ​​​​​​ (37)​​ 31​​ (224)​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Net Increase (Decrease) in Cash, Cash Equivalents, and Restricted Cash​​ (112)​​ 1,974​​ (3,419)​​ 125​​ 705​​ 235​​ ​​​ ​​​ ​​​ 13​​ 2,679​​ (3,184)​​​Cash, Cash Equivalents, and Restricted Cash at Beginning of Year​​ 5,755​​ 3,781​​ 7,200​​ 1,865​​ 1,160​​ 925​​ ​​​ ​​​​​​ 7,620​​ 4,941​​ 8,125​​​Cash, Cash Equivalents, and Restricted Cash at End of Year​$ 5,643​$ 5,755​$ 3,781​$ 1,990​$ 1,865​$ 1,160​​ ​​​ ​​​ ​​$ 7,633​$ 7,620​$ 4,941​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Components of Cash, Cash Equivalents, and Restricted Cash​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Cash and cash equivalents​$ 5,615​$ 5,720​$ 3,767​$ 1,709​$ 1,738​$ 1,007​​​​​​​​​​$ 7,324​$ 7,458​$ 4,774​​​Cash, cash equivalents, and restricted cash (Assets held for sale)​​ ​​​​​​​​​ 116​​​​​​​​​​​​​​​​​ 116​​​​​​​​​Restricted cash (Other assets)​​ 28​​ 35​​ 14​​ 165​​ 127​​ 153​​​​​​​​​​​ 193​​ 162​​ 167​​​Total Cash, Cash Equivalents, and Restricted Cash​$ 5,643​$ 5,755​$ 3,781​$ 1,990​$ 1,865​$ 1,160​​ ​​​ ​​​ ​​$ 7,633​$ 7,620​$ 4,941​​​​​11 Elimination of depreciation on leases related to inventory transferred to equipment on operating leases (see Note 6).12 Reclassification of share-based compensation expense.13 Elimination of dividends from financial services to the equipment operations, which are included in the equipment operations operating activities.14 Primarily reclassification of receivables related to the sale of equipment.15 Reclassification of direct lease agreements with retail customers.16 Reclassification of sales incentive accruals on receivables sold to financial services.17 Elimination of change in investment from equipment operations to financial services.41 Table of Contents Table of Contents Table of Contents SUPPLEMENTAL CONSOLIDATING DATA (continued)​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​STATEMENTS OF CASH FLOWS​​​For the Years Ended October 27, 2024, October 29, 2023, and October 30, 2022​​​Unaudited​​​​​EQUIPMENT​FINANCIAL​​​​​​​​​OPERATIONS​SERVICES​ELIMINATIONS​CONSOLIDATED​​​​​2024​2023​2022​2024​2023​2022​2024​2023​2022​2024​2023​2022​​​Cash Flows from Operating Activities​​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​​​​Net income​$ 6,392​$ 9,536​$ 6,250​$ 696​$ 619​$ 880​​ ​​​ ​​​ ​​$7,088​$ 10,155​$ 7,130​​​Adjustments to reconcile net income to net cash provided by operating activities:​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Provision (credit) for credit losses​​ 14​​ 7​​ 3​​ 296​​ (23)​​ 189​​ ​​​ ​​​ ​​​ 310​​ (16)​​ 192​​​Provision for depreciation and amortization​​ 1,220​​ 1,123​​ 1,041​​ 1,040​​ 1,016​​ 1,050​$ (142)​$ (135)​$ (196)​​ 2,118​​ 2,004​​ 1,895​ 11​​Impairments and other adjustments​​ 28​​ 18​​ 88​​ 97​​ 173​​ ​​​ ​​​ ​​​ ​​​ 125​​ 191​​ 88​​​Share-based compensation expense​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​ 208​​ 130​​ 85​​ 208​​ 130​​ 85​ 12​​Gain on remeasurement of previously held equity investment​​ ​​​ ​​​ (326)​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​​​​​​​ (326)​​​Distributed earnings of Financial Services​​ 250​​ 215​​ 444​​ ​​​ ​​​ ​​​ (250)​​ (215)​​ (444)​​​​​​​​ ​​ 13​​Provision (credit) for deferred income taxes​​ (97)​​ (959)​​ 8​​ (197)​​ 169​​ (74)​​ ​​​ ​​​ ​​​ (294)​​ (790)​​ (66)​​​Changes in assets and liabilities:​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​​​​​​​​​​​Receivables related to sales ​​ (13)​​ (58)​​ (189)​​ ​​​ ​​​ ​​​ 434​​ (4,195)​​ (2,294)​​ 421​​ (4,253)​​ (2,483)​14, 16​​Inventories​​ 1,011​​ 474​​ (1,924)​​ ​​​ ​​​ ​​​ (223)​​ (195)​​ (167)​​ 788​​ 279​​ (2,091)​ 15​​Accounts payable and accrued expenses​​ (1,429)​​ 1,352​​ 1,444​​ 277​​ 449​​ 143​​ 112​​ (971)​​ (454)​​(1,040)​​ 830​​ 1,133​ 16​​Accrued income taxes payable/receivable​​ (218)​​ 8​​ 166​​ 95​​ (31)​​ (25)​​ ​​​ ​​​ ​​​ (123)​​ (23)​​ 141​​​Retirement benefits​​ (215)​​ (164)​​ (1,016)​​ (12)​​ (6)​​ 1​​ ​​​ ​​​ ​​​ (227)​​ (170)​​ (1,015)​​​Other​​ (38)​​ 367​​ 250​​ 40​​ (51)​​ (287)​​ (145)​​ (64)​​ 53​​ (143)​​ 252​​ 16​11, 12, 15​​Net cash provided by operating activities​​ 6,905​​ 11,919​​ 6,239​​ 2,332​​ 2,315​​ 1,877​​ (6)​​ (5,645)​​ (3,417)​​ 9,231​​ 8,589​​ 4,699​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Cash Flows from Investing Activities​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Collections of receivables (excluding receivables related to sales)​​ ​​​ ​​​ ​​​ 26,029​​ 24,128​​ 22,400​​ (867)​​ (1,077)​​ (1,493)​​ 25,162​​ 23,051​​ 20,907​ 14​​Proceeds from maturities and sales of marketable securities​​ 99​​ 59​​ ​​​ 733​​ 127​​ 79​​ ​​​​​​​​​ 832​​ 186​​ 79​​​Proceeds from sales of equipment on operating leases​​ ​​​ ​​​ ​​​ 1,929​​ 1,981​​ 2,093​​ ​​​ ​​​ ​​​ 1,929​​ 1,981​​ 2,093​​​Cost of receivables acquired (excluding receivables related to sales) ​​ ​​​ ​​​ ​​​ (29,152)​​ (29,229)​​ (26,903)​​ 336​​ 457​​ 603​​ (28,816)​​ (28,772)​​ (26,300)​ 14​​Acquisitions of businesses, net of cash acquired​​ ​​​ (82)​​ (498)​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​​​​ (82)​​ (498)​​​Purchases of marketable securities​​ (209)​​ (173)​​ (76)​​ (846)​​ (318)​​ (174)​​ ​​​ ​​​ ​​​ (1,055)​​ (491)​​ (250)​​​Purchases of property and equipment​​ (1,636)​​ (1,494)​​ (1,131)​​ (4)​​ (4)​​ (3)​​ ​​​ ​​​ ​​​ (1,640)​​ (1,498)​​ (1,134)​​​Cost of equipment on operating leases acquired​​ ​​​ ​​​ ​​​ (3,464)​​ (3,234)​​ (2,879)​​ 302​​ 264​​ 225​​ (3,162)​​ (2,970)​​ (2,654)​ 15​​Decrease (increase) in investment in Financial Services​​ 4​​ (870)​​ 7​​ ​​​ ​​​ ​​​ (4)​​ 870​​ (7)​​​​​​​​ ​​ 17​​Decrease (increase) in trade and wholesale receivables​​ ​​​ ​​​ ​​​ 21​​ (5,783)​​ (3,601)​​ (21)​​ 5,783​​ 3,601​​​​​​​​ ​​ 14​​Collateral on derivatives – net ​​ ​​​ (1)​​ 5​​ 413​​ (11)​​ (647)​​ ​​​ ​​​ ​​​ 413​​ (12)​​ (642)​​​Other​​ (125)​​ (176)​​ (137)​​ (8)​​ 31​​ 14​​ 6​​ 3​​ 37​​ (127)​​ (142)​​ (86)​​​Net cash used for investing activities​​ (1,867)​​ (2,737)​​ (1,830)​​ (4,349)​​ (12,312)​​ (9,621)​​ (248)​​ 6,300​​ 2,966​​ (6,464)​​ (8,749)​​ (8,485)​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Cash Flows from Financing Activities​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Net proceeds (payments) in short-term borrowings (original maturities three months or less)​​ 28​​ (113)​​ 136​​ (1,884)​​ 4,121​​ 3,716​​ ​​​ ​​​​​​ (1,856)​​ 4,008​​ 3,852​​​Change in intercompany receivables/payables​​ 1,459​​ 2,090​​ (1,633)​​ (1,459)​​ (2,090)​​ 1,633​​ ​​​ ​​​​​​​​​​​​ ​​​​Proceeds from borrowings issued (original maturities greater than three months)​​ 159​​ 342​​ 138​​ 17,937​​ 15,087​​ 10,220​​ ​​​ ​​​​​​ 18,096​​ 15,429​​ 10,358​​​Payments of borrowings (original maturities greater than three months)​​ (1,123)​​ (901)​​ (1,356)​​ (12,109)​​ (7,012)​​ (7,089)​​ ​​​ ​​​​​​ (13,232)​​ (7,913)​​ (8,445)​​​Repurchases of common stock​​(4,007)​​ (7,216)​​ (3,597)​​ ​​​ ​​​ ​​​ ​​​ ​​​​​​ (4,007)​​ (7,216)​​ (3,597)​​​Capital investment from Equipment Operations​​ ​​​ ​​​ ​​​ (4)​​ 870​​ (7)​​ 4​​ (870)​​ 7​​​​​​​​ ​​ 17​​Dividends paid​​ (1,605)​​ (1,427)​​ (1,313)​​ (250)​​ (215)​​ (444)​​ 250​​ 215​​ 444​​ (1,605)​​ (1,427)​​ (1,313)​ 13​​Other​​ (46)​​ (7)​​ 6​​ (67)​​ (66)​​ (35)​​ ​​​ ​​​ ​​​ (113)​​ (73)​​ (29)​​​Net cash provided by (used for) financing activities​​ (5,135)​​ (7,232)​​ (7,619)​​ 2,164​​ 10,695​​ 7,994​​ 254​​ (655)​​ 451​​ (2,717)​​ 2,808​​ 826​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Effect of Exchange Rate Changes on Cash, Cash Equivalents, and Restricted Cash​​ (15)​​ 24​​ (209)​​ (22)​​ 7​​ (15)​​ ​​​ ​​​​​​ (37)​​ 31​​ (224)​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Net Increase (Decrease) in Cash, Cash Equivalents, and Restricted Cash​​ (112)​​ 1,974​​ (3,419)​​ 125​​ 705​​ 235​​ ​​​ ​​​ ​​​ 13​​ 2,679​​ (3,184)​​​Cash, Cash Equivalents, and Restricted Cash at Beginning of Year​​ 5,755​​ 3,781​​ 7,200​​ 1,865​​ 1,160​​ 925​​ ​​​ ​​​​​​ 7,620​​ 4,941​​ 8,125​​​Cash, Cash Equivalents, and Restricted Cash at End of Year​$ 5,643​$ 5,755​$ 3,781​$ 1,990​$ 1,865​$ 1,160​​ ​​​ ​​​ ​​$ 7,633​$ 7,620​$ 4,941​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Components of Cash, Cash Equivalents, and Restricted Cash​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Cash and cash equivalents​$ 5,615​$ 5,720​$ 3,767​$ 1,709​$ 1,738​$ 1,007​​​​​​​​​​$ 7,324​$ 7,458​$ 4,774​​​Cash, cash equivalents, and restricted cash (Assets held for sale)​​ ​​​​​​​​​ 116​​​​​​​​​​​​​​​​​ 116​​​​​​​​​Restricted cash (Other assets)​​ 28​​ 35​​ 14​​ 165​​ 127​​ 153​​​​​​​​​​​ 193​​ 162​​ 167​​​Total Cash, Cash Equivalents, and Restricted Cash​$ 5,643​$ 5,755​$ 3,781​$ 1,990​$ 1,865​$ 1,160​​ ​​​ ​​​ ​​$ 7,633​$ 7,620​$ 4,941​​​​​11 Elimination of depreciation on leases related to inventory transferred to equipment on operating leases (see Note 6).12 Reclassification of share-based compensation expense.13 Elimination of dividends from financial services to the equipment operations, which are included in the equipment operations operating activities.14 Primarily reclassification of receivables related to the sale of equipment.15 Reclassification of direct lease agreements with retail customers.16 Reclassification of sales incentive accruals on receivables sold to financial services.17 Elimination of change in investment from equipment operations to financial services. SUPPLEMENTAL CONSOLIDATING DATA (continued)​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​STATEMENTS OF CASH FLOWS​​​For the Years Ended October 27, 2024, October 29, 2023, and October 30, 2022​​​Unaudited​​​​​EQUIPMENT​FINANCIAL​​​​​​​​​OPERATIONS​SERVICES​ELIMINATIONS​CONSOLIDATED​​​​​2024​2023​2022​2024​2023​2022​2024​2023​2022​2024​2023​2022​​​Cash Flows from Operating Activities​​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​​​​Net income​$ 6,392​$ 9,536​$ 6,250​$ 696​$ 619​$ 880​​ ​​​ ​​​ ​​$7,088​$ 10,155​$ 7,130​​​Adjustments to reconcile net income to net cash provided by operating activities:​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Provision (credit) for credit losses​​ 14​​ 7​​ 3​​ 296​​ (23)​​ 189​​ ​​​ ​​​ ​​​ 310​​ (16)​​ 192​​​Provision for depreciation and amortization​​ 1,220​​ 1,123​​ 1,041​​ 1,040​​ 1,016​​ 1,050​$ (142)​$ (135)​$ (196)​​ 2,118​​ 2,004​​ 1,895​ 11​​Impairments and other adjustments​​ 28​​ 18​​ 88​​ 97​​ 173​​ ​​​ ​​​ ​​​ ​​​ 125​​ 191​​ 88​​​Share-based compensation expense​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​ 208​​ 130​​ 85​​ 208​​ 130​​ 85​ 12​​Gain on remeasurement of previously held equity investment​​ ​​​ ​​​ (326)​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​​​​​​​ (326)​​​Distributed earnings of Financial Services​​ 250​​ 215​​ 444​​ ​​​ ​​​ ​​​ (250)​​ (215)​​ (444)​​​​​​​​ ​​ 13​​Provision (credit) for deferred income taxes​​ (97)​​ (959)​​ 8​​ (197)​​ 169​​ (74)​​ ​​​ ​​​ ​​​ (294)​​ (790)​​ (66)​​​Changes in assets and liabilities:​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​​​​​​​​​​​Receivables related to sales ​​ (13)​​ (58)​​ (189)​​ ​​​ ​​​ ​​​ 434​​ (4,195)​​ (2,294)​​ 421​​ (4,253)​​ (2,483)​14, 16​​Inventories​​ 1,011​​ 474​​ (1,924)​​ ​​​ ​​​ ​​​ (223)​​ (195)​​ (167)​​ 788​​ 279​​ (2,091)​ 15​​Accounts payable and accrued expenses​​ (1,429)​​ 1,352​​ 1,444​​ 277​​ 449​​ 143​​ 112​​ (971)​​ (454)​​(1,040)​​ 830​​ 1,133​ 16​​Accrued income taxes payable/receivable​​ (218)​​ 8​​ 166​​ 95​​ (31)​​ (25)​​ ​​​ ​​​ ​​​ (123)​​ (23)​​ 141​​​Retirement benefits​​ (215)​​ (164)​​ (1,016)​​ (12)​​ (6)​​ 1​​ ​​​ ​​​ ​​​ (227)​​ (170)​​ (1,015)​​​Other​​ (38)​​ 367​​ 250​​ 40​​ (51)​​ (287)​​ (145)​​ (64)​​ 53​​ (143)​​ 252​​ 16​11, 12, 15​​Net cash provided by operating activities​​ 6,905​​ 11,919​​ 6,239​​ 2,332​​ 2,315​​ 1,877​​ (6)​​ (5,645)​​ (3,417)​​ 9,231​​ 8,589​​ 4,699​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Cash Flows from Investing Activities​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Collections of receivables (excluding receivables related to sales)​​ ​​​ ​​​ ​​​ 26,029​​ 24,128​​ 22,400​​ (867)​​ (1,077)​​ (1,493)​​ 25,162​​ 23,051​​ 20,907​ 14​​Proceeds from maturities and sales of marketable securities​​ 99​​ 59​​ ​​​ 733​​ 127​​ 79​​ ​​​​​​​​​ 832​​ 186​​ 79​​​Proceeds from sales of equipment on operating leases​​ ​​​ ​​​ ​​​ 1,929​​ 1,981​​ 2,093​​ ​​​ ​​​ ​​​ 1,929​​ 1,981​​ 2,093​​​Cost of receivables acquired (excluding receivables related to sales) ​​ ​​​ ​​​ ​​​ (29,152)​​ (29,229)​​ (26,903)​​ 336​​ 457​​ 603​​ (28,816)​​ (28,772)​​ (26,300)​ 14​​Acquisitions of businesses, net of cash acquired​​ ​​​ (82)​​ (498)​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​​​​ (82)​​ (498)​​​Purchases of marketable securities​​ (209)​​ (173)​​ (76)​​ (846)​​ (318)​​ (174)​​ ​​​ ​​​ ​​​ (1,055)​​ (491)​​ (250)​​​Purchases of property and equipment​​ (1,636)​​ (1,494)​​ (1,131)​​ (4)​​ (4)​​ (3)​​ ​​​ ​​​ ​​​ (1,640)​​ (1,498)​​ (1,134)​​​Cost of equipment on operating leases acquired​​ ​​​ ​​​ ​​​ (3,464)​​ (3,234)​​ (2,879)​​ 302​​ 264​​ 225​​ (3,162)​​ (2,970)​​ (2,654)​ 15​​Decrease (increase) in investment in Financial Services​​ 4​​ (870)​​ 7​​ ​​​ ​​​ ​​​ (4)​​ 870​​ (7)​​​​​​​​ ​​ 17​​Decrease (increase) in trade and wholesale receivables​​ ​​​ ​​​ ​​​ 21​​ (5,783)​​ (3,601)​​ (21)​​ 5,783​​ 3,601​​​​​​​​ ​​ 14​​Collateral on derivatives – net ​​ ​​​ (1)​​ 5​​ 413​​ (11)​​ (647)​​ ​​​ ​​​ ​​​ 413​​ (12)​​ (642)​​​Other​​ (125)​​ (176)​​ (137)​​ (8)​​ 31​​ 14​​ 6​​ 3​​ 37​​ (127)​​ (142)​​ (86)​​​Net cash used for investing activities​​ (1,867)​​ (2,737)​​ (1,830)​​ (4,349)​​ (12,312)​​ (9,621)​​ (248)​​ 6,300​​ 2,966​​ (6,464)​​ (8,749)​​ (8,485)​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Cash Flows from Financing Activities​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Net proceeds (payments) in short-term borrowings (original maturities three months or less)​​ 28​​ (113)​​ 136​​ (1,884)​​ 4,121​​ 3,716​​ ​​​ ​​​​​​ (1,856)​​ 4,008​​ 3,852​​​Change in intercompany receivables/payables​​ 1,459​​ 2,090​​ (1,633)​​ (1,459)​​ (2,090)​​ 1,633​​ ​​​ ​​​​​​​​​​​​ ​​​​Proceeds from borrowings issued (original maturities greater than three months)​​ 159​​ 342​​ 138​​ 17,937​​ 15,087​​ 10,220​​ ​​​ ​​​​​​ 18,096​​ 15,429​​ 10,358​​​Payments of borrowings (original maturities greater than three months)​​ (1,123)​​ (901)​​ (1,356)​​ (12,109)​​ (7,012)​​ (7,089)​​ ​​​ ​​​​​​ (13,232)​​ (7,913)​​ (8,445)​​​Repurchases of common stock​​(4,007)​​ (7,216)​​ (3,597)​​ ​​​ ​​​ ​​​ ​​​ ​​​​​​ (4,007)​​ (7,216)​​ (3,597)​​​Capital investment from Equipment Operations​​ ​​​ ​​​ ​​​ (4)​​ 870​​ (7)​​ 4​​ (870)​​ 7​​​​​​​​ ​​ 17​​Dividends paid​​ (1,605)​​ (1,427)​​ (1,313)​​ (250)​​ (215)​​ (444)​​ 250​​ 215​​ 444​​ (1,605)​​ (1,427)​​ (1,313)​ 13​​Other​​ (46)​​ (7)​​ 6​​ (67)​​ (66)​​ (35)​​ ​​​ ​​​ ​​​ (113)​​ (73)​​ (29)​​​Net cash provided by (used for) financing activities​​ (5,135)​​ (7,232)​​ (7,619)​​ 2,164​​ 10,695​​ 7,994​​ 254​​ (655)​​ 451​​ (2,717)​​ 2,808​​ 826​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Effect of Exchange Rate Changes on Cash, Cash Equivalents, and Restricted Cash​​ (15)​​ 24​​ (209)​​ (22)​​ 7​​ (15)​​ ​​​ ​​​​​​ (37)​​ 31​​ (224)​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Net Increase (Decrease) in Cash, Cash Equivalents, and Restricted Cash​​ (112)​​ 1,974​​ (3,419)​​ 125​​ 705​​ 235​​ ​​​ ​​​ ​​​ 13​​ 2,679​​ (3,184)​​​Cash, Cash Equivalents, and Restricted Cash at Beginning of Year​​ 5,755​​ 3,781​​ 7,200​​ 1,865​​ 1,160​​ 925​​ ​​​ ​​​​​​ 7,620​​ 4,941​​ 8,125​​​Cash, Cash Equivalents, and Restricted Cash at End of Year​$ 5,643​$ 5,755​$ 3,781​$ 1,990​$ 1,865​$ 1,160​​ ​​​ ​​​ ​​$ 7,633​$ 7,620​$ 4,941​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Components of Cash, Cash Equivalents, and Restricted Cash​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Cash and cash equivalents​$ 5,615​$ 5,720​$ 3,767​$ 1,709​$ 1,738​$ 1,007​​​​​​​​​​$ 7,324​$ 7,458​$ 4,774​​​Cash, cash equivalents, and restricted cash (Assets held for sale)​​ ​​​​​​​​​ 116​​​​​​​​​​​​​​​​​ 116​​​​​​​​​Restricted cash (Other assets)​​ 28​​ 35​​ 14​​ 165​​ 127​​ 153​​​​​​​​​​​ 193​​ 162​​ 167​​​Total Cash, Cash Equivalents, and Restricted Cash​$ 5,643​$ 5,755​$ 3,781​$ 1,990​$ 1,865​$ 1,160​​ ​​​ ​​​ ​​$ 7,633​$ 7,620​$ 4,941​​​​​11 Elimination of depreciation on leases related to inventory transferred to equipment on operating leases (see Note 6).12 Reclassification of share-based compensation expense.13 Elimination of dividends from financial services to the equipment operations, which are included in the equipment operations operating activities.14 Primarily reclassification of receivables related to the sale of equipment.15 Reclassification of direct lease agreements with retail customers.16 Reclassification of sales incentive accruals on receivables sold to financial services.17 Elimination of change in investment from equipment operations to financial services.",
      "prior_body": "​ $ 40,590 ​ $ 39,208 ​ $ 70,732 ​ $ 58,864 ​ $ (7,235) ​ $ (8,042) ​ $ 104,087 ​ $ 90,030 ​ ​ ​ ​ ​ 7 Elimination of receivables / payables between equipment operations and financial services. 8 Primarily reclassification of sales incentive accruals on receivables sold to financial services. 9 Reclassification of net pension assets / liabilities. 10 Reclassification of deferred tax assets / liabilities in the same taxing jurisdictions. 11 Elimination of financial services’ equity. ​ 40 40 40 Table of ContentsSUPPLEMENTAL CONSOLIDATING DATA (continued)​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​STATEMENTS OF CASH FLOWS​​​For the Years Ended October 29, 2023, October 30, 2022, and October 31, 2021​​​Unaudited​​​​​EQUIPMENT​FINANCIAL​​​​​​​​​OPERATIONS​SERVICES​ELIMINATIONS​CONSOLIDATED​​​​​2023​2022​2021​2023​2022​2021​2023​2022​2021​2023​2022​2021​​​Cash Flows from Operating Activities​​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​​​​Net income​$ 9,536​$ 6,250​$ 5,084​$ 619​$ 880​$ 881​​ ​​​ ​​​​​$ 10,155​$ 7,130​$ 5,965​​​Adjustments to reconcile net income to net cash provided by operating activities:​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Provision (credit) for credit losses​​ 7​​ 3​​ 7​​ (23)​​ 189​​ (13)​​ ​​​ ​​​​​​ (16)​​ 192​​ (6)​​​Provision for depreciation and amortization​​ 1,123​​ 1,041​​ 1,043​​ 1,016​​ 1,050​​ 1,140​$ (135)​$ (196)​$ (133)​​ 2,004​​ 1,895​​ 2,050​ 12​​Impairments and other adjustments​​ 18​​ 88​​ 50​​ 173​​ ​​​ ​​​ ​​​ ​​​ ​​​ 191​​ 88​​ 50​​​Share-based compensation expense​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​ 130​​ 85​​ 82​​ 130​​ 85​​ 82​ 13​​Gain on remeasurement of previously held equity investment​​ ​​​ (326)​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​​​​ (326)​​​​​​Distributed earnings of Financial Services​​ 215​​ 444​​ 555​​ ​​​ ​​​ ​​​ (215)​​ (444)​​ (555)​​​​​ ​​​ ​​ 14​​Provision (credit) for deferred income taxes​​ (959)​​ 8​​ (369)​​ 169​​ (74)​​ (72)​​ ​​​ ​​​ ​​​ (790)​​ (66)​​ (441)​​​Changes in assets and liabilities:​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​​​​​​​​​​​Receivables related to sales ​​ (58)​​ (189)​​ (105)​​ ​​​ ​​​ ​​​ (4,195)​​ (2,294)​​ 1,074​​ (4,253)​​ (2,483)​​ 969​15, 17, 18​​Inventories​​ 474​​ (1,924)​​ (1,835)​​ ​​​ ​​​ ​​​ (195)​​ (167)​​ (662)​​ 279​​ (2,091)​​ (2,497)​ 16​​Accounts payable and accrued expenses​​ 1,352​​ 1,444​​ 1,589​​ 449​​ 143​​ 57​​ (971)​​ (454)​​ 238​​ 830​​ 1,133​​ 1,884​ 17​​Accrued income taxes payable/receivable​​ 8​​ 166​​ 13​​ (31)​​ (25)​​ (2)​​ ​​​ ​​​ ​​​ (23)​​ 141​​ 11​​​Retirement benefits​​ (164)​​ (1,016)​​ 30​​ (6)​​ 1​​ (1)​​ ​​​ ​​​ ​​​ (170)​​ (1,015)​​ 29​​​Other​​ 367​​ 250​​ (162)​​ (51)​​ (287)​​ (25)​​ (64)​​ 53​​ (183)​​ 252​​ 16​​ (370)​12, 13, 16​​Net cash provided by operating activities​​ 11,919​​ 6,239​​ 5,900​​ 2,315​​ 1,877​​ 1,965​​ (5,645)​​ (3,417)​​ (139)​​ 8,589​​ 4,699​​ 7,726​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Cash Flows from Investing Activities​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Collections of receivables (excluding receivables related to sales)​​ ​​​ ​​​ ​​​ 24,128​​ 22,400​​ 20,527​​ (1,077)​​ (1,493)​​ (1,568)​​ 23,051​​ 20,907​​ 18,959​ 15​​Proceeds from sales of equipment on operating leases​​ ​​​ ​​​ ​​​ 1,981​​ 2,093​​ 2,094​​ ​​​ ​​​ ​​​ 1,981​​ 2,093​​ 2,094​​​Cost of receivables acquired (excluding receivables related to sales) ​​ ​​​ ​​​ ​​​ (29,229)​​ (26,903)​​ (25,305)​​ 457​​ 603​​ 1,652​​ (28,772)​​ (26,300)​​ (23,653)​ 15​​Acquisitions of businesses, net of cash acquired​​ (82)​​ (498)​​ (244)​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​ (82)​​ (498)​​ (244)​​​Purchases of property and equipment​​ (1,494)​​ (1,131)​​ (845)​​ (4)​​ (3)​​ (3)​​ ​​​ ​​​ ​​​ (1,498)​​ (1,134)​​ (848)​​​Cost of equipment on operating leases acquired​​ ​​​ ​​​ ​​​ (3,234)​​ (2,879)​​ (2,627)​​ 264​​ 225​​ 895​​ (2,970)​​ (2,654)​​ (1,732)​ 16​​Increase (decrease) in investment in Financial Services​​ (870)​​ 7​​ (8)​​ ​​​ ​​​ ​​​ 870​​ (7)​​ 8​​​​​ ​​​ ​​ 19​​Decrease (increase) in trade and wholesale receivables​​ ​​​ ​​​ ​​​ (5,783)​​ (3,601)​​ 1,364​​ 5,783​​ 3,601​​ (1,364)​​​​​ ​​​ ​​ 15​​Collateral on derivatives – net ​​ (1)​​ 5​​ (7)​​ (11)​​ (647)​​ (274)​​ ​​​ ​​​ ​​​ (12)​​ (642)​​ (281)​​​Other​​ (290)​​ (213)​​ 70​​ (160)​​ (81)​​ (84)​​ 3​​ 37​​ (31)​​ (447)​​ (257)​​ (45)​18​​Net cash used for investing activities​​ (2,737)​​ (1,830)​​ (1,034)​​ (12,312)​​ (9,621)​​ (4,308)​​ 6,300​​ 2,966​​ (408)​​ (8,749)​​ (8,485)​​ (5,750)​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Cash Flows from Financing Activities​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Net proceeds (payments) in short-term borrowings (original maturities three months or less)​​ (113)​​ 136​​ 65​​ 4,121​​ 3,716​​ 753​​ ​​​​​​​​​ 4,008​​ 3,852​​ 818​​​Change in intercompany receivables/payables​​ 2,090​​ (1,633)​​ (354)​​ (2,090)​​ 1,633​​ 354​​ ​​​​​​​​​​​​ ​​​ ​​​​Proceeds from borrowings issued (original maturities greater than three months)​​ 342​​ 138​​ 11​​ 15,087​​ 10,220​​ 8,711​​ ​​​​​​​​​ 15,429​​ 10,358​​ 8,722​​​Payments of borrowings (original maturities greater than three months)​​ (901)​​ (1,356)​​ (94)​​ (7,012)​​ (7,089)​​ (6,996)​​ ​​​​​​​​​ (7,913)​​ (8,445)​​ (7,090)​​​Repurchases of common stock​​ (7,216)​​(3,597)​​ (2,538)​​ ​​​ ​​​ ​​​ ​​​​​​​​​ (7,216)​​ (3,597)​​ (2,538)​​​Capital investment from Equipment Operations​​ ​​​ ​​​ ​​​ 870​​ (7)​​ 8​​ (870)​​ 7​​ (8)​​​​​ ​​​ ​​ 19​​Dividends paid​​ (1,427)​​ (1,313)​​ (1,040)​​ (215)​​ (444)​​ (555)​​ 215​​ 444​​ 555​​ (1,427)​​ (1,313)​​ (1,040)​ 14​​Other​​ (7)​​ 6​​ 87​​ (66)​​ (35)​​ (37)​​ ​​​ ​​​ ​​​ (73)​​ (29)​​ 50​​​Net cash provided by (used for) financing activities​​ (7,232)​​ (7,619)​​ (3,863)​​ 10,695​​ 7,994​​ 2,238​​ (655)​​ 451​​ 547​​ 2,808​​ 826​​ (1,078)​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Effect of Exchange Rate Changes on Cash, Cash Equivalents, and Restricted Cash​​ 24​​ (209)​​ 41​​ 7​​ (15)​​ 14​​ ​​​​​​​​​ 31​​ (224)​​ 55​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Net Increase (Decrease) in Cash, Cash Equivalents, and Restricted Cash​​ 1,974​​ (3,419)​​ 1,044​​ 705​​ 235​​ (91)​​ ​​​ ​​​ ​​​ 2,679​​ (3,184)​​ 953​​​Cash, Cash Equivalents, and Restricted Cash at Beginning of Year​​ 3,781​​ 7,200​​ 6,156​​ 1,160​​ 925​​ 1,016​​ ​​​​​​​​​ 4,941​​ 8,125​​ 7,172​​​Cash, Cash Equivalents, and Restricted Cash at End of Year​$ 5,755​$ 3,781​$ 7,200​$ 1,865​$ 1,160​$ 925​​ ​​​ ​​​ ​​$ 7,620​$ 4,941​$ 8,125​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Components of Cash, Cash Equivalents, and Restricted Cash​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Cash and cash equivalents​$ 5,720​$ 3,767​$ 7,188​$ 1,738​$ 1,007​$ 829​​​​​​​​​​$ 7,458​$ 4,774​$ 8,017​​​Restricted cash (Other assets)​​ 35​​ 14​​ 12​​ 127​​ 153​​ 96​​​​​​​​​​​ 162​​ 167​​ 108​​​Total Cash, Cash Equivalents, and Restricted Cash​$ 5,755​$ 3,781​$ 7,200​$ 1,865​$ 1,160​$ 925​​ ​​​ ​​​ ​​$ 7,620​$ 4,941​$ 8,125​​​​​12 Elimination of depreciation on leases related to inventory transferred to equipment on operating leases (see Note 6).13 Reclassification of share-based compensation expense.14 Elimination of dividends from financial services to the equipment operations, which are included in the equipment operations operating activities.15 Primarily reclassification of receivables related to the sale of equipment.16 Reclassification of direct lease agreements with retail customers.17 Reclassification of sales incentive accruals on receivables sold to financial services.18 Elimination and reclassification of the effects of financial services partial financing of the construction and forestry retail locations sales and subsequent collection of those amounts.19 Elimination of investment from equipment operations to financial services.41 Table of Contents Table of Contents Table of Contents SUPPLEMENTAL CONSOLIDATING DATA (continued)​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​STATEMENTS OF CASH FLOWS​​​For the Years Ended October 29, 2023, October 30, 2022, and October 31, 2021​​​Unaudited​​​​​EQUIPMENT​FINANCIAL​​​​​​​​​OPERATIONS​SERVICES​ELIMINATIONS​CONSOLIDATED​​​​​2023​2022​2021​2023​2022​2021​2023​2022​2021​2023​2022​2021​​​Cash Flows from Operating Activities​​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​​​​Net income​$ 9,536​$ 6,250​$ 5,084​$ 619​$ 880​$ 881​​ ​​​ ​​​​​$ 10,155​$ 7,130​$ 5,965​​​Adjustments to reconcile net income to net cash provided by operating activities:​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Provision (credit) for credit losses​​ 7​​ 3​​ 7​​ (23)​​ 189​​ (13)​​ ​​​ ​​​​​​ (16)​​ 192​​ (6)​​​Provision for depreciation and amortization​​ 1,123​​ 1,041​​ 1,043​​ 1,016​​ 1,050​​ 1,140​$ (135)​$ (196)​$ (133)​​ 2,004​​ 1,895​​ 2,050​ 12​​Impairments and other adjustments​​ 18​​ 88​​ 50​​ 173​​ ​​​ ​​​ ​​​ ​​​ ​​​ 191​​ 88​​ 50​​​Share-based compensation expense​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​ 130​​ 85​​ 82​​ 130​​ 85​​ 82​ 13​​Gain on remeasurement of previously held equity investment​​ ​​​ (326)​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​​​​ (326)​​​​​​Distributed earnings of Financial Services​​ 215​​ 444​​ 555​​ ​​​ ​​​ ​​​ (215)​​ (444)​​ (555)​​​​​ ​​​ ​​ 14​​Provision (credit) for deferred income taxes​​ (959)​​ 8​​ (369)​​ 169​​ (74)​​ (72)​​ ​​​ ​​​ ​​​ (790)​​ (66)​​ (441)​​​Changes in assets and liabilities:​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​​​​​​​​​​​Receivables related to sales ​​ (58)​​ (189)​​ (105)​​ ​​​ ​​​ ​​​ (4,195)​​ (2,294)​​ 1,074​​ (4,253)​​ (2,483)​​ 969​15, 17, 18​​Inventories​​ 474​​ (1,924)​​ (1,835)​​ ​​​ ​​​ ​​​ (195)​​ (167)​​ (662)​​ 279​​ (2,091)​​ (2,497)​ 16​​Accounts payable and accrued expenses​​ 1,352​​ 1,444​​ 1,589​​ 449​​ 143​​ 57​​ (971)​​ (454)​​ 238​​ 830​​ 1,133​​ 1,884​ 17​​Accrued income taxes payable/receivable​​ 8​​ 166​​ 13​​ (31)​​ (25)​​ (2)​​ ​​​ ​​​ ​​​ (23)​​ 141​​ 11​​​Retirement benefits​​ (164)​​ (1,016)​​ 30​​ (6)​​ 1​​ (1)​​ ​​​ ​​​ ​​​ (170)​​ (1,015)​​ 29​​​Other​​ 367​​ 250​​ (162)​​ (51)​​ (287)​​ (25)​​ (64)​​ 53​​ (183)​​ 252​​ 16​​ (370)​12, 13, 16​​Net cash provided by operating activities​​ 11,919​​ 6,239​​ 5,900​​ 2,315​​ 1,877​​ 1,965​​ (5,645)​​ (3,417)​​ (139)​​ 8,589​​ 4,699​​ 7,726​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Cash Flows from Investing Activities​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Collections of receivables (excluding receivables related to sales)​​ ​​​ ​​​ ​​​ 24,128​​ 22,400​​ 20,527​​ (1,077)​​ (1,493)​​ (1,568)​​ 23,051​​ 20,907​​ 18,959​ 15​​Proceeds from sales of equipment on operating leases​​ ​​​ ​​​ ​​​ 1,981​​ 2,093​​ 2,094​​ ​​​ ​​​ ​​​ 1,981​​ 2,093​​ 2,094​​​Cost of receivables acquired (excluding receivables related to sales) ​​ ​​​ ​​​ ​​​ (29,229)​​ (26,903)​​ (25,305)​​ 457​​ 603​​ 1,652​​ (28,772)​​ (26,300)​​ (23,653)​ 15​​Acquisitions of businesses, net of cash acquired​​ (82)​​ (498)​​ (244)​​ ​​​ ​​​ ​​​ ​​​ ​​​ ​​​ (82)​​ (498)​​ (244)​​​Purchases of property and equipment​​ (1,494)​​ (1,131)​​ (845)​​ (4)​​ (3)​​ (3)​​ ​​​ ​​​ ​​​ (1,498)​​ (1,134)​​ (848)​​​Cost of equipment on operating leases acquired​​ ​​​ ​​​ ​​​ (3,234)​​ (2,879)​​ (2,627)​​ 264​​ 225​​ 895​​ (2,970)​​ (2,654)​​ (1,732)​ 16​​Increase (decrease) in investment in Financial Services​​ (870)​​ 7​​ (8)​​ ​​​ ​​​ ​​​ 870​​ (7)​​ 8​​​​​ ​​​ ​​ 19​​Decrease (increase) in trade and wholesale receivables​​ ​​​ ​​​ ​​​ (5,783)​​ (3,601)​​ 1,364​​ 5,783​​ 3,601​​ (1,364)​​​​​ ​​​ ​​ 15​​Collateral on derivatives – net ​​ (1)​​ 5​​ (7)​​ (11)​​ (647)​​ (274)​​ ​​​ ​​​ ​​​ (12)​​ (642)​​ (281)​​​Other​​ (290)​​ (213)​​ 70​​ (160)​​ (81)​​ (84)​​ 3​​ 37​​ (31)​​ (447)​​ (257)​​ (45)​18​​Net cash used for investing activities​​ (2,737)​​ (1,830)​​ (1,034)​​ (12,312)​​ (9,621)​​ (4,308)​​ 6,300​​ 2,966​​ (408)​​ (8,749)​​ (8,485)​​ (5,750)​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Cash Flows from Financing Activities​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Net proceeds (payments) in short-term borrowings (original maturities three months or less)​​ (113)​​ 136​​ 65​​ 4,121​​ 3,716​​ 753​​ ​​​​​​​​​ 4,008​​ 3,852​​ 818​​​Change in intercompany receivables/payables​​ 2,090​​ (1,633)​​ (354)​​ (2,090)​​ 1,633​​ 354​​ ​​​​​​​​​​​​ ​​​ ​​​​Proceeds from borrowings issued (original maturities greater than three months)​​ 342​​ 138​​ 11​​ 15,087​​ 10,220​​ 8,711​​ ​​​​​​​​​ 15,429​​ 10,358​​ 8,722​​​Payments of borrowings (original maturities greater than three months)​​ (901)​​ (1,356)​​ (94)​​ (7,012)​​ (7,089)​​ (6,996)​​ ​​​​​​​​​ (7,913)​​ (8,445)​​ (7,090)​​​Repurchases of common stock​​ (7,216)​​(3,597)​​ (2,538)​​ ​​​ ​​​ ​​​ ​​​​​​​​​ (7,216)​​ (3,597)​​ (2,538)​​​Capital investment from Equipment Operations​​ ​​​ ​​​ ​​​ 870​​ (7)​​ 8​​ (870)​​ 7​​ (8)​​​​​ ​​​ ​​ 19​​Dividends paid​​ (1,427)​​ (1,313)​​ (1,040)​​ (215)​​ (444)​​ (555)​​ 215​​ 444​​ 555​​ (1,427)​​ (1,313)​​ (1,040)​ 14​​Other​​ (7)​​ 6​​ 87​​ (66)​​ (35)​​ (37)​​ ​​​ ​​​ ​​​ (73)​​ (29)​​ 50​​​Net cash provided by (used for) financing activities​​ (7,232)​​ (7,619)​​ (3,863)​​ 10,695​​ 7,994​​ 2,238​​ (655)​​ 451​​ 547​​ 2,808​​ 826​​ (1,078)​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Effect of Exchange Rate Changes on Cash, Cash Equivalents, and Restricted Cash​​ 24​​ (209)​​ 41​​ 7​​ (15)​​ 14​​ ​​​​​​​​​ 31​​ (224)​​ 55​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Net Increase (Decrease) in Cash, Cash Equivalents, and Restricted Cash​​ 1,974​​ (3,419)​​ 1,044​​ 705​​ 235​​ (91)​​ ​​​ ​​​ ​​​ 2,679​​ (3,184)​​ 953​​​Cash, Cash Equivalents, and Restricted Cash at Beginning of Year​​ 3,781​​ 7,200​​ 6,156​​ 1,160​​ 925​​ 1,016​​ ​​​​​​​​​ 4,941​​ 8,125​​ 7,172​​​Cash, Cash Equivalents, and Restricted Cash at End of Year​$ 5,755​$ 3,781​$ 7,200​$ 1,865​$ 1,160​$ 925​​ ​​​ ​​​ ​​$ 7,620​$ 4,941​$ 8,125​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Components of Cash, Cash Equivalents, and Restricted Cash​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Cash and cash equivalents​$ 5,720​$ 3,767​$ 7,188​$ 1,738​$ 1,007​$ 829​​​​​​​​​​$ 7,458​$ 4,774​$ 8,017​​​Restricted cash (Other assets)​​ 35​​ 14​​ 12​​ 127​​ 153​​ 96​​​​​​​​​​​ 162​​ 167​​ 108​​​Total Cash, Cash Equivalents, and Restricted Cash​$ 5,755​$ 3,781​$ 7,200​$ 1,865​$ 1,160​$ 925​​ ​​​ ​​​ ​​$ 7,620​$ 4,941​$ 8,125​​​​​12 Elimination of depreciation on leases related to inventory transferred to equipment on operating leases (see Note 6).13 Reclassification of share-based compensation expense.14 Elimination of dividends from financial services to the equipment operations, which are included in the equipment operations operating activities.15 Primarily reclassification of receivables related to the sale of equipment.16 Reclassification of direct lease agreements with retail customers.17 Reclassification of sales incentive accruals on receivables sold to financial services.18 Elimination and reclassification of the effects of financial services partial financing of the construction and forestry retail locations sales and subsequent collection of those amounts.19 Elimination of investment from equipment operations to financial services."
    },
    {
      "status": "MODIFIED",
      "current_title": "Rationalization or restructuring of manufacturing facilities, and plant expansions and updates at our manufacturing facilities may cause capacity constraints, inventory fluctuations, and other issues.",
      "prior_title": "Governmental actions designed to address climate change based on the emergence of new technologies and business models in connection with the transition to a lower-carbon economy could adversely affect John Deere and our customers.",
      "similarity_score": 0.737,
      "confidence": "medium",
      "key_changes": [
        "Reworded sentence: \"The rationalization or restructuring of our manufacturing facilities, including relocating production or closing facilities, may result in temporary constraints on our ability to produce the quantity of products necessary to fill orders and thereby complete sales in a timely manner.\"",
        "Added sentence: \"Because the financial services segment provides financing for a significant portion of our sales worldwide, negative economic conditions in the financial industry could materially impact our operations and financial results.Negative economic conditions have an adverse effect on the financial industry in which the financial services segment operates.\"",
        "Added sentence: \"The financial services segment provides financing for a significant portion of our sales worldwide.\"",
        "Added sentence: \"The financial services segment is vulnerable to customers and others defaulting on contractual obligations, and has experienced, and may continue to experience write-offs and credit losses that, in some cases, exceed our expectations and adversely affect our financial condition and results of operations as a result of elevated delinquencies.\"",
        "Added sentence: \"The financial services segment’s inability to access funds at cost-effective rates to support our financing activities could have a material adverse effect on our business.\""
      ],
      "current_body": "The rationalization or restructuring of our manufacturing facilities, including relocating production or closing facilities, may result in temporary constraints on our ability to produce the quantity of products necessary to fill orders and thereby complete sales in a timely manner. In addition, decisions regarding the rationalization, restructuring or relocation of facilities, such as the recently announced shifting of production of skid steer loaders and compact track loaders from our Dubuque, Iowa factory to Ramos, Mexico, and any similar actions we may undertake in the future, could also subject us to additional or new tariffs, other issues relating to the importation of products, fines, and reputational risks. Finally, the expansion and reconfiguration of existing manufacturing facilities, as well as new or expanded manufacturing operations in emerging markets, such as Brazil, could increase the risk of production delays, as well as require significant investments. 15 15 15 Table of ContentsChanges in tax rates, tax legislation, or exposure to additional tax liabilities could have a negative effect on our business.We are subject to income taxes in the U.S. and numerous foreign jurisdictions. Our domestic and international tax liabilities are dependent upon the location of earnings among these different jurisdictions. Tax rates in various jurisdictions may be subject to significant change. Our effective tax rates could be affected by changes in the mix of earnings in countries with differing statutory tax rates, changes in the valuation of deferred tax assets and liabilities, or changes in tax laws or their interpretations. If our effective tax rates were to increase, or if the ultimate determination of taxes owed is for an amount more than amounts previously accrued, our operating results, cash flows, and financial condition could be adversely affected. Our consolidated financial results are reported in U.S. dollars while certain assets and other reported items are denominated in foreign currencies, creating currency exchange and translation risk.We are a global company with transactions denominated in a variety of currencies. We are subject to currency exchange risk to the extent that our costs are denominated in currencies other than those in which we earn our revenues. Additionally, the reporting currency for our consolidated financial statements is the U.S. dollar. Certain of our assets, liabilities, expenses, and revenues are denominated in other countries’ currencies, which are then translated into U.S. dollars at the applicable exchange rates and reported in our consolidated financial statements. Therefore, fluctuations in foreign exchange rates affect the value of those items as reflected in our consolidated financial statements, even if their value remains unchanged in the original currencies. While the use of currency hedging instruments may provide us with some protection from adverse fluctuations in currency exchange rates, by utilizing these instruments we potentially forego any benefits that may result from favorable fluctuations in such rates. In Argentina, we have employed mechanisms to convert Argentine pesos into U.S. dollars to the extent possible. These mechanisms are short-term in nature, leaving us exposed to long-term currency fluctuations.Changes in interest rates or market liquidity conditions, as well as changes in government banking, monetary and fiscal policies, could adversely affect our financials and our earnings and/or cash flows. While central banks began cutting their policy interest rates in the latter part of fiscal year 2024, interest rates remain above recent norms. High interest rates can have a dampening effect on overall economic activity and/or the financial condition of our customers, either or both of which can negatively affect customer demand for our equipment and customers’ ability to repay their obligations to us. While we strive to match the interest rate characteristics of our financial assets and liabilities, changing interest rates have had an adverse effect on our financing spreads—the difference between the yield we earn on our assets and the interest rates we pay for funding—which has affected our earnings. In addition, actions by credit rating agencies, such as downgrades or negative changes to ratings outlooks, can affect the availability and cost of funding for us and can increase our costs of capital and hurt our competitive position.Moreover, policies of the U.S. and other governments regarding banking, monetary, and fiscal policies intended to promote or maintain liquidity, stabilize financial markets, and/or address local deficit or structural economic issues have a material impact on our customers and markets. Our operations and results could also be affected by financial regulatory reform that could, among other things, have an adverse effect on the financial services segment and on our customers by limiting their ability to enter hedging transactions or to finance purchases of our products. Government policies on spending can also affect us, especially the CF segment, due to the impact of government spending on infrastructure development. Our operations, including those outside of the U.S., may also be affected by non-U.S. regulatory reforms being implemented to further regulate non-U.S. financial institutions and markets. Because the financial services segment provides financing for a significant portion of our sales worldwide, negative economic conditions in the financial industry could materially impact our operations and financial results.Negative economic conditions have an adverse effect on the financial industry in which the financial services segment operates. The financial services segment provides financing for a significant portion of our sales worldwide. The financial services segment is vulnerable to customers and others defaulting on contractual obligations, and has experienced, and may continue to experience write-offs and credit losses that, in some cases, exceed our expectations and adversely affect our financial condition and results of operations as a result of elevated delinquencies. The financial services segment’s inability to access funds at cost-effective rates to support our financing activities could have a material adverse effect on our business. The financial services segment’s liquidity and ongoing profitability depend largely on timely access to capital to meet future cash flow requirements and to fund operations and costs associated with engaging in diversified funding activities. The financial services segment may also experience residual value losses that exceed our expectations caused by lower pricing for used equipment and higher-than-expected equipment returns at lease maturity.16 Table of Contents Table of Contents Table of Contents Changes in tax rates, tax legislation, or exposure to additional tax liabilities could have a negative effect on our business.We are subject to income taxes in the U.S. and numerous foreign jurisdictions. Our domestic and international tax liabilities are dependent upon the location of earnings among these different jurisdictions. Tax rates in various jurisdictions may be subject to significant change. Our effective tax rates could be affected by changes in the mix of earnings in countries with differing statutory tax rates, changes in the valuation of deferred tax assets and liabilities, or changes in tax laws or their interpretations. If our effective tax rates were to increase, or if the ultimate determination of taxes owed is for an amount more than amounts previously accrued, our operating results, cash flows, and financial condition could be adversely affected. Our consolidated financial results are reported in U.S. dollars while certain assets and other reported items are denominated in foreign currencies, creating currency exchange and translation risk.We are a global company with transactions denominated in a variety of currencies. We are subject to currency exchange risk to the extent that our costs are denominated in currencies other than those in which we earn our revenues. Additionally, the reporting currency for our consolidated financial statements is the U.S. dollar. Certain of our assets, liabilities, expenses, and revenues are denominated in other countries’ currencies, which are then translated into U.S. dollars at the applicable exchange rates and reported in our consolidated financial statements. Therefore, fluctuations in foreign exchange rates affect the value of those items as reflected in our consolidated financial statements, even if their value remains unchanged in the original currencies. While the use of currency hedging instruments may provide us with some protection from adverse fluctuations in currency exchange rates, by utilizing these instruments we potentially forego any benefits that may result from favorable fluctuations in such rates. In Argentina, we have employed mechanisms to convert Argentine pesos into U.S. dollars to the extent possible. These mechanisms are short-term in nature, leaving us exposed to long-term currency fluctuations.Changes in interest rates or market liquidity conditions, as well as changes in government banking, monetary and fiscal policies, could adversely affect our financials and our earnings and/or cash flows. While central banks began cutting their policy interest rates in the latter part of fiscal year 2024, interest rates remain above recent norms. High interest rates can have a dampening effect on overall economic activity and/or the financial condition of our customers, either or both of which can negatively affect customer demand for our equipment and customers’ ability to repay their obligations to us. While we strive to match the interest rate characteristics of our financial assets and liabilities, changing interest rates have had an adverse effect on our financing spreads—the difference between the yield we earn on our assets and the interest rates we pay for funding—which has affected our earnings. In addition, actions by credit rating agencies, such as downgrades or negative changes to ratings outlooks, can affect the availability and cost of funding for us and can increase our costs of capital and hurt our competitive position.Moreover, policies of the U.S. and other governments regarding banking, monetary, and fiscal policies intended to promote or maintain liquidity, stabilize financial markets, and/or address local deficit or structural economic issues have a material impact on our customers and markets. Our operations and results could also be affected by financial regulatory reform that could, among other things, have an adverse effect on the financial services segment and on our customers by limiting their ability to enter hedging transactions or to finance purchases of our products. Government policies on spending can also affect us, especially the CF segment, due to the impact of government spending on infrastructure development. Our operations, including those outside of the U.S., may also be affected by non-U.S. regulatory reforms being implemented to further regulate non-U.S. financial institutions and markets. Because the financial services segment provides financing for a significant portion of our sales worldwide, negative economic conditions in the financial industry could materially impact our operations and financial results.Negative economic conditions have an adverse effect on the financial industry in which the financial services segment operates. The financial services segment provides financing for a significant portion of our sales worldwide. The financial services segment is vulnerable to customers and others defaulting on contractual obligations, and has experienced, and may continue to experience write-offs and credit losses that, in some cases, exceed our expectations and adversely affect our financial condition and results of operations as a result of elevated delinquencies. The financial services segment’s inability to access funds at cost-effective rates to support our financing activities could have a material adverse effect on our business. The financial services segment’s liquidity and ongoing profitability depend largely on timely access to capital to meet future cash flow requirements and to fund operations and costs associated with engaging in diversified funding activities. The financial services segment may also experience residual value losses that exceed our expectations caused by lower pricing for used equipment and higher-than-expected equipment returns at lease maturity. Changes in tax rates, tax legislation, or exposure to additional tax liabilities could have a negative effect on our business.We are subject to income taxes in the U.S. and numerous foreign jurisdictions. Our domestic and international tax liabilities are dependent upon the location of earnings among these different jurisdictions. Tax rates in various jurisdictions may be subject to significant change. Our effective tax rates could be affected by changes in the mix of earnings in countries with differing statutory tax rates, changes in the valuation of deferred tax assets and liabilities, or changes in tax laws or their interpretations. If our effective tax rates were to increase, or if the ultimate determination of taxes owed is for an amount more than amounts previously accrued, our operating results, cash flows, and financial condition could be adversely affected. Our consolidated financial results are reported in U.S. dollars while certain assets and other reported items are denominated in foreign currencies, creating currency exchange and translation risk.We are a global company with transactions denominated in a variety of currencies. We are subject to currency exchange risk to the extent that our costs are denominated in currencies other than those in which we earn our revenues. Additionally, the reporting currency for our consolidated financial statements is the U.S. dollar. Certain of our assets, liabilities, expenses, and revenues are denominated in other countries’ currencies, which are then translated into U.S. dollars at the applicable exchange rates and reported in our consolidated financial statements. Therefore, fluctuations in foreign exchange rates affect the value of those items as reflected in our consolidated financial statements, even if their value remains unchanged in the original currencies. While the use of currency hedging instruments may provide us with some protection from adverse fluctuations in currency exchange rates, by utilizing these instruments we potentially forego any benefits that may result from favorable fluctuations in such rates. In Argentina, we have employed mechanisms to convert Argentine pesos into U.S. dollars to the extent possible. These mechanisms are short-term in nature, leaving us exposed to long-term currency fluctuations.Changes in interest rates or market liquidity conditions, as well as changes in government banking, monetary and fiscal policies, could adversely affect our financials and our earnings and/or cash flows. While central banks began cutting their policy interest rates in the latter part of fiscal year 2024, interest rates remain above recent norms. High interest rates can have a dampening effect on overall economic activity and/or the financial condition of our customers, either or both of which can negatively affect customer demand for our equipment and customers’ ability to repay their obligations to us. While we strive to match the interest rate characteristics of our financial assets and liabilities, changing interest rates have had an adverse effect on our financing spreads—the difference between the yield we earn on our assets and the interest rates we pay for funding—which has affected our earnings. In addition, actions by credit rating agencies, such as downgrades or negative changes to ratings outlooks, can affect the availability and cost of funding for us and can increase our costs of capital and hurt our competitive position.Moreover, policies of the U.S. and other governments regarding banking, monetary, and fiscal policies intended to promote or maintain liquidity, stabilize financial markets, and/or address local deficit or structural economic issues have a material impact on our customers and markets. Our operations and results could also be affected by financial regulatory reform that could, among other things, have an adverse effect on the financial services segment and on our customers by limiting their ability to enter hedging transactions or to finance purchases of our products. Government policies on spending can also affect us, especially the CF segment, due to the impact of government spending on infrastructure development. Our operations, including those outside of the U.S., may also be affected by non-U.S. regulatory reforms being implemented to further regulate non-U.S. financial institutions and markets. Because the financial services segment provides financing for a significant portion of our sales worldwide, negative economic conditions in the financial industry could materially impact our operations and financial results.Negative economic conditions have an adverse effect on the financial industry in which the financial services segment operates. The financial services segment provides financing for a significant portion of our sales worldwide. The financial services segment is vulnerable to customers and others defaulting on contractual obligations, and has experienced, and may continue to experience write-offs and credit losses that, in some cases, exceed our expectations and adversely affect our financial condition and results of operations as a result of elevated delinquencies. The financial services segment’s inability to access funds at cost-effective rates to support our financing activities could have a material adverse effect on our business. The financial services segment’s liquidity and ongoing profitability depend largely on timely access to capital to meet future cash flow requirements and to fund operations and costs associated with engaging in diversified funding activities. The financial services segment may also experience residual value losses that exceed our expectations caused by lower pricing for used equipment and higher-than-expected equipment returns at lease maturity.",
      "prior_body": "There is global scientific consensus that greenhouse gas (GHG) emissions continue to alter the composition of Earth’s atmosphere in ways that are affecting and are expected to continue to affect the global climate. These considerations have led to new international, national, regional, and local legislative and regulatory responses. Various stakeholders, including legislators and regulators, shareholders, and non-governmental organizations, as well as companies in many business sectors, including us, are continuing to look for ways to reduce GHG emissions. The regulation of GHG emissions from certain stationary or mobile sources or the imposition of carbon pricing mechanisms could result in additional costs to us in the form of taxes or emission allowances, required facilities improvements, and increased energy costs. These results would increase our operating costs through higher utility, transportation, and materials cost and could prevent us from selling products into certain markets. Increased input costs, such as fuel and fertilizer, and compliance-related costs could also affect customer operations and demand for our equipment. Further, our financial services segment is subject to additional international and national European regulations relating to climate and environmental risk, which are continually evolving and could affect the financing operations and climate-risk processes developed by the segment. Regulators in Europe and the U.S. have also focused efforts on increased disclosure related to climate change and mitigation efforts. The EU recently adopted the European Sustainability Reporting Standards (ESRS) and the Corporate Sustainability Reporting Directive (CSRD) that will impose disclosure of the risks and opportunities arising from social and environmental issues, and on the impact of companies’ activities on people and the environment. The CSRD will need to be transposed into Member State law before it becomes effective, which is expected to occur in 2024. Similarly, the State of California recently passed the Climate Corporate Data Accountability Act and the Climate-Related Financial Risk Act that will impose broad climate-related disclosure obligations on certain companies doing business in California, including us, starting in 2026. The SEC has included in its regulatory agenda potential rulemaking on climate change disclosures that, if adopted, could significantly increase compliance burdens and associated regulatory costs and complexity. 18 18 18 Table of ContentsIncreasingly stringent engine emission regulations or bans on internal combustion engines may impact our ability to manufacture and distribute certain engines or equipment, which could negatively affect business results.Our equipment operations must meet increasingly stringent engine emission reduction regulations throughout the world, including the European Union’s Stage V standard, which limits the amount of certain substances in exhaust gases that off-road engines can emit into the environment. Governmental agencies throughout the world are enacting more stringent laws and regulations to reduce off-road engine emissions. These laws and regulations are applicable to engines we manufacture, including those used in agriculture and CF equipment. We have incurred, and continue to incur, substantial research and development costs related to the implementation of these more rigorous laws and regulations. While we have developed and are executing comprehensive plans to meet these requirements, these plans are subject to variables that could delay or otherwise affect our ability to manufacture and distribute certain equipment or engines, which could negatively impact business results. Additionally, in certain locations governments have banned, or may in the future ban, internal combustion engines for some types of products completely. To the extent these bans affect products manufactured and sold by us, our business, results of operations, and financial condition could be negatively affected.FINANCIAL RISKS Changes in government banking, monetary, and fiscal policies could have a negative effect on us.Policies of the U.S. and other governments regarding banking, monetary, and fiscal policies intended to promote or maintain liquidity, stabilize financial markets, and/or address local deficit or structural economic issues could have a material impact on our customers and markets. Central bank policy interest rates continued to increase in fiscal year 2023. Most of our retail receivables are fixed rate, while wholesale financing receivables are variable rate. We have both fixed and variable rate borrowings. Historically, rising interest rates impact our borrowings sooner than the benefit is realized from the financing receivable and equipment on operating lease portfolios. Our operations and results could also be affected by financial regulatory reform that could, among other things, have an adverse effect on the financial services segment and on our customers by limiting their ability to enter hedging transactions or to finance purchases of our products. Government policies on spending can also affect us, especially the CF segment, due to the impact of government spending on infrastructure development. Our operations, including those outside of the U.S., may also be affected by non-U.S. regulatory reforms being implemented to further regulate non-U.S. financial institutions and markets. Changes in tax rates, tax legislation, or exposure to additional tax liabilities could have a negative effect on our business.We are subject to income taxes in the U.S. and numerous foreign jurisdictions. Our domestic and international tax liabilities are dependent upon the location of earnings among these different jurisdictions. Tax rates in various jurisdictions may be subject to significant change. Our effective tax rates could be affected by changes in the mix of earnings in countries with differing statutory tax rates, changes in the valuation of deferred tax assets and liabilities, or changes in tax laws or their interpretations. If our effective tax rates were to increase, or if the ultimate determination of taxes owed is for an amount more than amounts previously accrued, our operating results, cash flows, and financial condition could be adversely affected. Our consolidated financial results are reported in U.S. dollars while certain assets and other reported items are denominated in foreign currencies, creating currency exchange and translation risk.We are a global company with transactions denominated in a variety of currencies. We are subject to currency exchange risk to the extent that our costs are denominated in currencies other than those in which we earn our revenues. Additionally, the reporting currency for our consolidated financial statements is the U.S. dollar. Certain of our assets, liabilities, expenses, and revenues are denominated in other countries’ currencies, which are then translated into U.S. dollars at the applicable exchange rates and reported in our consolidated financial statements. Therefore, fluctuations in foreign exchange rates affect the value of those items as reflected in our consolidated financial statements, even if their value remains unchanged in the original currencies. While the use of currency hedging instruments may provide us with some protection from adverse fluctuations in currency exchange rates, by utilizing these instruments we potentially forego any benefits that may result from favorable fluctuations in such rates. In Argentina, we have employed mechanisms to convert Argentine pesos into U.S. dollars to the extent possible. These mechanisms are short-term in nature, leaving us exposed to long-term currency fluctuations.Changes in interest rates or market liquidity conditions could adversely affect our financials and our earnings and/or cash flows. Central bank policy interest rates continued to increase in fiscal year 2023. Rising interest rates could have a dampening effect on overall economic activity and/or the financial condition of our customers, either or both of which could negatively affect customer demand for our equipment and customers’ ability to repay their obligations to us. Rising interest rates may cause credit market 19 Table of Contents Table of Contents Table of Contents Increasingly stringent engine emission regulations or bans on internal combustion engines may impact our ability to manufacture and distribute certain engines or equipment, which could negatively affect business results.Our equipment operations must meet increasingly stringent engine emission reduction regulations throughout the world, including the European Union’s Stage V standard, which limits the amount of certain substances in exhaust gases that off-road engines can emit into the environment. Governmental agencies throughout the world are enacting more stringent laws and regulations to reduce off-road engine emissions. These laws and regulations are applicable to engines we manufacture, including those used in agriculture and CF equipment. We have incurred, and continue to incur, substantial research and development costs related to the implementation of these more rigorous laws and regulations. While we have developed and are executing comprehensive plans to meet these requirements, these plans are subject to variables that could delay or otherwise affect our ability to manufacture and distribute certain equipment or engines, which could negatively impact business results. Additionally, in certain locations governments have banned, or may in the future ban, internal combustion engines for some types of products completely. To the extent these bans affect products manufactured and sold by us, our business, results of operations, and financial condition could be negatively affected.FINANCIAL RISKS Changes in government banking, monetary, and fiscal policies could have a negative effect on us.Policies of the U.S. and other governments regarding banking, monetary, and fiscal policies intended to promote or maintain liquidity, stabilize financial markets, and/or address local deficit or structural economic issues could have a material impact on our customers and markets. Central bank policy interest rates continued to increase in fiscal year 2023. Most of our retail receivables are fixed rate, while wholesale financing receivables are variable rate. We have both fixed and variable rate borrowings. Historically, rising interest rates impact our borrowings sooner than the benefit is realized from the financing receivable and equipment on operating lease portfolios. Our operations and results could also be affected by financial regulatory reform that could, among other things, have an adverse effect on the financial services segment and on our customers by limiting their ability to enter hedging transactions or to finance purchases of our products. Government policies on spending can also affect us, especially the CF segment, due to the impact of government spending on infrastructure development. Our operations, including those outside of the U.S., may also be affected by non-U.S. regulatory reforms being implemented to further regulate non-U.S. financial institutions and markets. Changes in tax rates, tax legislation, or exposure to additional tax liabilities could have a negative effect on our business.We are subject to income taxes in the U.S. and numerous foreign jurisdictions. Our domestic and international tax liabilities are dependent upon the location of earnings among these different jurisdictions. Tax rates in various jurisdictions may be subject to significant change. Our effective tax rates could be affected by changes in the mix of earnings in countries with differing statutory tax rates, changes in the valuation of deferred tax assets and liabilities, or changes in tax laws or their interpretations. If our effective tax rates were to increase, or if the ultimate determination of taxes owed is for an amount more than amounts previously accrued, our operating results, cash flows, and financial condition could be adversely affected. Our consolidated financial results are reported in U.S. dollars while certain assets and other reported items are denominated in foreign currencies, creating currency exchange and translation risk.We are a global company with transactions denominated in a variety of currencies. We are subject to currency exchange risk to the extent that our costs are denominated in currencies other than those in which we earn our revenues. Additionally, the reporting currency for our consolidated financial statements is the U.S. dollar. Certain of our assets, liabilities, expenses, and revenues are denominated in other countries’ currencies, which are then translated into U.S. dollars at the applicable exchange rates and reported in our consolidated financial statements. Therefore, fluctuations in foreign exchange rates affect the value of those items as reflected in our consolidated financial statements, even if their value remains unchanged in the original currencies. While the use of currency hedging instruments may provide us with some protection from adverse fluctuations in currency exchange rates, by utilizing these instruments we potentially forego any benefits that may result from favorable fluctuations in such rates. In Argentina, we have employed mechanisms to convert Argentine pesos into U.S. dollars to the extent possible. These mechanisms are short-term in nature, leaving us exposed to long-term currency fluctuations.Changes in interest rates or market liquidity conditions could adversely affect our financials and our earnings and/or cash flows. Central bank policy interest rates continued to increase in fiscal year 2023. Rising interest rates could have a dampening effect on overall economic activity and/or the financial condition of our customers, either or both of which could negatively affect customer demand for our equipment and customers’ ability to repay their obligations to us. Rising interest rates may cause credit market"
    },
    {
      "status": "MODIFIED",
      "current_title": "FORWARD-LOOKING STATEMENTS",
      "prior_title": "FORWARD-LOOKING STATEMENTS",
      "similarity_score": 0.733,
      "confidence": "medium",
      "key_changes": [
        "Reworded sentence: \"Among these factors are risks related to: 37 37 37 Table of Contents​●housing starts and supply, real estate and housing prices, levels of public and non-residential construction, and infrastructure investment;●political, economic, and social instability of the geographies in which we operate, including the ongoing war between Russia and Ukraine and the conflict in the Middle East;●worldwide demand for food and different forms of renewable energy impacting the price of farm commodities and consequently the demand for our equipment;●availability and price of raw materials, components, and whole goods;●delays or disruptions in our supply chain;●suppliers’ and manufacturers’ business practices and compliance with applicable laws such as human rights, safety, environmental, and fair wages;●changes in climate patterns, unfavorable weather events, and natural disasters;●loss of or challenges to intellectual property rights; ●rationalization, restructuring, relocation, expansion and/or reconfiguration of manufacturing and warehouse facilities; ●the ability to execute business strategies, including our Smart Industrial Operating Model and Leap Ambitions;●the ability to understand and meet customers’ changing expectations and demand for our products and solutions, including delivery and utilization of precision technology;●accurately forecasting customer demand for products and services and adequately managing inventory;●dealer practices and their ability to manage inventory and distribution of our products and to provide support and service for precision technology solutions;●the ability to realize anticipated benefits of acquisitions and joint ventures, including challenges with successfully integrating operations and internal control processes;●negative claims or publicity that damage our reputation or brand;●the ability to attract, develop, engage, and retain qualified employees;●the impact of workforce reductions on company culture, employee retention and morale, and institutional knowledge;●labor relations and contracts, including work stoppages and other disruptions;●security breaches, cybersecurity attacks, technology failures, and other disruptions to our information technology infrastructure and products; ●leveraging artificial intelligence and machine learning within our business processes; ●changes to governmental communications channels (radio frequency technology);●changes to existing laws and regulations, including the implementation of new, more stringent laws, as well as compliance with a variety of U.S., foreign and international laws, regulations, and policies relating to, but not limited to the following: advertising, anti-bribery and anti-corruption, anti-money laundering, antitrust, consumer finance, cybersecurity, data privacy, encryption, environmental (including climate change and engine emissions), farming, health and safety, foreign exchange controls and cash repatriation restrictions, foreign ownership and investment, human rights, import / export and trade, tariffs, labor and employment, product liability, telematics, and telecommunications; ●governmental and other actions designed to address climate change in connection with a transition to a lower-carbon economy;●investigations, claims, lawsuits, or other legal proceedings; and●warranty claims, post-sales repairs or recalls, product liability litigation, and regulatory investigations as a result of the deficient operation of our products.Further information concerning us and our businesses, including factors that could materially affect our financial results, is included in our other filings with the SEC (including, but not limited to, the factors discussed in Item 1A.\"",
        "Reworded sentence: \"There also may be other factors that we cannot anticipate or that are not described herein because we do not currently perceive them to be material.​​38 Table of Contents​ Table of Contents Table of Contents ​ ●housing starts and supply, real estate and housing prices, levels of public and non-residential construction, and infrastructure investment;●political, economic, and social instability of the geographies in which we operate, including the ongoing war between Russia and Ukraine and the conflict in the Middle East;●worldwide demand for food and different forms of renewable energy impacting the price of farm commodities and consequently the demand for our equipment;●availability and price of raw materials, components, and whole goods;●delays or disruptions in our supply chain;●suppliers’ and manufacturers’ business practices and compliance with applicable laws such as human rights, safety, environmental, and fair wages;●changes in climate patterns, unfavorable weather events, and natural disasters;●loss of or challenges to intellectual property rights; ●rationalization, restructuring, relocation, expansion and/or reconfiguration of manufacturing and warehouse facilities; ●the ability to execute business strategies, including our Smart Industrial Operating Model and Leap Ambitions;●the ability to understand and meet customers’ changing expectations and demand for our products and solutions, including delivery and utilization of precision technology;●accurately forecasting customer demand for products and services and adequately managing inventory;●dealer practices and their ability to manage inventory and distribution of our products and to provide support and service for precision technology solutions;●the ability to realize anticipated benefits of acquisitions and joint ventures, including challenges with successfully integrating operations and internal control processes;●negative claims or publicity that damage our reputation or brand;●the ability to attract, develop, engage, and retain qualified employees;●the impact of workforce reductions on company culture, employee retention and morale, and institutional knowledge;●labor relations and contracts, including work stoppages and other disruptions;●security breaches, cybersecurity attacks, technology failures, and other disruptions to our information technology infrastructure and products; ●leveraging artificial intelligence and machine learning within our business processes; ●changes to governmental communications channels (radio frequency technology);●changes to existing laws and regulations, including the implementation of new, more stringent laws, as well as compliance with a variety of U.S., foreign and international laws, regulations, and policies relating to, but not limited to the following: advertising, anti-bribery and anti-corruption, anti-money laundering, antitrust, consumer finance, cybersecurity, data privacy, encryption, environmental (including climate change and engine emissions), farming, health and safety, foreign exchange controls and cash repatriation restrictions, foreign ownership and investment, human rights, import / export and trade, tariffs, labor and employment, product liability, telematics, and telecommunications; ●governmental and other actions designed to address climate change in connection with a transition to a lower-carbon economy;●investigations, claims, lawsuits, or other legal proceedings; and●warranty claims, post-sales repairs or recalls, product liability litigation, and regulatory investigations as a result of the deficient operation of our products.Further information concerning us and our businesses, including factors that could materially affect our financial results, is included in our other filings with the SEC (including, but not limited to, the factors discussed in Item 1A.\"",
        "Reworded sentence: \"There also may be other factors that we cannot anticipate or that are not described herein because we do not currently perceive them to be material.​​ ●housing starts and supply, real estate and housing prices, levels of public and non-residential construction, and infrastructure investment;●political, economic, and social instability of the geographies in which we operate, including the ongoing war between Russia and Ukraine and the conflict in the Middle East;●worldwide demand for food and different forms of renewable energy impacting the price of farm commodities and consequently the demand for our equipment;●availability and price of raw materials, components, and whole goods;●delays or disruptions in our supply chain;●suppliers’ and manufacturers’ business practices and compliance with applicable laws such as human rights, safety, environmental, and fair wages;●changes in climate patterns, unfavorable weather events, and natural disasters;●loss of or challenges to intellectual property rights; ●rationalization, restructuring, relocation, expansion and/or reconfiguration of manufacturing and warehouse facilities; ●the ability to execute business strategies, including our Smart Industrial Operating Model and Leap Ambitions;●the ability to understand and meet customers’ changing expectations and demand for our products and solutions, including delivery and utilization of precision technology;●accurately forecasting customer demand for products and services and adequately managing inventory;●dealer practices and their ability to manage inventory and distribution of our products and to provide support and service for precision technology solutions;●the ability to realize anticipated benefits of acquisitions and joint ventures, including challenges with successfully integrating operations and internal control processes;●negative claims or publicity that damage our reputation or brand;●the ability to attract, develop, engage, and retain qualified employees;●the impact of workforce reductions on company culture, employee retention and morale, and institutional knowledge;●labor relations and contracts, including work stoppages and other disruptions;●security breaches, cybersecurity attacks, technology failures, and other disruptions to our information technology infrastructure and products; ●leveraging artificial intelligence and machine learning within our business processes; ●changes to governmental communications channels (radio frequency technology);●changes to existing laws and regulations, including the implementation of new, more stringent laws, as well as compliance with a variety of U.S., foreign and international laws, regulations, and policies relating to, but not limited to the following: advertising, anti-bribery and anti-corruption, anti-money laundering, antitrust, consumer finance, cybersecurity, data privacy, encryption, environmental (including climate change and engine emissions), farming, health and safety, foreign exchange controls and cash repatriation restrictions, foreign ownership and investment, human rights, import / export and trade, tariffs, labor and employment, product liability, telematics, and telecommunications; ●governmental and other actions designed to address climate change in connection with a transition to a lower-carbon economy;●investigations, claims, lawsuits, or other legal proceedings; and●warranty claims, post-sales repairs or recalls, product liability litigation, and regulatory investigations as a result of the deficient operation of our products.Further information concerning us and our businesses, including factors that could materially affect our financial results, is included in our other filings with the SEC (including, but not limited to, the factors discussed in Item 1A.\"",
        "Reworded sentence: \"There also may be other factors that we cannot anticipate or that are not described herein because we do not currently perceive them to be material.​​ ●housing starts and supply, real estate and housing prices, levels of public and non-residential construction, and infrastructure investment;●political, economic, and social instability of the geographies in which we operate, including the ongoing war between Russia and Ukraine and the conflict in the Middle East;●worldwide demand for food and different forms of renewable energy impacting the price of farm commodities and consequently the demand for our equipment;●availability and price of raw materials, components, and whole goods;●delays or disruptions in our supply chain;●suppliers’ and manufacturers’ business practices and compliance with applicable laws such as human rights, safety, environmental, and fair wages;●changes in climate patterns, unfavorable weather events, and natural disasters;●loss of or challenges to intellectual property rights; ●rationalization, restructuring, relocation, expansion and/or reconfiguration of manufacturing and warehouse facilities; ●the ability to execute business strategies, including our Smart Industrial Operating Model and Leap Ambitions;●the ability to understand and meet customers’ changing expectations and demand for our products and solutions, including delivery and utilization of precision technology;●accurately forecasting customer demand for products and services and adequately managing inventory;●dealer practices and their ability to manage inventory and distribution of our products and to provide support and service for precision technology solutions;●the ability to realize anticipated benefits of acquisitions and joint ventures, including challenges with successfully integrating operations and internal control processes;●negative claims or publicity that damage our reputation or brand;●the ability to attract, develop, engage, and retain qualified employees;●the impact of workforce reductions on company culture, employee retention and morale, and institutional knowledge;●labor relations and contracts, including work stoppages and other disruptions;●security breaches, cybersecurity attacks, technology failures, and other disruptions to our information technology infrastructure and products; ●leveraging artificial intelligence and machine learning within our business processes; ●changes to governmental communications channels (radio frequency technology);●changes to existing laws and regulations, including the implementation of new, more stringent laws, as well as compliance with a variety of U.S., foreign and international laws, regulations, and policies relating to, but not limited to the following: advertising, anti-bribery and anti-corruption, anti-money laundering, antitrust, consumer finance, cybersecurity, data privacy, encryption, environmental (including climate change and engine emissions), farming, health and safety, foreign exchange controls and cash repatriation restrictions, foreign ownership and investment, human rights, import / export and trade, tariffs, labor and employment, product liability, telematics, and telecommunications; ●governmental and other actions designed to address climate change in connection with a transition to a lower-carbon economy;●investigations, claims, lawsuits, or other legal proceedings; and●warranty claims, post-sales repairs or recalls, product liability litigation, and regulatory investigations as a result of the deficient operation of our products.Further information concerning us and our businesses, including factors that could materially affect our financial results, is included in our other filings with the SEC (including, but not limited to, the factors discussed in Item 1A.\"",
        "Reworded sentence: \"There also may be other factors that we cannot anticipate or that are not described herein because we do not currently perceive them to be material.​​ ●housing starts and supply, real estate and housing prices, levels of public and non-residential construction, and infrastructure investment;●political, economic, and social instability of the geographies in which we operate, including the ongoing war between Russia and Ukraine and the conflict in the Middle East;●worldwide demand for food and different forms of renewable energy impacting the price of farm commodities and consequently the demand for our equipment;●availability and price of raw materials, components, and whole goods;●delays or disruptions in our supply chain;●suppliers’ and manufacturers’ business practices and compliance with applicable laws such as human rights, safety, environmental, and fair wages;●changes in climate patterns, unfavorable weather events, and natural disasters;●loss of or challenges to intellectual property rights; ●rationalization, restructuring, relocation, expansion and/or reconfiguration of manufacturing and warehouse facilities; ●the ability to execute business strategies, including our Smart Industrial Operating Model and Leap Ambitions;●the ability to understand and meet customers’ changing expectations and demand for our products and solutions, including delivery and utilization of precision technology;●accurately forecasting customer demand for products and services and adequately managing inventory;●dealer practices and their ability to manage inventory and distribution of our products and to provide support and service for precision technology solutions;●the ability to realize anticipated benefits of acquisitions and joint ventures, including challenges with successfully integrating operations and internal control processes;●negative claims or publicity that damage our reputation or brand;●the ability to attract, develop, engage, and retain qualified employees;●the impact of workforce reductions on company culture, employee retention and morale, and institutional knowledge;●labor relations and contracts, including work stoppages and other disruptions;●security breaches, cybersecurity attacks, technology failures, and other disruptions to our information technology infrastructure and products; ●leveraging artificial intelligence and machine learning within our business processes; ●changes to governmental communications channels (radio frequency technology);●changes to existing laws and regulations, including the implementation of new, more stringent laws, as well as compliance with a variety of U.S., foreign and international laws, regulations, and policies relating to, but not limited to the following: advertising, anti-bribery and anti-corruption, anti-money laundering, antitrust, consumer finance, cybersecurity, data privacy, encryption, environmental (including climate change and engine emissions), farming, health and safety, foreign exchange controls and cash repatriation restrictions, foreign ownership and investment, human rights, import / export and trade, tariffs, labor and employment, product liability, telematics, and telecommunications; ●governmental and other actions designed to address climate change in connection with a transition to a lower-carbon economy;●investigations, claims, lawsuits, or other legal proceedings; and●warranty claims, post-sales repairs or recalls, product liability litigation, and regulatory investigations as a result of the deficient operation of our products.Further information concerning us and our businesses, including factors that could materially affect our financial results, is included in our other filings with the SEC (including, but not limited to, the factors discussed in Item 1A.\""
      ],
      "current_body": "Certain statements contained herein, including in the section entitled “Overview” relating to future events, expectations, and trends constitute “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995 and involve factors that are subject to change, assumptions, risks, and uncertainties that could cause actual results to differ materially. Some of these risks and uncertainties could affect all lines of our operations generally while others could more heavily affect a particular line of business. Forward-looking statements are based on currently available information and current assumptions, expectations, and projections about future events and should not be relied upon. Except as required by law, we expressly disclaim any obligation to update or revise our forward-looking statements. Many factors, risks, and uncertainties could cause actual results to differ materially from these forward-looking statements. Among these factors are risks related to: 37 37 37 Table of Contents​●housing starts and supply, real estate and housing prices, levels of public and non-residential construction, and infrastructure investment;●political, economic, and social instability of the geographies in which we operate, including the ongoing war between Russia and Ukraine and the conflict in the Middle East;●worldwide demand for food and different forms of renewable energy impacting the price of farm commodities and consequently the demand for our equipment;●availability and price of raw materials, components, and whole goods;●delays or disruptions in our supply chain;●suppliers’ and manufacturers’ business practices and compliance with applicable laws such as human rights, safety, environmental, and fair wages;●changes in climate patterns, unfavorable weather events, and natural disasters;●loss of or challenges to intellectual property rights; ●rationalization, restructuring, relocation, expansion and/or reconfiguration of manufacturing and warehouse facilities; ●the ability to execute business strategies, including our Smart Industrial Operating Model and Leap Ambitions;●the ability to understand and meet customers’ changing expectations and demand for our products and solutions, including delivery and utilization of precision technology;●accurately forecasting customer demand for products and services and adequately managing inventory;●dealer practices and their ability to manage inventory and distribution of our products and to provide support and service for precision technology solutions;●the ability to realize anticipated benefits of acquisitions and joint ventures, including challenges with successfully integrating operations and internal control processes;●negative claims or publicity that damage our reputation or brand;●the ability to attract, develop, engage, and retain qualified employees;●the impact of workforce reductions on company culture, employee retention and morale, and institutional knowledge;●labor relations and contracts, including work stoppages and other disruptions;●security breaches, cybersecurity attacks, technology failures, and other disruptions to our information technology infrastructure and products; ●leveraging artificial intelligence and machine learning within our business processes; ●changes to governmental communications channels (radio frequency technology);●changes to existing laws and regulations, including the implementation of new, more stringent laws, as well as compliance with a variety of U.S., foreign and international laws, regulations, and policies relating to, but not limited to the following: advertising, anti-bribery and anti-corruption, anti-money laundering, antitrust, consumer finance, cybersecurity, data privacy, encryption, environmental (including climate change and engine emissions), farming, health and safety, foreign exchange controls and cash repatriation restrictions, foreign ownership and investment, human rights, import / export and trade, tariffs, labor and employment, product liability, telematics, and telecommunications; ●governmental and other actions designed to address climate change in connection with a transition to a lower-carbon economy;●investigations, claims, lawsuits, or other legal proceedings; and●warranty claims, post-sales repairs or recalls, product liability litigation, and regulatory investigations as a result of the deficient operation of our products.Further information concerning us and our businesses, including factors that could materially affect our financial results, is included in our other filings with the SEC (including, but not limited to, the factors discussed in Item 1A. “Risk Factors” of this Annual Report on Form 10-K). There also may be other factors that we cannot anticipate or that are not described herein because we do not currently perceive them to be material.​​38 Table of Contents​ Table of Contents Table of Contents ​ ●housing starts and supply, real estate and housing prices, levels of public and non-residential construction, and infrastructure investment;●political, economic, and social instability of the geographies in which we operate, including the ongoing war between Russia and Ukraine and the conflict in the Middle East;●worldwide demand for food and different forms of renewable energy impacting the price of farm commodities and consequently the demand for our equipment;●availability and price of raw materials, components, and whole goods;●delays or disruptions in our supply chain;●suppliers’ and manufacturers’ business practices and compliance with applicable laws such as human rights, safety, environmental, and fair wages;●changes in climate patterns, unfavorable weather events, and natural disasters;●loss of or challenges to intellectual property rights; ●rationalization, restructuring, relocation, expansion and/or reconfiguration of manufacturing and warehouse facilities; ●the ability to execute business strategies, including our Smart Industrial Operating Model and Leap Ambitions;●the ability to understand and meet customers’ changing expectations and demand for our products and solutions, including delivery and utilization of precision technology;●accurately forecasting customer demand for products and services and adequately managing inventory;●dealer practices and their ability to manage inventory and distribution of our products and to provide support and service for precision technology solutions;●the ability to realize anticipated benefits of acquisitions and joint ventures, including challenges with successfully integrating operations and internal control processes;●negative claims or publicity that damage our reputation or brand;●the ability to attract, develop, engage, and retain qualified employees;●the impact of workforce reductions on company culture, employee retention and morale, and institutional knowledge;●labor relations and contracts, including work stoppages and other disruptions;●security breaches, cybersecurity attacks, technology failures, and other disruptions to our information technology infrastructure and products; ●leveraging artificial intelligence and machine learning within our business processes; ●changes to governmental communications channels (radio frequency technology);●changes to existing laws and regulations, including the implementation of new, more stringent laws, as well as compliance with a variety of U.S., foreign and international laws, regulations, and policies relating to, but not limited to the following: advertising, anti-bribery and anti-corruption, anti-money laundering, antitrust, consumer finance, cybersecurity, data privacy, encryption, environmental (including climate change and engine emissions), farming, health and safety, foreign exchange controls and cash repatriation restrictions, foreign ownership and investment, human rights, import / export and trade, tariffs, labor and employment, product liability, telematics, and telecommunications; ●governmental and other actions designed to address climate change in connection with a transition to a lower-carbon economy;●investigations, claims, lawsuits, or other legal proceedings; and●warranty claims, post-sales repairs or recalls, product liability litigation, and regulatory investigations as a result of the deficient operation of our products.Further information concerning us and our businesses, including factors that could materially affect our financial results, is included in our other filings with the SEC (including, but not limited to, the factors discussed in Item 1A. “Risk Factors” of this Annual Report on Form 10-K). There also may be other factors that we cannot anticipate or that are not described herein because we do not currently perceive them to be material.​​ ●housing starts and supply, real estate and housing prices, levels of public and non-residential construction, and infrastructure investment;●political, economic, and social instability of the geographies in which we operate, including the ongoing war between Russia and Ukraine and the conflict in the Middle East;●worldwide demand for food and different forms of renewable energy impacting the price of farm commodities and consequently the demand for our equipment;●availability and price of raw materials, components, and whole goods;●delays or disruptions in our supply chain;●suppliers’ and manufacturers’ business practices and compliance with applicable laws such as human rights, safety, environmental, and fair wages;●changes in climate patterns, unfavorable weather events, and natural disasters;●loss of or challenges to intellectual property rights; ●rationalization, restructuring, relocation, expansion and/or reconfiguration of manufacturing and warehouse facilities; ●the ability to execute business strategies, including our Smart Industrial Operating Model and Leap Ambitions;●the ability to understand and meet customers’ changing expectations and demand for our products and solutions, including delivery and utilization of precision technology;●accurately forecasting customer demand for products and services and adequately managing inventory;●dealer practices and their ability to manage inventory and distribution of our products and to provide support and service for precision technology solutions;●the ability to realize anticipated benefits of acquisitions and joint ventures, including challenges with successfully integrating operations and internal control processes;●negative claims or publicity that damage our reputation or brand;●the ability to attract, develop, engage, and retain qualified employees;●the impact of workforce reductions on company culture, employee retention and morale, and institutional knowledge;●labor relations and contracts, including work stoppages and other disruptions;●security breaches, cybersecurity attacks, technology failures, and other disruptions to our information technology infrastructure and products; ●leveraging artificial intelligence and machine learning within our business processes; ●changes to governmental communications channels (radio frequency technology);●changes to existing laws and regulations, including the implementation of new, more stringent laws, as well as compliance with a variety of U.S., foreign and international laws, regulations, and policies relating to, but not limited to the following: advertising, anti-bribery and anti-corruption, anti-money laundering, antitrust, consumer finance, cybersecurity, data privacy, encryption, environmental (including climate change and engine emissions), farming, health and safety, foreign exchange controls and cash repatriation restrictions, foreign ownership and investment, human rights, import / export and trade, tariffs, labor and employment, product liability, telematics, and telecommunications; ●governmental and other actions designed to address climate change in connection with a transition to a lower-carbon economy;●investigations, claims, lawsuits, or other legal proceedings; and●warranty claims, post-sales repairs or recalls, product liability litigation, and regulatory investigations as a result of the deficient operation of our products.Further information concerning us and our businesses, including factors that could materially affect our financial results, is included in our other filings with the SEC (including, but not limited to, the factors discussed in Item 1A. “Risk Factors” of this Annual Report on Form 10-K). There also may be other factors that we cannot anticipate or that are not described herein because we do not currently perceive them to be material.​​ ●housing starts and supply, real estate and housing prices, levels of public and non-residential construction, and infrastructure investment;●political, economic, and social instability of the geographies in which we operate, including the ongoing war between Russia and Ukraine and the conflict in the Middle East;●worldwide demand for food and different forms of renewable energy impacting the price of farm commodities and consequently the demand for our equipment;●availability and price of raw materials, components, and whole goods;●delays or disruptions in our supply chain;●suppliers’ and manufacturers’ business practices and compliance with applicable laws such as human rights, safety, environmental, and fair wages;●changes in climate patterns, unfavorable weather events, and natural disasters;●loss of or challenges to intellectual property rights; ●rationalization, restructuring, relocation, expansion and/or reconfiguration of manufacturing and warehouse facilities; ●the ability to execute business strategies, including our Smart Industrial Operating Model and Leap Ambitions;●the ability to understand and meet customers’ changing expectations and demand for our products and solutions, including delivery and utilization of precision technology;●accurately forecasting customer demand for products and services and adequately managing inventory;●dealer practices and their ability to manage inventory and distribution of our products and to provide support and service for precision technology solutions;●the ability to realize anticipated benefits of acquisitions and joint ventures, including challenges with successfully integrating operations and internal control processes;●negative claims or publicity that damage our reputation or brand;●the ability to attract, develop, engage, and retain qualified employees;●the impact of workforce reductions on company culture, employee retention and morale, and institutional knowledge;●labor relations and contracts, including work stoppages and other disruptions;●security breaches, cybersecurity attacks, technology failures, and other disruptions to our information technology infrastructure and products; ●leveraging artificial intelligence and machine learning within our business processes; ●changes to governmental communications channels (radio frequency technology);●changes to existing laws and regulations, including the implementation of new, more stringent laws, as well as compliance with a variety of U.S., foreign and international laws, regulations, and policies relating to, but not limited to the following: advertising, anti-bribery and anti-corruption, anti-money laundering, antitrust, consumer finance, cybersecurity, data privacy, encryption, environmental (including climate change and engine emissions), farming, health and safety, foreign exchange controls and cash repatriation restrictions, foreign ownership and investment, human rights, import / export and trade, tariffs, labor and employment, product liability, telematics, and telecommunications; ●governmental and other actions designed to address climate change in connection with a transition to a lower-carbon economy;●investigations, claims, lawsuits, or other legal proceedings; and●warranty claims, post-sales repairs or recalls, product liability litigation, and regulatory investigations as a result of the deficient operation of our products.Further information concerning us and our businesses, including factors that could materially affect our financial results, is included in our other filings with the SEC (including, but not limited to, the factors discussed in Item 1A. “Risk Factors” of this Annual Report on Form 10-K). There also may be other factors that we cannot anticipate or that are not described herein because we do not currently perceive them to be material.​​ ●housing starts and supply, real estate and housing prices, levels of public and non-residential construction, and infrastructure investment;●political, economic, and social instability of the geographies in which we operate, including the ongoing war between Russia and Ukraine and the conflict in the Middle East;●worldwide demand for food and different forms of renewable energy impacting the price of farm commodities and consequently the demand for our equipment;●availability and price of raw materials, components, and whole goods;●delays or disruptions in our supply chain;●suppliers’ and manufacturers’ business practices and compliance with applicable laws such as human rights, safety, environmental, and fair wages;●changes in climate patterns, unfavorable weather events, and natural disasters;●loss of or challenges to intellectual property rights; ●rationalization, restructuring, relocation, expansion and/or reconfiguration of manufacturing and warehouse facilities; ●the ability to execute business strategies, including our Smart Industrial Operating Model and Leap Ambitions;●the ability to understand and meet customers’ changing expectations and demand for our products and solutions, including delivery and utilization of precision technology;●accurately forecasting customer demand for products and services and adequately managing inventory;●dealer practices and their ability to manage inventory and distribution of our products and to provide support and service for precision technology solutions;●the ability to realize anticipated benefits of acquisitions and joint ventures, including challenges with successfully integrating operations and internal control processes;●negative claims or publicity that damage our reputation or brand;●the ability to attract, develop, engage, and retain qualified employees;●the impact of workforce reductions on company culture, employee retention and morale, and institutional knowledge;●labor relations and contracts, including work stoppages and other disruptions;●security breaches, cybersecurity attacks, technology failures, and other disruptions to our information technology infrastructure and products; ●leveraging artificial intelligence and machine learning within our business processes; ●changes to governmental communications channels (radio frequency technology);●changes to existing laws and regulations, including the implementation of new, more stringent laws, as well as compliance with a variety of U.S., foreign and international laws, regulations, and policies relating to, but not limited to the following: advertising, anti-bribery and anti-corruption, anti-money laundering, antitrust, consumer finance, cybersecurity, data privacy, encryption, environmental (including climate change and engine emissions), farming, health and safety, foreign exchange controls and cash repatriation restrictions, foreign ownership and investment, human rights, import / export and trade, tariffs, labor and employment, product liability, telematics, and telecommunications; ●governmental and other actions designed to address climate change in connection with a transition to a lower-carbon economy;●investigations, claims, lawsuits, or other legal proceedings; and●warranty claims, post-sales repairs or recalls, product liability litigation, and regulatory investigations as a result of the deficient operation of our products.Further information concerning us and our businesses, including factors that could materially affect our financial results, is included in our other filings with the SEC (including, but not limited to, the factors discussed in Item 1A. “Risk Factors” of this Annual Report on Form 10-K). There also may be other factors that we cannot anticipate or that are not described herein because we do not currently perceive them to be material.​​ Further information concerning us and our businesses, including factors that could materially affect our financial results, is included in our other filings with the SEC (including, but not limited to, the factors discussed in Item 1A. “Risk Factors” of this Annual Report on Form 10-K). There also may be other factors that we cannot anticipate or that are not described herein because we do not currently perceive them to be material. ​ ​ 38 38 38 Table of Contents​SUPPLEMENTAL CONSOLIDATING DATAThe supplemental consolidating data presented on the subsequent pages is presented for informational purposes. Equipment operations represent the enterprise without financial services. Equipment operations include production and precision agriculture operations, small agriculture and turf operations, construction and forestry operations, and other corporate assets, liabilities, revenues, and expenses not reflected within financial services. Transactions between the equipment operations and financial services have been eliminated to arrive at the consolidated financial statements.Equipment operations and financial services participate in different industries. Equipment operations primarily generate earnings and cash flows by manufacturing and selling equipment, service parts, and technology solutions to dealers and retail customers. Financial services finance sales and leases by dealers of new and used equipment that is largely manufactured by equipment operations. Those earnings and cash flows generally are the difference between the finance income received from customer payments less interest expense, and depreciation on equipment subject to an operating lease. The two businesses are capitalized differently and have separate performance metrics. The supplemental consolidating data is also used by management due to these differences.​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​INCOME STATEMENTS​​​For the Years Ended October 27, 2024, October 29, 2023, and October 30, 2022​​​Unaudited​​​​​EQUIPMENT​FINANCIAL ​​​​​​​​​OPERATIONS​SERVICES​ELIMINATIONS​CONSOLIDATED​​​​​2024​2023​2022​2024​2023​2022​2024​2023​2022​2024​2023​2022​​​Net Sales and Revenues​​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​​​​Net sales​$ 44,759​$ 55,565​$ 47,917​​​​​​​​​​​​​​​​​​​$ 44,759​$ 55,565​$ 47,917​​​Finance and interest income​​ 596​​ 636​​ 213​$ 6,035​$ 5,055​$ 3,583​$ (872)​$ (1,008)​$ (431)​​ 5,759​​ 4,683​​ 3,365​ 1​​Other income​​ 1,006​​ 858​​ 1,261​​ 458​​ 499​​ 502​​ (266)​​ (354)​​ (468)​​ 1,198​​ 1,003​​ 1,295​2, 3, 4​​Total​​ 46,361​​ 57,059​​ 49,391​​ 6,493​​ 5,554​​ 4,085​​ (1,138)​​ (1,362)​​ (899)​​ 51,716​​ 61,251​​ 52,577​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Costs and Expenses​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Cost of sales​​ 30,803​​ 37,739​​ 35,341​​ ​​​​​​​​​ (28)​​ (24)​​ (3)​​ 30,775​​ 37,715​​ 35,338​ 4​​Research and development expenses​​ 2,290​​ 2,177​​ 1,912​​ ​​​​​​​​​ ​​​ ​​​​​​ 2,290​​ 2,177​​ 1,912​​​Selling, administrative and general expenses​​ 3,791​​ 3,611​​ 3,137​​ 1,059​​ 994​​ 735​​ (10)​​ (10)​​ (9)​​ 4,840​​ 4,595​​ 3,863​ 4​​Interest expense​​ 396​​ 411​​ 390​​ 3,182​​ 2,362​​ 799​​ (230)​​ (320)​​ (127)​​ 3,348​​ 2,453​​ 1,062​ 1​​Interest compensation to Financial Services​​ 640​​ 687​​ 299​​ ​​​ ​​​​​​ (640)​​ (687)​​ (299)​​ ​​​ ​​​ ​​ 1​​Other operating expenses​​ 133​​ 217​​ 350​​ 1,354​​ 1,396​​ 1,386​​ (230)​​ (321)​​ (461)​​ 1,257​​ 1,292​​ 1,275​3, 4, 5​​Total​​ 38,053​​ 44,842​​ 41,429​​ 5,595​​ 4,752​​ 2,920​​ (1,138)​​ (1,362)​​ (899)​​ 42,510​​ 48,232​​ 43,450​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Income before Income Taxes​​ 8,308​​ 12,217​​ 7,962​​ 898​​ 802​​ 1,165​​ ​​​ ​​​ ​​​ 9,206​​ 13,019​​ 9,127​​​Provision for income taxes​​ 1,887​​ 2,685​​ 1,718​​ 207​​ 186​​ 289​​ ​​​​​​​​​ 2,094​​ 2,871​​ 2,007​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Income after Income Taxes​​ 6,421​​ 9,532​​ 6,244​​ 691​​ 616​​ 876​​ ​​​ ​​​ ​​​ 7,112​​ 10,148​​ 7,120​​​Equity in income (loss) of unconsolidated affiliates​​ (29)​​ 4​​ 6​​ 5​​ 3​​ 4​​ ​​​​​​​​​ (24)​​ 7​​ 10​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Net Income​​ 6,392​ ​ 9,536​​ 6,250​​ 696​​ 619​​ 880​​ ​​​ ​​​ ​​​ 7,088​​ 10,155​​ 7,130​​​Less: Net loss attributable to noncontrolling interests​​ (12)​​ (11)​​ (1)​​ ​​​​​​​​​ ​​​​​​​​​ (12)​​ (11)​​ (1)​​​Net Income Attributable to Deere & Company​$ 6,404​$ 9,547​$ 6,251​$ 696​$ 619​$ 880​​ ​​​ ​​​ ​​$ 7,100​$ 10,166​$ 7,131​​​​​1 Elimination of intercompany interest income and expense. 2 Elimination of equipment operations’ margin from inventory transferred to equipment on operating leases (see Note 6).3 Elimination of income and expenses between equipment operations and financial services related to intercompany guarantees of investments in certain international markets.4 Elimination of intercompany service revenues and fees.5 Elimination of financial services’ lease depreciation expense related to inventory transferred to equipment on operating leases.​39 Table of Contents Table of Contents Table of Contents ​SUPPLEMENTAL CONSOLIDATING DATAThe supplemental consolidating data presented on the subsequent pages is presented for informational purposes. Equipment operations represent the enterprise without financial services. Equipment operations include production and precision agriculture operations, small agriculture and turf operations, construction and forestry operations, and other corporate assets, liabilities, revenues, and expenses not reflected within financial services. Transactions between the equipment operations and financial services have been eliminated to arrive at the consolidated financial statements.Equipment operations and financial services participate in different industries. Equipment operations primarily generate earnings and cash flows by manufacturing and selling equipment, service parts, and technology solutions to dealers and retail customers. Financial services finance sales and leases by dealers of new and used equipment that is largely manufactured by equipment operations. Those earnings and cash flows generally are the difference between the finance income received from customer payments less interest expense, and depreciation on equipment subject to an operating lease. The two businesses are capitalized differently and have separate performance metrics. The supplemental consolidating data is also used by management due to these differences.​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​INCOME STATEMENTS​​​For the Years Ended October 27, 2024, October 29, 2023, and October 30, 2022​​​Unaudited​​​​​EQUIPMENT​FINANCIAL ​​​​​​​​​OPERATIONS​SERVICES​ELIMINATIONS​CONSOLIDATED​​​​​2024​2023​2022​2024​2023​2022​2024​2023​2022​2024​2023​2022​​​Net Sales and Revenues​​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​​​​Net sales​$ 44,759​$ 55,565​$ 47,917​​​​​​​​​​​​​​​​​​​$ 44,759​$ 55,565​$ 47,917​​​Finance and interest income​​ 596​​ 636​​ 213​$ 6,035​$ 5,055​$ 3,583​$ (872)​$ (1,008)​$ (431)​​ 5,759​​ 4,683​​ 3,365​ 1​​Other income​​ 1,006​​ 858​​ 1,261​​ 458​​ 499​​ 502​​ (266)​​ (354)​​ (468)​​ 1,198​​ 1,003​​ 1,295​2, 3, 4​​Total​​ 46,361​​ 57,059​​ 49,391​​ 6,493​​ 5,554​​ 4,085​​ (1,138)​​ (1,362)​​ (899)​​ 51,716​​ 61,251​​ 52,577​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Costs and Expenses​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Cost of sales​​ 30,803​​ 37,739​​ 35,341​​ ​​​​​​​​​ (28)​​ (24)​​ (3)​​ 30,775​​ 37,715​​ 35,338​ 4​​Research and development expenses​​ 2,290​​ 2,177​​ 1,912​​ ​​​​​​​​​ ​​​ ​​​​​​ 2,290​​ 2,177​​ 1,912​​​Selling, administrative and general expenses​​ 3,791​​ 3,611​​ 3,137​​ 1,059​​ 994​​ 735​​ (10)​​ (10)​​ (9)​​ 4,840​​ 4,595​​ 3,863​ 4​​Interest expense​​ 396​​ 411​​ 390​​ 3,182​​ 2,362​​ 799​​ (230)​​ (320)​​ (127)​​ 3,348​​ 2,453​​ 1,062​ 1​​Interest compensation to Financial Services​​ 640​​ 687​​ 299​​ ​​​ ​​​​​​ (640)​​ (687)​​ (299)​​ ​​​ ​​​ ​​ 1​​Other operating expenses​​ 133​​ 217​​ 350​​ 1,354​​ 1,396​​ 1,386​​ (230)​​ (321)​​ (461)​​ 1,257​​ 1,292​​ 1,275​3, 4, 5​​Total​​ 38,053​​ 44,842​​ 41,429​​ 5,595​​ 4,752​​ 2,920​​ (1,138)​​ (1,362)​​ (899)​​ 42,510​​ 48,232​​ 43,450​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Income before Income Taxes​​ 8,308​​ 12,217​​ 7,962​​ 898​​ 802​​ 1,165​​ ​​​ ​​​ ​​​ 9,206​​ 13,019​​ 9,127​​​Provision for income taxes​​ 1,887​​ 2,685​​ 1,718​​ 207​​ 186​​ 289​​ ​​​​​​​​​ 2,094​​ 2,871​​ 2,007​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Income after Income Taxes​​ 6,421​​ 9,532​​ 6,244​​ 691​​ 616​​ 876​​ ​​​ ​​​ ​​​ 7,112​​ 10,148​​ 7,120​​​Equity in income (loss) of unconsolidated affiliates​​ (29)​​ 4​​ 6​​ 5​​ 3​​ 4​​ ​​​​​​​​​ (24)​​ 7​​ 10​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Net Income​​ 6,392​ ​ 9,536​​ 6,250​​ 696​​ 619​​ 880​​ ​​​ ​​​ ​​​ 7,088​​ 10,155​​ 7,130​​​Less: Net loss attributable to noncontrolling interests​​ (12)​​ (11)​​ (1)​​ ​​​​​​​​​ ​​​​​​​​​ (12)​​ (11)​​ (1)​​​Net Income Attributable to Deere & Company​$ 6,404​$ 9,547​$ 6,251​$ 696​$ 619​$ 880​​ ​​​ ​​​ ​​$ 7,100​$ 10,166​$ 7,131​​​​​1 Elimination of intercompany interest income and expense. 2 Elimination of equipment operations’ margin from inventory transferred to equipment on operating leases (see Note 6).3 Elimination of income and expenses between equipment operations and financial services related to intercompany guarantees of investments in certain international markets.4 Elimination of intercompany service revenues and fees.5 Elimination of financial services’ lease depreciation expense related to inventory transferred to equipment on operating leases.​ ​SUPPLEMENTAL CONSOLIDATING DATAThe supplemental consolidating data presented on the subsequent pages is presented for informational purposes. Equipment operations represent the enterprise without financial services. Equipment operations include production and precision agriculture operations, small agriculture and turf operations, construction and forestry operations, and other corporate assets, liabilities, revenues, and expenses not reflected within financial services. Transactions between the equipment operations and financial services have been eliminated to arrive at the consolidated financial statements.Equipment operations and financial services participate in different industries. Equipment operations primarily generate earnings and cash flows by manufacturing and selling equipment, service parts, and technology solutions to dealers and retail customers. Financial services finance sales and leases by dealers of new and used equipment that is largely manufactured by equipment operations. Those earnings and cash flows generally are the difference between the finance income received from customer payments less interest expense, and depreciation on equipment subject to an operating lease. The two businesses are capitalized differently and have separate performance metrics. The supplemental consolidating data is also used by management due to these differences.​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​INCOME STATEMENTS​​​For the Years Ended October 27, 2024, October 29, 2023, and October 30, 2022​​​Unaudited​​​​​EQUIPMENT​FINANCIAL ​​​​​​​​​OPERATIONS​SERVICES​ELIMINATIONS​CONSOLIDATED​​​​​2024​2023​2022​2024​2023​2022​2024​2023​2022​2024​2023​2022​​​Net Sales and Revenues​​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​​​​Net sales​$ 44,759​$ 55,565​$ 47,917​​​​​​​​​​​​​​​​​​​$ 44,759​$ 55,565​$ 47,917​​​Finance and interest income​​ 596​​ 636​​ 213​$ 6,035​$ 5,055​$ 3,583​$ (872)​$ (1,008)​$ (431)​​ 5,759​​ 4,683​​ 3,365​ 1​​Other income​​ 1,006​​ 858​​ 1,261​​ 458​​ 499​​ 502​​ (266)​​ (354)​​ (468)​​ 1,198​​ 1,003​​ 1,295​2, 3, 4​​Total​​ 46,361​​ 57,059​​ 49,391​​ 6,493​​ 5,554​​ 4,085​​ (1,138)​​ (1,362)​​ (899)​​ 51,716​​ 61,251​​ 52,577​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Costs and Expenses​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Cost of sales​​ 30,803​​ 37,739​​ 35,341​​ ​​​​​​​​​ (28)​​ (24)​​ (3)​​ 30,775​​ 37,715​​ 35,338​ 4​​Research and development expenses​​ 2,290​​ 2,177​​ 1,912​​ ​​​​​​​​​ ​​​ ​​​​​​ 2,290​​ 2,177​​ 1,912​​​Selling, administrative and general expenses​​ 3,791​​ 3,611​​ 3,137​​ 1,059​​ 994​​ 735​​ (10)​​ (10)​​ (9)​​ 4,840​​ 4,595​​ 3,863​ 4​​Interest expense​​ 396​​ 411​​ 390​​ 3,182​​ 2,362​​ 799​​ (230)​​ (320)​​ (127)​​ 3,348​​ 2,453​​ 1,062​ 1​​Interest compensation to Financial Services​​ 640​​ 687​​ 299​​ ​​​ ​​​​​​ (640)​​ (687)​​ (299)​​ ​​​ ​​​ ​​ 1​​Other operating expenses​​ 133​​ 217​​ 350​​ 1,354​​ 1,396​​ 1,386​​ (230)​​ (321)​​ (461)​​ 1,257​​ 1,292​​ 1,275​3, 4, 5​​Total​​ 38,053​​ 44,842​​ 41,429​​ 5,595​​ 4,752​​ 2,920​​ (1,138)​​ (1,362)​​ (899)​​ 42,510​​ 48,232​​ 43,450​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Income before Income Taxes​​ 8,308​​ 12,217​​ 7,962​​ 898​​ 802​​ 1,165​​ ​​​ ​​​ ​​​ 9,206​​ 13,019​​ 9,127​​​Provision for income taxes​​ 1,887​​ 2,685​​ 1,718​​ 207​​ 186​​ 289​​ ​​​​​​​​​ 2,094​​ 2,871​​ 2,007​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Income after Income Taxes​​ 6,421​​ 9,532​​ 6,244​​ 691​​ 616​​ 876​​ ​​​ ​​​ ​​​ 7,112​​ 10,148​​ 7,120​​​Equity in income (loss) of unconsolidated affiliates​​ (29)​​ 4​​ 6​​ 5​​ 3​​ 4​​ ​​​​​​​​​ (24)​​ 7​​ 10​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Net Income​​ 6,392​ ​ 9,536​​ 6,250​​ 696​​ 619​​ 880​​ ​​​ ​​​ ​​​ 7,088​​ 10,155​​ 7,130​​​Less: Net loss attributable to noncontrolling interests​​ (12)​​ (11)​​ (1)​​ ​​​​​​​​​ ​​​​​​​​​ (12)​​ (11)​​ (1)​​​Net Income Attributable to Deere & Company​$ 6,404​$ 9,547​$ 6,251​$ 696​$ 619​$ 880​​ ​​​ ​​​ ​​$ 7,100​$ 10,166​$ 7,131​​​​​1 Elimination of intercompany interest income and expense. 2 Elimination of equipment operations’ margin from inventory transferred to equipment on operating leases (see Note 6).3 Elimination of income and expenses between equipment operations and financial services related to intercompany guarantees of investments in certain international markets.4 Elimination of intercompany service revenues and fees.5 Elimination of financial services’ lease depreciation expense related to inventory transferred to equipment on operating leases.​ ​",
      "prior_body": "Certain statements contained herein, including in the section entitled “Overview” relating to future events, expectations, and trends constitute “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995 and involve factors that are subject to change, assumptions, risks, and uncertainties that could cause actual results to differ materially. Some of these risks and uncertainties could affect all lines of our operations generally while others could more heavily affect a particular line of business. Forward-looking statements are based on currently available information and current assumptions, expectations, and projections about future events and should not be relied upon. Except as required by law, we expressly disclaim any obligation to update or revise our forward-looking statements. Many factors, risks, and uncertainties could cause actual results to differ materially from these forward-looking statements. Among these factors are risks related to: 37 37 37 Table of Contents​●growth and sustainability of non-food uses for crops (including ethanol and biodiesel production);●the ability to execute business strategies, including our Smart Industrial Operating Model, Leap Ambitions, and mergers and acquisitions;●the ability to understand and meet customers’ changing expectations and demand for our products and solutions;●accurately forecasting customer demand for products and services and adequately managing inventory;●our ability to integrate new technology, including automation and machine learning, and deliver precision technology and solutions to customers;●changes to governmental communications channels (radio frequency technology);●our ability to adapt in highly competitive markets;●dealer practices and their ability to manage distribution of our products and support and service precision technology solutions;●changes in climate patterns, unfavorable weather events, and natural disasters;●governmental and other actions designed to address climate change in connection with a transition to a lower-carbon economy;●higher interest rates and currency fluctuations which could adversely affect the U.S. dollar, customer confidence, access to capital, and demand for our products and solutions;●stress in the banking sector may have adverse impacts on vendors or customers as well as on our ability to access cash deposits;●availability and price of raw materials, components, and whole goods;●delays or disruptions in our supply chain;●labor relations and contracts, including work stoppages and other disruptions;●the ability to attract, develop, engage, and retain qualified personnel;●security breaches, cybersecurity attacks, technology failures, and other disruptions to our information technology infrastructure and products; ●loss of or challenges to intellectual property rights; ●compliance with evolving U.S. and foreign laws, including economic sanctions, data privacy, and environmental laws and regulations;●legislation introduced or enacted that could affect our business model and intellectual property, such as so-called right to repair or right to modify legislation;●investigations, claims, lawsuits, or other legal proceedings;●events that damage our reputation or brand;●world grain stocks, available farm acres, soil conditions, harvest yields, prices for commodities and livestock, input costs, and availability of transport for crops; and●housing starts and supply, real estate and housing prices, levels of public and non-residential construction, and infrastructure investment.Further information concerning our businesses, including factors that could materially affect our financial results, is included in our filings with the SEC (including, but not limited to, the factors discussed in Item 1A. “Risk Factors” of this Annual Report on Form 10-K). There also may be other factors that we cannot anticipate or that are not described herein because we do not currently perceive them to be material.​38 Table of Contents​ Table of Contents Table of Contents ​ ●growth and sustainability of non-food uses for crops (including ethanol and biodiesel production);●the ability to execute business strategies, including our Smart Industrial Operating Model, Leap Ambitions, and mergers and acquisitions;●the ability to understand and meet customers’ changing expectations and demand for our products and solutions;●accurately forecasting customer demand for products and services and adequately managing inventory;●our ability to integrate new technology, including automation and machine learning, and deliver precision technology and solutions to customers;●changes to governmental communications channels (radio frequency technology);●our ability to adapt in highly competitive markets;●dealer practices and their ability to manage distribution of our products and support and service precision technology solutions;●changes in climate patterns, unfavorable weather events, and natural disasters;●governmental and other actions designed to address climate change in connection with a transition to a lower-carbon economy;●higher interest rates and currency fluctuations which could adversely affect the U.S. dollar, customer confidence, access to capital, and demand for our products and solutions;●stress in the banking sector may have adverse impacts on vendors or customers as well as on our ability to access cash deposits;●availability and price of raw materials, components, and whole goods;●delays or disruptions in our supply chain;●labor relations and contracts, including work stoppages and other disruptions;●the ability to attract, develop, engage, and retain qualified personnel;●security breaches, cybersecurity attacks, technology failures, and other disruptions to our information technology infrastructure and products; ●loss of or challenges to intellectual property rights; ●compliance with evolving U.S. and foreign laws, including economic sanctions, data privacy, and environmental laws and regulations;●legislation introduced or enacted that could affect our business model and intellectual property, such as so-called right to repair or right to modify legislation;●investigations, claims, lawsuits, or other legal proceedings;●events that damage our reputation or brand;●world grain stocks, available farm acres, soil conditions, harvest yields, prices for commodities and livestock, input costs, and availability of transport for crops; and●housing starts and supply, real estate and housing prices, levels of public and non-residential construction, and infrastructure investment.Further information concerning our businesses, including factors that could materially affect our financial results, is included in our filings with the SEC (including, but not limited to, the factors discussed in Item 1A. “Risk Factors” of this Annual Report on Form 10-K). There also may be other factors that we cannot anticipate or that are not described herein because we do not currently perceive them to be material.​ ●growth and sustainability of non-food uses for crops (including ethanol and biodiesel production);●the ability to execute business strategies, including our Smart Industrial Operating Model, Leap Ambitions, and mergers and acquisitions;●the ability to understand and meet customers’ changing expectations and demand for our products and solutions;●accurately forecasting customer demand for products and services and adequately managing inventory;●our ability to integrate new technology, including automation and machine learning, and deliver precision technology and solutions to customers;●changes to governmental communications channels (radio frequency technology);●our ability to adapt in highly competitive markets;●dealer practices and their ability to manage distribution of our products and support and service precision technology solutions;●changes in climate patterns, unfavorable weather events, and natural disasters;●governmental and other actions designed to address climate change in connection with a transition to a lower-carbon economy;●higher interest rates and currency fluctuations which could adversely affect the U.S. dollar, customer confidence, access to capital, and demand for our products and solutions;●stress in the banking sector may have adverse impacts on vendors or customers as well as on our ability to access cash deposits;●availability and price of raw materials, components, and whole goods;●delays or disruptions in our supply chain;●labor relations and contracts, including work stoppages and other disruptions;●the ability to attract, develop, engage, and retain qualified personnel;●security breaches, cybersecurity attacks, technology failures, and other disruptions to our information technology infrastructure and products; ●loss of or challenges to intellectual property rights; ●compliance with evolving U.S. and foreign laws, including economic sanctions, data privacy, and environmental laws and regulations;●legislation introduced or enacted that could affect our business model and intellectual property, such as so-called right to repair or right to modify legislation;●investigations, claims, lawsuits, or other legal proceedings;●events that damage our reputation or brand;●world grain stocks, available farm acres, soil conditions, harvest yields, prices for commodities and livestock, input costs, and availability of transport for crops; and●housing starts and supply, real estate and housing prices, levels of public and non-residential construction, and infrastructure investment.Further information concerning our businesses, including factors that could materially affect our financial results, is included in our filings with the SEC (including, but not limited to, the factors discussed in Item 1A. “Risk Factors” of this Annual Report on Form 10-K). There also may be other factors that we cannot anticipate or that are not described herein because we do not currently perceive them to be material.​ ●growth and sustainability of non-food uses for crops (including ethanol and biodiesel production);●the ability to execute business strategies, including our Smart Industrial Operating Model, Leap Ambitions, and mergers and acquisitions;●the ability to understand and meet customers’ changing expectations and demand for our products and solutions;●accurately forecasting customer demand for products and services and adequately managing inventory;●our ability to integrate new technology, including automation and machine learning, and deliver precision technology and solutions to customers;●changes to governmental communications channels (radio frequency technology);●our ability to adapt in highly competitive markets;●dealer practices and their ability to manage distribution of our products and support and service precision technology solutions;●changes in climate patterns, unfavorable weather events, and natural disasters;●governmental and other actions designed to address climate change in connection with a transition to a lower-carbon economy;●higher interest rates and currency fluctuations which could adversely affect the U.S. dollar, customer confidence, access to capital, and demand for our products and solutions;●stress in the banking sector may have adverse impacts on vendors or customers as well as on our ability to access cash deposits;●availability and price of raw materials, components, and whole goods;●delays or disruptions in our supply chain;●labor relations and contracts, including work stoppages and other disruptions;●the ability to attract, develop, engage, and retain qualified personnel;●security breaches, cybersecurity attacks, technology failures, and other disruptions to our information technology infrastructure and products; ●loss of or challenges to intellectual property rights; ●compliance with evolving U.S. and foreign laws, including economic sanctions, data privacy, and environmental laws and regulations;●legislation introduced or enacted that could affect our business model and intellectual property, such as so-called right to repair or right to modify legislation;●investigations, claims, lawsuits, or other legal proceedings;●events that damage our reputation or brand;●world grain stocks, available farm acres, soil conditions, harvest yields, prices for commodities and livestock, input costs, and availability of transport for crops; and●housing starts and supply, real estate and housing prices, levels of public and non-residential construction, and infrastructure investment. Further information concerning our businesses, including factors that could materially affect our financial results, is included in our filings with the SEC (including, but not limited to, the factors discussed in Item 1A. “Risk Factors” of this Annual Report on Form 10-K). There also may be other factors that we cannot anticipate or that are not described herein because we do not currently perceive them to be material.​ Further information concerning our businesses, including factors that could materially affect our financial results, is included in our filings with the SEC (including, but not limited to, the factors discussed in Item 1A. “Risk Factors” of this Annual Report on Form 10-K). There also may be other factors that we cannot anticipate or that are not described herein because we do not currently perceive them to be material. ​ 38 38 38 Table of Contents​SUPPLEMENTAL CONSOLIDATING DATAThe supplemental consolidating data presented on the subsequent pages is presented for informational purposes. The equipment operations represents the enterprise without financial services. The equipment operations includes production and precision agriculture operations, small agriculture and turf operations, construction and forestry operations, and other corporate assets, liabilities, revenues, and expenses not reflected within financial services. Transactions between the “equipment operations” and “financial services” have been eliminated to arrive at the consolidated financial statements.The equipment operations and financial services participate in different industries. The equipment operations generate earnings and cash flows by manufacturing and selling equipment, service parts, and technology solutions to dealers and retail customers. Financial services finances sales and leases by dealers of new and used equipment that is largely manufactured by us. Those earnings and cash flows generally are the difference between the finance income received from customer payments less interest expense, and depreciation on equipment subject to an operating lease. The two businesses are capitalized differently and have separate performance metrics. The supplemental consolidating data is also used by management due to these differences.​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​INCOME STATEMENTS​​​For the Years Ended October 29, 2023, October 30, 2022, and October 31, 2021​​​Unaudited​​​​​EQUIPMENT​FINANCIAL ​​​​​​​​​OPERATIONS​SERVICES​ELIMINATIONS​CONSOLIDATED​​​​​2023​2022​2021​2023​2022​2021​2023​2022​2021​2023​2022​2021​​​Net Sales and Revenues​​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​​​​Net sales​$ 55,565​$ 47,917​$ 39,737​​​​​​​​​​​​​​​​​​​$ 55,565​$ 47,917​$ 39,737​​​Finance and interest income​​ 636​​ 213​​ 133​$ 5,055​$ 3,583​$ 3,442​$ (1,008)​$ (431)​$ (279)​​ 4,683​​ 3,365​​ 3,296​ 1​​Other income​​ 858​​ 1,261​​ 941​​ 499​​ 502​​ 352​​ (354)​​ (468)​​ (302)​​ 1,003​​ 1,295​​ 991​2, 3​​Total​​ 57,059​​ 49,391​​ 40,811​​ 5,554​​ 4,085​​ 3,794​​ (1,362)​​ (899)​​ (581)​​ 61,251​​ 52,577​​ 44,024​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Costs and Expenses​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Cost of sales​​ 37,739​​ 35,341​​ 29,119​​ ​​​​​​​​​ (24)​​ (3)​​ (3)​​ 37,715​​ 35,338​​ 29,116​ 4​​Research and development expenses​​ 2,177​​ 1,912​​ 1,587​​ ​​​​​​​​​ ​​​ ​​​​​​ 2,177​​ 1,912​​ 1,587​​​Selling, administrative and general expenses​​ 3,611​​ 3,137​​ 2,887​​ 994​​ 735​​ 504​​ (10)​​ (9)​​ (8)​​ 4,595​​ 3,863​​ 3,383​ 4​​Interest expense​​ 411​​ 390​​ 368​​ 2,362​​ 799​​ 687​​ (320)​​ (127)​​ (62)​​ 2,453​​ 1,062​​ 993​ 1​​Interest compensation to Financial Services​​ 687​​ 299​​ 217​​ ​​​ ​​​​​​ (687)​​ (299)​​ (217)​​ ​​​ ​​​ ​​ 1​​Other operating expenses​​ 217​​ 350​​ 181​​ 1,396​​ 1,386​​ 1,453​​ (321)​​ (461)​​ (291)​​ 1,292​​ 1,275​​ 1,343​5, 6​​Total​​ 44,842​​ 41,429​​ 34,359​​ 4,752​​ 2,920​​ 2,644​​ (1,362)​​ (899)​​ (581)​​ 48,232​​ 43,450​​ 36,422​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Income before Income Taxes​​ 12,217​​ 7,962​​ 6,452​​ 802​​ 1,165​​ 1,150​​ ​​​ ​​​ ​​​ 13,019​​ 9,127​​ 7,602​​​Provision for income taxes​​ 2,685​​ 1,718​​ 1,386​​ 186​​ 289​​ 272​​ ​​​​​​​​​ 2,871​​ 2,007​​ 1,658​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Income after Income Taxes​​ 9,532​​ 6,244​​ 5,066​​ 616​​ 876​​ 878​​ ​​​ ​​​ ​​​ 10,148​​ 7,120​​ 5,944​​​Equity in income of unconsolidated affiliates​​ 4​​ 6​​ 18​​ 3​​ 4​​ 3​​ ​​​​​​​​​ 7​​ 10​​ 21​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Net Income​​ 9,536​ ​ 6,250​​ 5,084​​ 619​​ 880​​ 881​​ ​​​ ​​​ ​​​ 10,155​​ 7,130​​ 5,965​​​Less: Net income (loss) attributable to noncontrolling interests​​ (11)​​ (1)​​ 2​​ ​​​​​​​​​ ​​​​​​​​​ (11)​​ (1)​​ 2​​​Net Income Attributable to Deere & Company​$ 9,547​$ 6,251​$ 5,082​$ 619​$ 880​$ 881​​ ​​​ ​​​ ​​$ 10,166​$ 7,131​$ 5,963​​​​​1 Elimination of intercompany interest income and expense. 2 Elimination of equipment operations’ margin from inventory transferred to equipment on operating leases (see Note 6).3 Elimination of financial services’ income related to intercompany guarantees of investments in certain international markets and intercompany service revenues.4 Elimination of intercompany service fees.5 Elimination of financial services’ lease depreciation expense related to inventory transferred to equipment on operating leases.6 Elimination of equipment operations’ expense related to intercompany guarantees of investments in certain international markets and intercompany service expenses.​39 Table of Contents Table of Contents Table of Contents ​SUPPLEMENTAL CONSOLIDATING DATAThe supplemental consolidating data presented on the subsequent pages is presented for informational purposes. The equipment operations represents the enterprise without financial services. The equipment operations includes production and precision agriculture operations, small agriculture and turf operations, construction and forestry operations, and other corporate assets, liabilities, revenues, and expenses not reflected within financial services. Transactions between the “equipment operations” and “financial services” have been eliminated to arrive at the consolidated financial statements.The equipment operations and financial services participate in different industries. The equipment operations generate earnings and cash flows by manufacturing and selling equipment, service parts, and technology solutions to dealers and retail customers. Financial services finances sales and leases by dealers of new and used equipment that is largely manufactured by us. Those earnings and cash flows generally are the difference between the finance income received from customer payments less interest expense, and depreciation on equipment subject to an operating lease. The two businesses are capitalized differently and have separate performance metrics. The supplemental consolidating data is also used by management due to these differences.​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​INCOME STATEMENTS​​​For the Years Ended October 29, 2023, October 30, 2022, and October 31, 2021​​​Unaudited​​​​​EQUIPMENT​FINANCIAL ​​​​​​​​​OPERATIONS​SERVICES​ELIMINATIONS​CONSOLIDATED​​​​​2023​2022​2021​2023​2022​2021​2023​2022​2021​2023​2022​2021​​​Net Sales and Revenues​​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​ ​​​​​Net sales​$ 55,565​$ 47,917​$ 39,737​​​​​​​​​​​​​​​​​​​$ 55,565​$ 47,917​$ 39,737​​​Finance and interest income​​ 636​​ 213​​ 133​$ 5,055​$ 3,583​$ 3,442​$ (1,008)​$ (431)​$ (279)​​ 4,683​​ 3,365​​ 3,296​ 1​​Other income​​ 858​​ 1,261​​ 941​​ 499​​ 502​​ 352​​ (354)​​ (468)​​ (302)​​ 1,003​​ 1,295​​ 991​2, 3​​Total​​ 57,059​​ 49,391​​ 40,811​​ 5,554​​ 4,085​​ 3,794​​ (1,362)​​ (899)​​ (581)​​ 61,251​​ 52,577​​ 44,024​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Costs and Expenses​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Cost of sales​​ 37,739​​ 35,341​​ 29,119​​ ​​​​​​​​​ (24)​​ (3)​​ (3)​​ 37,715​​ 35,338​​ 29,116​ 4​​Research and development expenses​​ 2,177​​ 1,912​​ 1,587​​ ​​​​​​​​​ ​​​ ​​​​​​ 2,177​​ 1,912​​ 1,587​​​Selling, administrative and general expenses​​ 3,611​​ 3,137​​ 2,887​​ 994​​ 735​​ 504​​ (10)​​ (9)​​ (8)​​ 4,595​​ 3,863​​ 3,383​ 4​​Interest expense​​ 411​​ 390​​ 368​​ 2,362​​ 799​​ 687​​ (320)​​ (127)​​ (62)​​ 2,453​​ 1,062​​ 993​ 1​​Interest compensation to Financial Services​​ 687​​ 299​​ 217​​ ​​​ ​​​​​​ (687)​​ (299)​​ (217)​​ ​​​ ​​​ ​​ 1​​Other operating expenses​​ 217​​ 350​​ 181​​ 1,396​​ 1,386​​ 1,453​​ (321)​​ (461)​​ (291)​​ 1,292​​ 1,275​​ 1,343​5, 6​​Total​​ 44,842​​ 41,429​​ 34,359​​ 4,752​​ 2,920​​ 2,644​​ (1,362)​​ (899)​​ (581)​​ 48,232​​ 43,450​​ 36,422​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Income before Income Taxes​​ 12,217​​ 7,962​​ 6,452​​ 802​​ 1,165​​ 1,150​​ ​​​ ​​​ ​​​ 13,019​​ 9,127​​ 7,602​​​Provision for income taxes​​ 2,685​​ 1,718​​ 1,386​​ 186​​ 289​​ 272​​ ​​​​​​​​​ 2,871​​ 2,007​​ 1,658​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Income after Income Taxes​​ 9,532​​ 6,244​​ 5,066​​ 616​​ 876​​ 878​​ ​​​ ​​​ ​​​ 10,148​​ 7,120​​ 5,944​​​Equity in income of unconsolidated affiliates​​ 4​​ 6​​ 18​​ 3​​ 4​​ 3​​ ​​​​​​​​​ 7​​ 10​​ 21​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Net Income​​ 9,536​ ​ 6,250​​ 5,084​​ 619​​ 880​​ 881​​ ​​​ ​​​ ​​​ 10,155​​ 7,130​​ 5,965​​​Less: Net income (loss) attributable to noncontrolling interests​​ (11)​​ (1)​​ 2​​ ​​​​​​​​​ ​​​​​​​​​ (11)​​ (1)​​ 2​​​Net Income Attributable to Deere & Company​$ 9,547​$ 6,251​$ 5,082​$ 619​$ 880​$ 881​​ ​​​ ​​​ ​​$ 10,166​$ 7,131​$ 5,963​​​​​1 Elimination of intercompany interest income and expense. 2 Elimination of equipment operations’ margin from inventory transferred to equipment on operating leases (see Note 6).3 Elimination of financial services’ income related to intercompany guarantees of investments in certain international markets and intercompany service revenues.4 Elimination of intercompany service fees.5 Elimination of financial services’ lease depreciation expense related to inventory transferred to equipment on operating leases.6 Elimination of equipment operations’ expense related to intercompany guarantees of investments in certain international markets and intercompany service expenses.​ ​"
    },
    {
      "status": "MODIFIED",
      "current_title": "Allowance for Credit Losses",
      "prior_title": "Allowance for Credit Losses",
      "similarity_score": 0.725,
      "confidence": "medium",
      "key_changes": [
        "Reworded sentence: \"Risk characteristics include: We utilize the following loss forecast models to estimate expected credit losses: estimates.\"",
        "Reworded sentence: \"Management reviews each model’s output quarterly, and qualitative adjustments are incorporated as necessary to arrive at management’s best estimate of expected credit losses.Allowance for Credit LossesDuring 2024, we determined that the financial services business in Brazil met the held for sale criteria.\""
      ],
      "current_body": "The allowance for credit losses is an estimate of the credit losses expected over the life of the receivable portfolio. The allowance is measured on a collective basis for receivables with similar risk characteristics. Receivables that do not share risk characteristics are evaluated on an individual basis. Risk characteristics include: We utilize the following loss forecast models to estimate expected credit losses: estimates. Independent variables include credit quality at time of application, remaining account balance, delinquency status, and various economic factors, such as commodity prices, employment levels, and housing data.●Weighted average remaining maturity (WARM) models are used for smaller and less complex retail customer receivable pools. ●Historical loss rate models are used on wholesale receivables, with consideration of current economic conditions and dealer financial risk. Management reviews each model’s output quarterly, and qualitative adjustments are incorporated as necessary to arrive at management’s best estimate of expected credit losses.Allowance for Credit LossesDuring 2024, we determined that the financial services business in Brazil met the held for sale criteria. The receivables in Brazil were reclassified to “Assets held for sale.” The associated allowance for credit losses was reversed and a valuation allowance for the assets held for sale was recorded (see Note 4). Excluding the business in Brazil, the allowance for credit losses increased, primarily due to higher expected losses as a result of elevated delinquencies and a decline in market conditions. This increase was partially offset by a decrease in the allowance on revolving charge accounts, driven by write-offs of seasonal financing program accounts and recoveries expected on those accounts in the future. While we believe our allowance is sufficient to provide for losses over the life of our existing receivable portfolio, different assumptions would result in changes to the allowance for credit losses. Within the retail customer receivable portfolio, credit loss estimates are dependent on a number of factors, including credit quality at time of application, remaining account balances, current delinquency levels, various economic factors, and estimated recoveries on defaulted accounts. Changes in any of these factors could impact our credit losses. Conversely, changes in economic conditions have historically had limited impact on credit losses within the wholesale receivable portfolio. Holding all other factors constant, a 10 percent increase in the linear regression models’ forecasted defaults and a simultaneous 10 percent decrease in recovery rates would have resulted in a $70 increase to the allowance for credit losses at October 27, 2024.Operating Lease Residual ValuesEquipment on operating leases is depreciated to the estimated residual value over the lease term. The residual values are based on several factors, including:●lease term, ●expected hours of usage, ●historical wholesale sales prices, Management reviews each model’s output quarterly, and qualitative adjustments are incorporated as necessary to arrive at management’s best estimate of expected credit losses.",
      "prior_body": "The allowance for credit losses is an estimate of the credit losses expected over the life of the receivable portfolio. The allowance is measured on a collective basis for receivables with similar risk characteristics. Receivables that do not share risk characteristics are evaluated on an individual basis. Risk characteristics include: ●market, ●geography, ●credit risk, and ●remaining balance. We utilize the following loss forecast models to estimate expected credit losses:●Transition matrix models are used for large and complex retail customer receivable pools. These models are used for more than 90 percent of retail customer receivables. Historical portfolio performance and current delinquency levels are used to forecast future defaults. Estimated recovery rates are applied to the estimated default balance to calculate the expected credit losses. ●Weighted average remaining maturity (WARM) models are used for smaller and less complex retail customer receivable pools. ●Historical loss rate models are used on wholesale receivables, with consideration of current economic conditions and dealer financial risk. The model output is adjusted for forecasted economic conditions, which may include the following economic indicators: ●commodity prices, ●industry equipment sales, ●unemployment rates, and ●housing starts. Management reviews each model’s output quarterly, and qualitative adjustments are incorporated as necessary.Allowance for Credit LossesThe allowance decreased in 2023 due to the disposition of the receivable portfolio in Russia (see Note 11). Excluding the portfolio in Russia, the allowance increased slightly as higher portfolio balances and higher expected losses on turf and construction customer accounts. The allowance increased in 2022 due to higher reserves related to the economic uncertainty in Russia. While we believe our allowance is sufficient to provide for losses over the life of our existing receivable portfolio, different assumptions would result in changes to the allowance for credit losses, specifically:●For the wholesale receivable portfolio: Changes in economic conditions have historically had limited impact on credit losses.●Within the retail customer receivable portfolio: Credit loss estimates are dependent on a number of factors, including historical portfolio performance, current economic conditions, current delinquency levels, and estimated recoveries on defaulted accounts. We utilize the following loss forecast models to estimate expected credit losses: The model output is adjusted for forecasted economic conditions, which may include the following economic indicators: Management reviews each model’s output quarterly, and qualitative adjustments are incorporated as necessary."
    },
    {
      "status": "MODIFIED",
      "current_title": "Income after Income Taxes",
      "prior_title": "Income after Income Taxes",
      "similarity_score": 0.711,
      "confidence": "medium",
      "key_changes": [
        "Reworded sentence: \"​ ​ 6,421 ​ ​ 9,532 ​ ​ 6,244 ​ ​ 691 ​ ​ 616 ​ ​ 876 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 7,112 ​ ​ 10,148 ​ ​ 7,120 ​ ​ ​ Equity in income (loss) of unconsolidated affiliates ​ ​ (29) ​ ​ 4 ​ ​ 6 ​ ​ 5 ​ ​ 3 ​ ​ 4 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (24) ​ ​ 7 ​ ​ 10 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net Income ​ ​ 6,392 ​ ​ 9,536 ​ ​ 6,250 ​ ​ 696 ​ ​ 619 ​ ​ 880 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 7,088 ​ ​ 10,155 ​ ​ 7,130 ​ ​ ​ Less: Net loss attributable to noncontrolling interests ​ ​ (12) ​ ​ (11) ​ ​ (1) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (12) ​ ​ (11) ​ ​ (1) ​ ​ ​\""
      ],
      "current_body": "​ ​ 6,421 ​ ​ 9,532 ​ ​ 6,244 ​ ​ 691 ​ ​ 616 ​ ​ 876 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 7,112 ​ ​ 10,148 ​ ​ 7,120 ​ ​ ​ Equity in income (loss) of unconsolidated affiliates ​ ​ (29) ​ ​ 4 ​ ​ 6 ​ ​ 5 ​ ​ 3 ​ ​ 4 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (24) ​ ​ 7 ​ ​ 10 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net Income ​ ​ 6,392 ​ ​ 9,536 ​ ​ 6,250 ​ ​ 696 ​ ​ 619 ​ ​ 880 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 7,088 ​ ​ 10,155 ​ ​ 7,130 ​ ​ ​ Less: Net loss attributable to noncontrolling interests ​ ​ (12) ​ ​ (11) ​ ​ (1) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (12) ​ ​ (11) ​ ​ (1) ​ ​ ​",
      "prior_body": "​ ​ 9,532 ​ ​ 6,244 ​ ​ 5,066 ​ ​ 616 ​ ​ 876 ​ ​ 878 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 10,148 ​ ​ 7,120 ​ ​ 5,944 ​ ​ ​ Equity in income of unconsolidated affiliates ​ ​ 4 ​ ​ 6 ​ ​ 18 ​ ​ 3 ​ ​ 4 ​ ​ 3 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 7 ​ ​ 10 ​ ​ 21 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net Income ​ ​ 9,536 ​ ​ 6,250 ​ ​ 5,084 ​ ​ 619 ​ ​ 880 ​ ​ 881 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 10,155 ​ ​ 7,130 ​ ​ 5,965 ​ ​ ​ Less: Net income (loss) attributable to noncontrolling interests ​ ​ (11) ​ ​ (1) ​ ​ 2 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (11) ​ ​ (1) ​ ​ 2 ​ ​ ​"
    },
    {
      "status": "MODIFIED",
      "current_title": "For the Years Ended October 27, 2024, October 29, 2023, and October 30, 2022",
      "prior_title": "For the Years Ended October 29, 2023, October 30, 2022, and October 31, 2021",
      "similarity_score": 0.71,
      "confidence": "medium",
      "current_body": "​ ​ ​ Unaudited ​ ​ ​ ​ ​ EQUIPMENT ​ FINANCIAL ​ ​ ​ ​ ​ ​ ​ ​ ​ OPERATIONS ​ SERVICES ​",
      "prior_body": "​ ​ ​ Unaudited ​ ​ ​ ​ ​ EQUIPMENT ​ FINANCIAL ​ ​ ​ ​ ​ ​ ​ ​ ​ OPERATIONS ​ SERVICES ​"
    },
    {
      "status": "MODIFIED",
      "current_title": "For the Years Ended October 27, 2024, October 29, 2023, and October 30, 2022",
      "prior_title": "For the Years Ended October 29, 2023, October 30, 2022, and October 31, 2021",
      "similarity_score": 0.71,
      "confidence": "medium",
      "current_body": "​ ​ ​ Unaudited ​ ​ ​ ​ ​ EQUIPMENT ​ FINANCIAL ​ ​ ​ ​ ​ ​ ​ ​ ​ OPERATIONS ​ SERVICES ​",
      "prior_body": "​ ​ ​ Unaudited ​ ​ ​ ​ ​ EQUIPMENT ​ FINANCIAL ​ ​ ​ ​ ​ ​ ​ ​ ​ OPERATIONS ​ SERVICES ​"
    },
    {
      "status": "MODIFIED",
      "current_title": "October 27, 2024",
      "prior_title": "October 29, 2023",
      "similarity_score": 0.699,
      "confidence": "medium",
      "key_changes": [
        "Reworded sentence: \"​ 2025 ​ ​ ​ ​ ​ Increase ​ Increase ​ ​ ​ Percentage ​ (Decrease) ​ (Decrease) ​ Assumptions Change PBO/APBO* Expense Pensions: ​ ​ ​ ​ ​ ​ ​ ​ ​ Discount rate** +/-.5 ​ $ (495)/550 ​ $ 4/7 ​ Expected return on assets ​ +/-.5 ​ ​ ​ ​ (63)/63 ​ OPEB: ​ ​ ​ ​ ​ ​ ​ ​ ​ Discount rate** +/-.5 ​ (138)/149 ​ (3)/1 ​ Expected return on assets +/-.5 ​ ​ ​ ​ (11)/11 ​ Health care cost trend rate** +/-1.0 ​ 263/(230) ​ 33/(35) ​ * Projected benefit obligation (PBO) for pension plans and accumulated postretirement benefit obligation (APBO) for OPEB plans.\""
      ],
      "current_body": "​ 2025 ​ ​ ​ ​ ​ Increase ​ Increase ​ ​ ​ Percentage ​ (Decrease) ​ (Decrease) ​ Assumptions Change PBO/APBO* Expense Pensions: ​ ​ ​ ​ ​ ​ ​ ​ ​ Discount rate** +/-.5 ​ $ (495)/550 ​ $ 4/7 ​ Expected return on assets ​ +/-.5 ​ ​ ​ ​ (63)/63 ​ OPEB: ​ ​ ​ ​ ​ ​ ​ ​ ​ Discount rate** +/-.5 ​ (138)/149 ​ (3)/1 ​ Expected return on assets +/-.5 ​ ​ ​ ​ (11)/11 ​ Health care cost trend rate** +/-1.0 ​ 263/(230) ​ 33/(35) ​ * Projected benefit obligation (PBO) for pension plans and accumulated postretirement benefit obligation (APBO) for OPEB plans. ** Pretax impact on service cost, interest cost, and amortization of gains or losses. ​",
      "prior_body": "​ 2024 ​ ​ ​ ​ ​ Increase ​ Increase ​ ​ ​ Percentage ​ (Decrease) ​ (Decrease) ​ Assumptions Change PBO/APBO* Expense Pension ​ ​ ​ ​ ​ ​ ​ ​ ​ Discount rate** +/-.5 ​ $ (414)/456 ​ $ 3/(3) ​ Expected return on assets ​ +/-.5 ​ ​ ​ ​ (63)/63 ​ OPEB ​ ​ ​ ​ ​ ​ ​ ​ ​ Discount rate** +/-.5 ​ (120)/130 ​ (4)/5 ​ Expected return on assets +/-.5 ​ ​ ​ ​ (10)/10 ​ Health care cost trend rate** +/-1.0 ​ 231/(202) ​ 39/(34) ​ * Projected benefit obligation (PBO) for pension plans and accumulated postretirement benefit obligation (APBO) for OPEB plans. ** Pretax impact on service cost, interest cost, and amortization of gains or losses. ​"
    },
    {
      "status": "MODIFIED",
      "current_title": "Cash Flows from Financing Activities",
      "prior_title": "Cash Flows from Financing Activities",
      "similarity_score": 0.698,
      "confidence": "medium",
      "key_changes": [
        "Reworded sentence: \"​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net proceeds (payments) in short-term borrowings (original maturities three months or less) ​ ​ 28 ​ ​ (113) ​ ​ 136 ​ ​ (1,884) ​ ​ 4,121 ​ ​ 3,716 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (1,856) ​ ​ 4,008 ​ ​ 3,852 ​ ​ ​ Change in intercompany receivables/payables ​ ​ 1,459 ​ ​ 2,090 ​ ​ (1,633) ​ ​ (1,459) ​ ​ (2,090) ​ ​ 1,633 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Proceeds from borrowings issued (original maturities greater than three months) ​ ​ 159 ​ ​ 342 ​ ​ 138 ​ ​ 17,937 ​ ​ 15,087 ​ ​ 10,220 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 18,096 ​ ​ 15,429 ​ ​ 10,358 ​ ​ ​ Payments of borrowings (original maturities greater than three months) ​ ​ (1,123) ​ ​ (901) ​ ​ (1,356) ​ ​ (12,109) ​ ​ (7,012) ​ ​ (7,089) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (13,232) ​ ​ (7,913) ​ ​ (8,445) ​ ​ ​ Repurchases of common stock ​ ​ (4,007) ​ ​ (7,216) ​ ​ (3,597) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (4,007) ​ ​ (7,216) ​ ​ (3,597) ​ ​ ​ Capital investment from Equipment Operations ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (4) ​ ​ 870 ​ ​ (7) ​ ​ 4 ​ ​ (870) ​ ​ 7 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 17​ ​ Dividends paid ​ ​ (1,605) ​ ​ (1,427) ​ ​ (1,313) ​ ​ (250) ​ ​ (215) ​ ​ (444) ​ ​ 250 ​ ​ 215 ​ ​ 444 ​ ​ (1,605) ​ ​ (1,427) ​ ​ (1,313) ​ 13​ ​ Other ​ ​ (46) ​ ​ (7) ​ ​ 6 ​ ​ (67) ​ ​ (66) ​ ​ (35) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (113) ​ ​ (73) ​ ​ (29) ​ ​ ​ Net cash provided by (used for) financing activities ​ ​ (5,135) ​ ​ (7,232) ​ ​ (7,619) ​ ​ 2,164 ​ ​ 10,695 ​ ​ 7,994 ​ ​ 254 ​ ​ (655) ​ ​ 451 ​ ​ (2,717) ​ ​ 2,808 ​ ​ 826 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​\""
      ],
      "current_body": "​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net proceeds (payments) in short-term borrowings (original maturities three months or less) ​ ​ 28 ​ ​ (113) ​ ​ 136 ​ ​ (1,884) ​ ​ 4,121 ​ ​ 3,716 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (1,856) ​ ​ 4,008 ​ ​ 3,852 ​ ​ ​ Change in intercompany receivables/payables ​ ​ 1,459 ​ ​ 2,090 ​ ​ (1,633) ​ ​ (1,459) ​ ​ (2,090) ​ ​ 1,633 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Proceeds from borrowings issued (original maturities greater than three months) ​ ​ 159 ​ ​ 342 ​ ​ 138 ​ ​ 17,937 ​ ​ 15,087 ​ ​ 10,220 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 18,096 ​ ​ 15,429 ​ ​ 10,358 ​ ​ ​ Payments of borrowings (original maturities greater than three months) ​ ​ (1,123) ​ ​ (901) ​ ​ (1,356) ​ ​ (12,109) ​ ​ (7,012) ​ ​ (7,089) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (13,232) ​ ​ (7,913) ​ ​ (8,445) ​ ​ ​ Repurchases of common stock ​ ​ (4,007) ​ ​ (7,216) ​ ​ (3,597) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (4,007) ​ ​ (7,216) ​ ​ (3,597) ​ ​ ​ Capital investment from Equipment Operations ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (4) ​ ​ 870 ​ ​ (7) ​ ​ 4 ​ ​ (870) ​ ​ 7 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 17​ ​ Dividends paid ​ ​ (1,605) ​ ​ (1,427) ​ ​ (1,313) ​ ​ (250) ​ ​ (215) ​ ​ (444) ​ ​ 250 ​ ​ 215 ​ ​ 444 ​ ​ (1,605) ​ ​ (1,427) ​ ​ (1,313) ​ 13​ ​ Other ​ ​ (46) ​ ​ (7) ​ ​ 6 ​ ​ (67) ​ ​ (66) ​ ​ (35) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (113) ​ ​ (73) ​ ​ (29) ​ ​ ​ Net cash provided by (used for) financing activities ​ ​ (5,135) ​ ​ (7,232) ​ ​ (7,619) ​ ​ 2,164 ​ ​ 10,695 ​ ​ 7,994 ​ ​ 254 ​ ​ (655) ​ ​ 451 ​ ​ (2,717) ​ ​ 2,808 ​ ​ 826 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​",
      "prior_body": "​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net proceeds (payments) in short-term borrowings (original maturities three months or less) ​ ​ (113) ​ ​ 136 ​ ​ 65 ​ ​ 4,121 ​ ​ 3,716 ​ ​ 753 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 4,008 ​ ​ 3,852 ​ ​ 818 ​ ​ ​ Change in intercompany receivables/payables ​ ​ 2,090 ​ ​ (1,633) ​ ​ (354) ​ ​ (2,090) ​ ​ 1,633 ​ ​ 354 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Proceeds from borrowings issued (original maturities greater than three months) ​ ​ 342 ​ ​ 138 ​ ​ 11 ​ ​ 15,087 ​ ​ 10,220 ​ ​ 8,711 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 15,429 ​ ​ 10,358 ​ ​ 8,722 ​ ​ ​ Payments of borrowings (original maturities greater than three months) ​ ​ (901) ​ ​ (1,356) ​ ​ (94) ​ ​ (7,012) ​ ​ (7,089) ​ ​ (6,996) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (7,913) ​ ​ (8,445) ​ ​ (7,090) ​ ​ ​ Repurchases of common stock ​ ​ (7,216) ​ ​ (3,597) ​ ​ (2,538) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (7,216) ​ ​ (3,597) ​ ​ (2,538) ​ ​ ​ Capital investment from Equipment Operations ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 870 ​ ​ (7) ​ ​ 8 ​ ​ (870) ​ ​ 7 ​ ​ (8) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 19​ ​ Dividends paid ​ ​ (1,427) ​ ​ (1,313) ​ ​ (1,040) ​ ​ (215) ​ ​ (444) ​ ​ (555) ​ ​ 215 ​ ​ 444 ​ ​ 555 ​ ​ (1,427) ​ ​ (1,313) ​ ​ (1,040) ​ 14​ ​ Other ​ ​ (7) ​ ​ 6 ​ ​ 87 ​ ​ (66) ​ ​ (35) ​ ​ (37) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (73) ​ ​ (29) ​ ​ 50 ​ ​ ​ Net cash provided by (used for) financing activities ​ ​ (7,232) ​ ​ (7,619) ​ ​ (3,863) ​ ​ 10,695 ​ ​ 7,994 ​ ​ 2,238 ​ ​ (655) ​ ​ 451 ​ ​ 547 ​ ​ 2,808 ​ ​ 826 ​ ​ (1,078) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​"
    },
    {
      "status": "MODIFIED",
      "current_title": "Changes in the availability and price of certain raw materials, components, and whole goods have resulted and could result in disruptions to the supply chain causing production disruptions, increased costs, and lower profits on sales of our products.",
      "prior_title": "Changes in the availability and price of certain raw materials, components, and whole goods have resulted and could continue to result in disruptions to the supply chain causing production disruptions, increased costs, and lower profits on sales of our products.",
      "similarity_score": 0.692,
      "confidence": "medium",
      "key_changes": [
        "Reworded sentence: \"We have experienced changes in the availability and prices of raw materials, components, whole goods, and freight over the past several years, especially in fiscal years 2021 and 2022.\"",
        "Added sentence: \"Work interruption or union strikes by employees of suppliers could also contribute to disruptions within our supply chain.\"",
        "Removed sentence: \"Disputes with labor unions may adversely affect our ability to operate in our facilities as well as impact our financial results.\"",
        "Removed sentence: \"Many of our production and maintenance employees are represented by labor unions under various collective bargaining agreements with different expiration dates.\"",
        "Removed sentence: \"Our failure to successfully renegotiate labor agreements as they expire has from time to time led, and could in the future lead, to work stoppages or other disputes with labor unions.\""
      ],
      "current_body": "We require access to various raw materials, components, and whole goods at competitive prices to manufacture and distribute our products. We have experienced changes in the availability and prices of raw materials, components, whole goods, and freight over the past several years, especially in fiscal years 2021 and 2022. Global logistics network challenges resulted in delays, shortages of key manufacturing components, increased order backlogs, increased transportation costs, and production inefficiencies from a higher number of partially completed machines in inventory, which increased our overall production and overhead costs. Increases in such costs have had an adverse effect on our business operations. While we have seen stabilization in the supply chain and inflation, we anticipate potential future fluctuations due to continued geopolitical and economic uncertainty, and regulatory and policy instability, including import tariffs and trade agreements. The latter have the potential to significantly increase production and logistics costs and have a material negative effect on the profitability of the business, particularly if we are unable to recover the increased costs due to market considerations or other factors. We rely on our suppliers to acquire the raw materials, components, and whole goods required to manufacture their products. Significant disruptions to the supply chain resulting from shortages of raw materials, components, and whole goods have and could continue to adversely affect our ability to meet commitments to our customers. Work interruption or union strikes by employees of suppliers could also contribute to disruptions within our supply chain. In addition, certain materials and components used in our products are acquired from a single supplier or are proprietary in nature and cannot be alternatively sourced expeditiously. Furthermore, if our customers are unwilling to accept price increases for our products, or if we are unable to offset the increases in costs, raw material costs or shortages could have a material adverse effect on our operational or financial results.",
      "prior_body": "We require access to various raw materials, components, and whole goods at competitive prices to manufacture and distribute our products. The price and availability of these materials have varied significantly in the last 36 months. For example, in fiscal year 2022, supply chain disruptions impacted many aspects of our business, including receiving past due deliveries from suppliers, parts availability, increased production costs, and higher inventory levels. We experienced supply chain improvements in fiscal year 2023 with a return to normal in the second half of the fiscal year. While we have seen stabilization in the supply chain and some commodity pricing improvements, we anticipate potential fluctuations due to inflation, geopolitical and economic uncertainty, and regulatory and policy instability, including import tariffs and trade agreements. The latter have the potential to significantly increase production and logistics costs and have a material negative effect on the profitability of the business, particularly if we are unable to recover the increased costs due to market considerations or other ​ 20 20 20 Table of Contentsfactors. We have experienced changes in the availability and prices of these raw materials, components, whole goods, and freight over the past several years, especially in fiscal years 2021 and 2022.Global logistics network challenges resulted in delays, shortages of key manufacturing components, increased order backlogs, increased transportation costs, and production inefficiencies from a higher number of partially completed machines in inventory, which increased our overall production and overhead costs. Increases in such costs have had an adverse effect on our business operations.We rely on our suppliers to acquire the raw materials, components, and whole goods required to manufacture their products. Significant disruptions to the supply chain resulting from shortages of raw materials, components, and whole goods have and could continue to adversely affect our ability to meet commitments to our customers. In addition, certain materials and components used in our products are acquired from a single supplier or are proprietary in nature and cannot be alternatively sourced expeditiously. Furthermore, if our customers are unwilling to accept price increases for our products, or if we are unable to offset the increases in costs, raw material costs or shortages could have a material adverse effect on our operational or financial results. Disputes with labor unions may adversely affect our ability to operate in our facilities as well as impact our financial results. Many of our production and maintenance employees are represented by labor unions under various collective bargaining agreements with different expiration dates. Our failure to successfully renegotiate labor agreements as they expire has from time to time led, and could in the future lead, to work stoppages or other disputes with labor unions. For example, the UAW initiated a labor strike that had an adverse effect on our results of operations in fiscal 2022 because of reduced productions and shipments. Certain of our labor agreements expire as early as 2024. Disruptions to our manufacturing and parts-distribution facilities through various forms of labor disputes could adversely affect us. Any strike, work stoppage, or other dispute with a labor union distracts management from operating the business, may displace employees from ordinary job positions to fill in vacant positions, may affect our reputation, and could materially adversely affect our business, results of operations, and financial condition. Our business may suffer if our equipment fails to perform as expected.If our equipment does not perform as expected, we may receive warranty claims and have to perform post-sales repairs or recalls. We may also be subject to regulatory requirements and penalties that will impact our ability to develop, market, and sell equipment. This may result in product delivery delays. It could also lead to product liability, breach of warranty, and consumer protection claims. These claims and warranty expenses could be significant. As a manufacturer of equipment, we must manage the cost and risk associated with product warranties, post-sale repairs and recalls, regulatory penalties, and product liability, breach of warranty, and consumer protection claims with respect to our products. In addition to post-sale repairs or recalls initiated by us for various reasons, investigations into our products by government regulators may compel us to initiate product recalls or may result in negative public perceptions about the safety of our products, even if we disagree with the regulator’s determination. Such post-sale repairs or recalls, whether voluntary or involuntary, could result in significant expense, supply chain complications, and may harm our brand, business, prospects, financial condition, and operating results.RESOURCES RISKS Our ability to attract, develop, engage, and retain qualified employees could affect our ability to execute our strategy.Our continued success depends, in part, on our ability to identify and attract qualified candidates with the requisite education, background, and experience as well as our ability to develop, engage, and retain qualified employees. Failure to attract, develop, engage, and retain qualified employees, whether as a result of an insufficient number of qualified applicants, difficulty in recruiting new employees, or inadequate resources to train, integrate, and retain qualified employees, could impair our ability to execute our business strategy and could adversely affect our business, results of operations, and financial condition. In addition, while we strive to reduce the impact of the departure of employees, our operations or ability to execute our business strategy and meet our business objectives may be affected by the loss of employees, particularly when departures involve larger numbers of employees, such as those we could experience if a surge occurs in the number of employees voluntarily leaving their jobs. Higher rates of employee separations may adversely affect us through decreased employee morale, the loss of knowledge of departing employees, and the devotion of resources to recruiting and onboarding new employees. Security breaches and other disruptions to our information technology infrastructure could interfere with our operations and could compromise our information as well as information of our employees, customers, suppliers, and/or dealers, exposing us to liability that could cause our business and reputation to suffer.In the ordinary course of business, we rely upon information technology networks and systems, some of which are managed by third parties, to process, transmit, and store electronic information and to manage or support a variety of business processes and activities, including supply chain, manufacturing, distribution, invoicing, and collection of payments from dealers and other purchasers of our equipment and from customers of the financial services segment. We use information technology systems to record, process, and 21 Table of Contents Table of Contents Table of Contents factors. We have experienced changes in the availability and prices of these raw materials, components, whole goods, and freight over the past several years, especially in fiscal years 2021 and 2022.Global logistics network challenges resulted in delays, shortages of key manufacturing components, increased order backlogs, increased transportation costs, and production inefficiencies from a higher number of partially completed machines in inventory, which increased our overall production and overhead costs. Increases in such costs have had an adverse effect on our business operations.We rely on our suppliers to acquire the raw materials, components, and whole goods required to manufacture their products. Significant disruptions to the supply chain resulting from shortages of raw materials, components, and whole goods have and could continue to adversely affect our ability to meet commitments to our customers. In addition, certain materials and components used in our products are acquired from a single supplier or are proprietary in nature and cannot be alternatively sourced expeditiously. Furthermore, if our customers are unwilling to accept price increases for our products, or if we are unable to offset the increases in costs, raw material costs or shortages could have a material adverse effect on our operational or financial results. Disputes with labor unions may adversely affect our ability to operate in our facilities as well as impact our financial results. Many of our production and maintenance employees are represented by labor unions under various collective bargaining agreements with different expiration dates. Our failure to successfully renegotiate labor agreements as they expire has from time to time led, and could in the future lead, to work stoppages or other disputes with labor unions. For example, the UAW initiated a labor strike that had an adverse effect on our results of operations in fiscal 2022 because of reduced productions and shipments. Certain of our labor agreements expire as early as 2024. Disruptions to our manufacturing and parts-distribution facilities through various forms of labor disputes could adversely affect us. Any strike, work stoppage, or other dispute with a labor union distracts management from operating the business, may displace employees from ordinary job positions to fill in vacant positions, may affect our reputation, and could materially adversely affect our business, results of operations, and financial condition. Our business may suffer if our equipment fails to perform as expected.If our equipment does not perform as expected, we may receive warranty claims and have to perform post-sales repairs or recalls. We may also be subject to regulatory requirements and penalties that will impact our ability to develop, market, and sell equipment. This may result in product delivery delays. It could also lead to product liability, breach of warranty, and consumer protection claims. These claims and warranty expenses could be significant. As a manufacturer of equipment, we must manage the cost and risk associated with product warranties, post-sale repairs and recalls, regulatory penalties, and product liability, breach of warranty, and consumer protection claims with respect to our products. In addition to post-sale repairs or recalls initiated by us for various reasons, investigations into our products by government regulators may compel us to initiate product recalls or may result in negative public perceptions about the safety of our products, even if we disagree with the regulator’s determination. Such post-sale repairs or recalls, whether voluntary or involuntary, could result in significant expense, supply chain complications, and may harm our brand, business, prospects, financial condition, and operating results.RESOURCES RISKS Our ability to attract, develop, engage, and retain qualified employees could affect our ability to execute our strategy.Our continued success depends, in part, on our ability to identify and attract qualified candidates with the requisite education, background, and experience as well as our ability to develop, engage, and retain qualified employees. Failure to attract, develop, engage, and retain qualified employees, whether as a result of an insufficient number of qualified applicants, difficulty in recruiting new employees, or inadequate resources to train, integrate, and retain qualified employees, could impair our ability to execute our business strategy and could adversely affect our business, results of operations, and financial condition. In addition, while we strive to reduce the impact of the departure of employees, our operations or ability to execute our business strategy and meet our business objectives may be affected by the loss of employees, particularly when departures involve larger numbers of employees, such as those we could experience if a surge occurs in the number of employees voluntarily leaving their jobs. Higher rates of employee separations may adversely affect us through decreased employee morale, the loss of knowledge of departing employees, and the devotion of resources to recruiting and onboarding new employees. Security breaches and other disruptions to our information technology infrastructure could interfere with our operations and could compromise our information as well as information of our employees, customers, suppliers, and/or dealers, exposing us to liability that could cause our business and reputation to suffer.In the ordinary course of business, we rely upon information technology networks and systems, some of which are managed by third parties, to process, transmit, and store electronic information and to manage or support a variety of business processes and activities, including supply chain, manufacturing, distribution, invoicing, and collection of payments from dealers and other purchasers of our equipment and from customers of the financial services segment. We use information technology systems to record, process, and factors. We have experienced changes in the availability and prices of these raw materials, components, whole goods, and freight over the past several years, especially in fiscal years 2021 and 2022.Global logistics network challenges resulted in delays, shortages of key manufacturing components, increased order backlogs, increased transportation costs, and production inefficiencies from a higher number of partially completed machines in inventory, which increased our overall production and overhead costs. Increases in such costs have had an adverse effect on our business operations. We rely on our suppliers to acquire the raw materials, components, and whole goods required to manufacture their products. Significant disruptions to the supply chain resulting from shortages of raw materials, components, and whole goods have and could continue to adversely affect our ability to meet commitments to our customers. In addition, certain materials and components used in our products are acquired from a single supplier or are proprietary in nature and cannot be alternatively sourced expeditiously. Furthermore, if our customers are unwilling to accept price increases for our products, or if we are unable to offset the increases in costs, raw material costs or shortages could have a material adverse effect on our operational or financial results."
    },
    {
      "status": "MODIFIED",
      "current_title": "Financial Statement Schedules Omitted",
      "prior_title": "Financial Statement Schedules Omitted",
      "similarity_score": 0.689,
      "confidence": "medium",
      "key_changes": [
        "Reworded sentence: \"​ ​ ​ ​ ​ The following schedules for the Company and consolidated subsidiaries are omitted because of the absence of the conditions under which they are required: I, II, III, IV, and V.\"",
        "Reworded sentence: \"For comparison of 2023 to 2022 results, refer to the “Management’s Discussion and Analysis” section of our 2023 Form 10-K.​​OVERVIEW​Deere & Company is a global leader in the production of agricultural, turf, construction, and forestry equipment and solutions.\"",
        "Reworded sentence: \"References to “equipment operations” include PPA, SAT, and CF, while references to “agriculture and turf” include both PPA and SAT.Net Sales and Revenues by Segment in 2024​​​TRENDS & ECONOMIC CONDITIONS​Industry Sales Outlook for Fiscal 2025Agriculture and Turf​Construction and ForestryCompany TrendsCustomers seek to improve profitability, productivity, and sustainability through integrating technology into their operations.\"",
        "Reworded sentence: \"Our Smart Industrial Operating Model and Leap Ambitions are intended to capitalize on this market trend.\""
      ],
      "current_body": "​ ​ ​ ​ ​ The following schedules for the Company and consolidated subsidiaries are omitted because of the absence of the conditions under which they are required: I, II, III, IV, and V. ​ ​ ​ ​ ITEM 16.FORM 10-K SUMMARY. ITEM 16. None. ​ ​ ​ ​ 28 28 28 Table of ContentsMANAGEMENT’S DISCUSSION AND ANALYSISManagement’s Discussion and Analysis of Financial Condition and Results of Operations (MD&A) is intended to promote understanding of our financial condition and results of operations. The MD&A is provided as a supplement to, and should be read in conjunction with, the consolidated financial statements and the accompanying Notes to Consolidated Financial Statements. All amounts are presented in millions of dollars, unless otherwise specified. For comparison of 2023 to 2022 results, refer to the “Management’s Discussion and Analysis” section of our 2023 Form 10-K.​​OVERVIEW​Deere & Company is a global leader in the production of agricultural, turf, construction, and forestry equipment and solutions. John Deere Financial provides financing for John Deere equipment, parts, services, and other inputs customers need to run their operations. Our operations are managed through the production and precision agriculture (PPA), small agriculture and turf (SAT), construction and forestry (CF), and financial services operating segments. References to “equipment operations” include PPA, SAT, and CF, while references to “agriculture and turf” include both PPA and SAT.Net Sales and Revenues by Segment in 2024​​​TRENDS & ECONOMIC CONDITIONS​Industry Sales Outlook for Fiscal 2025Agriculture and Turf​Construction and ForestryCompany TrendsCustomers seek to improve profitability, productivity, and sustainability through integrating technology into their operations. Deeper integration of technology into equipment is a persistent market trend. These technologies are incorporated into products within each of our operating segments. We expect this trend to persist for the foreseeable future. Our Smart Industrial Operating Model and Leap Ambitions are intended to capitalize on this market trend. Engaged acres are an indicator we use to understand customer utilization of our technology. We are investing in a Solutions as a Service business model to increase technology adoption and utilization by our customers. Solutions as a Service products did not represent a significant percentage of our revenues in 2024.Company Outlook for 2025●Agriculture and turf equipment sales are projected to decline in 2025 due to contraction of agriculture markets globally.●Construction equipment sales are projected to decline in 2025 as healthy end markets are offset by continued uncertainty in equipment purchases. Roadbuilding equipment sales are anticipated to be generally flat.Agriculture and Turf Outlook for 2025●Demand in the U.S. and Canada is expected to further moderate amidst weak farm fundamentals, high interest rates, elevated used inventory levels, and short-term farmer liquidity concerns heading into the 2025 growing season.●We expect small agricultural equipment sales to be down from 2024 levels in the U.S. and Canada. The dairy and livestock segment is anticipated to have another year of strong profitability as elevated livestock and hay prices are further enhanced by low input feed costs. This is projected to be more than offset by restrained demand in the turf and compact utility tractor markets as single family home sales and home improvement spending remain stagnant amid high interest rates. ●In Europe, the industry is forecasted to be down as farm fundamentals in the region continue to deteriorate, but at a moderated pace relative to 2024. Adverse factors include depressed yields from unfavorable weather, reduced regional commodity prices due to a mixture of excess grain inflows from Ukraine and global pricing pressures, persistently elevated input costs, and unfavorable agriculture legislation. These issues coupled with high interest rates and elevated industry inventory 29 Table of ContentsMANAGEMENT’S DISCUSSION AND ANALYSIS Table of Contents Table of Contents",
      "prior_body": "​ ​ ​ ​ ​ The following schedules for the company and consolidated subsidiaries are omitted because of the absence of the conditions under which they are required: I, II, III, IV, and V. ​ ​ ​ ​ ITEM 16.FORM 10-K SUMMARY. ITEM 16. None. ​ ​ ​ ​ 28 28 28 Table of ContentsMANAGEMENT’S DISCUSSION AND ANALYSISManagement’s Discussion and Analysis of Financial Condition and Results of Operations (MD&A) is intended to promote understanding of our financial condition and results of operations. The MD&A is provided as a supplement to, and should be read in conjunction with, the consolidated financial statements and the accompanying Notes to Consolidated Financial Statements. All amounts are presented in millions of dollars, unless otherwise specified. For comparison of 2022 to 2021 results, refer to the “Management’s Discussion and Analysis” section of our 2022 Form 10-K.​​OVERVIEW​Deere & Company is a global leader in the production of agricultural, turf, construction, and forestry equipment and solutions. John Deere Financial provides financing for John Deere equipment, parts, service, and other input costs customers need to run their operations. Our operations are managed through the production and precision agriculture (PPA), small agriculture and turf (SAT), construction and forestry (CF), and financial services operating segments. References to “equipment operations” include PPA, SAT, and CF, while references to “agriculture and turf” include both PPA and SAT.Net Sales and Revenues by Segment in 2023Smart Industrial Operating Model and Leap AmbitionsWe announced the Smart Industrial Operating Model in 2020. This operating model is based on three focus areas:(a)Production systems: A strategic alignment of products and solutions around our customers’ operations.(b)Technology stack: Investments in technology, as well as research and development, that deliver intelligent solutions to our customers through digital capabilities, automation, autonomy, and alternative power technologies.(c)Lifecycle solutions: The integration of our aftermarket and support capabilities to more effectively manage customer equipment, service, and technology needs across the full lifetime of a John Deere product. Our Leap Ambitions were launched in 2022. These ambitions are designed to boost economic value and sustainability for our customers. The ambitions align across our customers’ production systems seeking to optimize their operations to deliver better outcomes with fewer resources.​​TRENDS & ECONOMIC CONDITIONS​Industry Sales Outlook for Fiscal 2024Company Trends – Customers seek to improve profitability, productivity, and sustainability through technology. Integration of technology into equipment is a persistent market trend. Our Smart Industrial Operating Model and Leap Ambitions are intended to capitalize on this market trend. These technologies are incorporated into products within each of our operating segments. We expect this trend to persist for the foreseeable future. The investments in these technologies and in establishing a Solutions as a Service business model might increase our operating costs and may decrease operating margins during the transition period. Most notably in 2023, we introduced See & Spray™ Ultimate and a new model of See & Spray™ Premium. These technologies were introduced on a limited basis and did not represent a significant percentage of our sales in 2023.Company Outlook for 2024●Demand is expected to decline in 2024.●Production volumes will decline to more normal levels in 2024.Agriculture and Turf Outlook for 2024●We expect large agricultural equipment sales to decline in 2024 in North America, Europe, and South America. ●Demand for small agricultural equipment is expected to moderate in Europe.●Turf and utility equipment product sales are expected to be lower due to the overall U.S. economic condition and elevated interest rates. Market Conditions:●Agricultural fundamentals are expected to moderate in 2024 due to lower commodity prices and elevated interest rates, offset by declining input costs and improved customer financials.29 Table of ContentsMANAGEMENT’S DISCUSSION AND ANALYSIS Table of Contents Table of Contents"
    },
    {
      "status": "MODIFIED",
      "current_title": "Risk Management and Strategy",
      "prior_title": "Unexpected events have increased and may in the future increase our cost of doing business or disrupt our operations.",
      "similarity_score": 0.688,
      "confidence": "medium",
      "key_changes": [
        "Reworded sentence: \"Our cybersecurity program is designed to identify, protect, detect, respond to, and recover from cybersecurity threats and incidents with the goal of protecting the confidentiality, integrity, and availability of our critical systems and information.\"",
        "Removed sentence: \"Our manufacturing facility in Russia was shut down in 2022.\"",
        "Removed sentence: \"Our Eurasian parts distribution center in Russia was also closed, and the leased premises were returned to the landlord in the second quarter of fiscal year 2023.\"",
        "Removed sentence: \"Premises owned by Wirtgen in Russia operating in the roadbuilding business were sold in the fourth quarter of fiscal year 2023.\"",
        "Reworded sentence: \"We are subject to various unresolved legal actions and investigations, the most prevalent of which relate to product liability (including asbestos related liability), employment, patent, trademark, and antitrust matters (including class action litigation).\""
      ],
      "current_body": "Our cybersecurity program is designed to identify, protect, detect, respond to, and recover from cybersecurity threats and incidents with the goal of protecting the confidentiality, integrity, and availability of our critical systems and information. We use a risk-based, multi-layered information security strategy to assess, identify, and manage risks from cybersecurity threats. Our Cybersecurity Team meets frequently to monitor, assess, and address cybersecurity threats and incidents. We also work with third parties to assess the maturity of our cybersecurity program, leveraging the National Institute of Standards and Technology (NIST) Cybersecurity Framework (CSF). We also utilize third-party service providers as a normal part of our business operations. We have established processes to support the Company in identifying and managing cybersecurity risks associated with the use of third parties, which include the completion of due diligence before engaging with a third-party, controls for response to mitigate any significant risks, and assessments and reviews throughout the relationship. Monitoring such risks and threats is integrated into our overall risk management program. Also, as part of the program, we periodically conduct cybersecurity awareness training including phishing simulations as well as e-learning for employees. We maintain cybersecurity policies, standards, and procedures, which include a cyber incident response plan. These policies and procedures are regularly evaluated and refined with strategies and protocols designed to adapt to changing regulations and emerging security risks. Regular exercises, tests, incident simulations, and system assessments are conducted to discover and address 23 23 23 Table of Contentspotential vulnerabilities and improve decision-making, prioritization, monitoring, and overall response effectiveness. As part of our incident response plan, the Cybersecurity Team uses an established protocol to assess the severity of cybersecurity incidents. In addition, a cross-functional Cybersecurity Incident Response Team is responsible for cybersecurity incident oversight and response, as needed, depending on incident severity. Our cyber incident response plan also includes an escalation process to relevant senior management and/or members of the Board if a cybersecurity incident meets specific rating criteria to prompt response to attempt to minimize potential disruptions and protect the integrity of our operations. Based on the information available as of the date of this Annual Report on Form 10-K, cybersecurity risks, including as a result of any previous cybersecurity incident, have not materially affected, and are not reasonably likely to materially affect, our business strategy, results of operations, or financial condition. However, we have seen an increase in cyberattack volume, frequency, and sophistication in the digital environment.ITEM 2.PROPERTIES.In the U.S. and Canada, the equipment operations own and operate 23 factory locations and lease and operate another three locations. Outside of the U.S. and Canada, the equipment operations own or lease and operate 45 factory locations in Argentina, Austria, Brazil, China, Finland, France, Germany, India, Israel, Italy, Mexico, the Netherlands, New Zealand, and Spain. In addition, the equipment operations own or lease 12 facilities comprised of three locations supporting centralized parts distribution and nine regional parts depots and distribution centers throughout the U.S. and Canada. Outside the U.S. and Canada, the equipment operations also own or lease and occupy 11 total facilities with centralized parts distribution centers in Brazil, Germany, and India and regional parts depots and distribution centers in Argentina, Australia, China, India, Mexico, South Africa, Sweden, and the United Kingdom. We also own or lease eight facilities for the manufacture and distribution of other brands of replacement parts.We own or lease 53 administrative offices and research facilities globally as well as many other smaller, miscellaneous facilities.Overall, we own approximately 70.0 million square feet of facilities and lease approximately 13.1 million additional square feet in various locations. These properties are adequate and suitable for our business as presently conducted and are well maintained.ITEM 3.LEGAL PROCEEDINGS.We are subject to various unresolved legal actions and investigations, the most prevalent of which relate to product liability (including asbestos related liability), employment, patent, trademark, and antitrust matters (including class action litigation). Currently we believe the reasonably possible range of losses for unresolved legal actions would not have a material effect on our financial statements; however, the outcome of any current or future proceedings, claims, or investigations cannot be predicted with certainty. Adverse decisions in one or more of these proceedings, claims, or investigations could require us to pay substantial damages or fines, undertake service actions, initiate recall campaigns, or take other costly actions. It is therefore possible that legal judgments or investigations could give rise to expenses that are not covered, or not fully covered by our insurance programs and could affect our financial position and results.ITEM 4.MINE SAFETY DISCLOSURES.Not applicable.PART IIITEM 5.MARKET FOR REGISTRANT’S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES.(a)Our common stock is listed on the New York Stock Exchange (NYSE) under the symbol “DE.” We have a history of paying quarterly cash dividends. While we currently expect a cash dividend to be paid in the future, future dividend payments will depend on our earnings, capital requirements, financial condition, and other factors considered relevant by our Board. See the information concerning the number of stockholders in Note 21 to the Consolidated Financial Statements.(b)Not applicable.24 Table of Contents Table of Contents Table of Contents potential vulnerabilities and improve decision-making, prioritization, monitoring, and overall response effectiveness. As part of our incident response plan, the Cybersecurity Team uses an established protocol to assess the severity of cybersecurity incidents. In addition, a cross-functional Cybersecurity Incident Response Team is responsible for cybersecurity incident oversight and response, as needed, depending on incident severity. Our cyber incident response plan also includes an escalation process to relevant senior management and/or members of the Board if a cybersecurity incident meets specific rating criteria to prompt response to attempt to minimize potential disruptions and protect the integrity of our operations. Based on the information available as of the date of this Annual Report on Form 10-K, cybersecurity risks, including as a result of any previous cybersecurity incident, have not materially affected, and are not reasonably likely to materially affect, our business strategy, results of operations, or financial condition. However, we have seen an increase in cyberattack volume, frequency, and sophistication in the digital environment.ITEM 2.PROPERTIES.In the U.S. and Canada, the equipment operations own and operate 23 factory locations and lease and operate another three locations. Outside of the U.S. and Canada, the equipment operations own or lease and operate 45 factory locations in Argentina, Austria, Brazil, China, Finland, France, Germany, India, Israel, Italy, Mexico, the Netherlands, New Zealand, and Spain. In addition, the equipment operations own or lease 12 facilities comprised of three locations supporting centralized parts distribution and nine regional parts depots and distribution centers throughout the U.S. and Canada. Outside the U.S. and Canada, the equipment operations also own or lease and occupy 11 total facilities with centralized parts distribution centers in Brazil, Germany, and India and regional parts depots and distribution centers in Argentina, Australia, China, India, Mexico, South Africa, Sweden, and the United Kingdom. We also own or lease eight facilities for the manufacture and distribution of other brands of replacement parts.We own or lease 53 administrative offices and research facilities globally as well as many other smaller, miscellaneous facilities.Overall, we own approximately 70.0 million square feet of facilities and lease approximately 13.1 million additional square feet in various locations. These properties are adequate and suitable for our business as presently conducted and are well maintained.ITEM 3.LEGAL PROCEEDINGS.We are subject to various unresolved legal actions and investigations, the most prevalent of which relate to product liability (including asbestos related liability), employment, patent, trademark, and antitrust matters (including class action litigation). Currently we believe the reasonably possible range of losses for unresolved legal actions would not have a material effect on our financial statements; however, the outcome of any current or future proceedings, claims, or investigations cannot be predicted with certainty. Adverse decisions in one or more of these proceedings, claims, or investigations could require us to pay substantial damages or fines, undertake service actions, initiate recall campaigns, or take other costly actions. It is therefore possible that legal judgments or investigations could give rise to expenses that are not covered, or not fully covered by our insurance programs and could affect our financial position and results.ITEM 4.MINE SAFETY DISCLOSURES.Not applicable.PART IIITEM 5.MARKET FOR REGISTRANT’S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES.(a)Our common stock is listed on the New York Stock Exchange (NYSE) under the symbol “DE.” We have a history of paying quarterly cash dividends. While we currently expect a cash dividend to be paid in the future, future dividend payments will depend on our earnings, capital requirements, financial condition, and other factors considered relevant by our Board. See the information concerning the number of stockholders in Note 21 to the Consolidated Financial Statements.(b)Not applicable. potential vulnerabilities and improve decision-making, prioritization, monitoring, and overall response effectiveness. As part of our incident response plan, the Cybersecurity Team uses an established protocol to assess the severity of cybersecurity incidents. In addition, a cross-functional Cybersecurity Incident Response Team is responsible for cybersecurity incident oversight and response, as needed, depending on incident severity. Our cyber incident response plan also includes an escalation process to relevant senior management and/or members of the Board if a cybersecurity incident meets specific rating criteria to prompt response to attempt to minimize potential disruptions and protect the integrity of our operations. Based on the information available as of the date of this Annual Report on Form 10-K, cybersecurity risks, including as a result of any previous cybersecurity incident, have not materially affected, and are not reasonably likely to materially affect, our business strategy, results of operations, or financial condition. However, we have seen an increase in cyberattack volume, frequency, and sophistication in the digital environment.ITEM 2.PROPERTIES.In the U.S. and Canada, the equipment operations own and operate 23 factory locations and lease and operate another three locations. Outside of the U.S. and Canada, the equipment operations own or lease and operate 45 factory locations in Argentina, Austria, Brazil, China, Finland, France, Germany, India, Israel, Italy, Mexico, the Netherlands, New Zealand, and Spain. In addition, the equipment operations own or lease 12 facilities comprised of three locations supporting centralized parts distribution and nine regional parts depots and distribution centers throughout the U.S. and Canada. Outside the U.S. and Canada, the equipment operations also own or lease and occupy 11 total facilities with centralized parts distribution centers in Brazil, Germany, and India and regional parts depots and distribution centers in Argentina, Australia, China, India, Mexico, South Africa, Sweden, and the United Kingdom. We also own or lease eight facilities for the manufacture and distribution of other brands of replacement parts.We own or lease 53 administrative offices and research facilities globally as well as many other smaller, miscellaneous facilities.Overall, we own approximately 70.0 million square feet of facilities and lease approximately 13.1 million additional square feet in various locations. These properties are adequate and suitable for our business as presently conducted and are well maintained.ITEM 3.LEGAL PROCEEDINGS.We are subject to various unresolved legal actions and investigations, the most prevalent of which relate to product liability (including asbestos related liability), employment, patent, trademark, and antitrust matters (including class action litigation). Currently we believe the reasonably possible range of losses for unresolved legal actions would not have a material effect on our financial statements; however, the outcome of any current or future proceedings, claims, or investigations cannot be predicted with certainty. Adverse decisions in one or more of these proceedings, claims, or investigations could require us to pay substantial damages or fines, undertake service actions, initiate recall campaigns, or take other costly actions. It is therefore possible that legal judgments or investigations could give rise to expenses that are not covered, or not fully covered by our insurance programs and could affect our financial position and results.ITEM 4.MINE SAFETY DISCLOSURES.Not applicable.PART IIITEM 5.MARKET FOR REGISTRANT’S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES.(a)Our common stock is listed on the New York Stock Exchange (NYSE) under the symbol “DE.” We have a history of paying quarterly cash dividends. While we currently expect a cash dividend to be paid in the future, future dividend payments will depend on our earnings, capital requirements, financial condition, and other factors considered relevant by our Board. See the information concerning the number of stockholders in Note 21 to the Consolidated Financial Statements.(b)Not applicable. potential vulnerabilities and improve decision-making, prioritization, monitoring, and overall response effectiveness. As part of our incident response plan, the Cybersecurity Team uses an established protocol to assess the severity of cybersecurity incidents. In addition, a cross-functional Cybersecurity Incident Response Team is responsible for cybersecurity incident oversight and response, as needed, depending on incident severity. Our cyber incident response plan also includes an escalation process to relevant senior management and/or members of the Board if a cybersecurity incident meets specific rating criteria to prompt response to attempt to minimize potential disruptions and protect the integrity of our operations. Based on the information available as of the date of this Annual Report on Form 10-K, cybersecurity risks, including as a result of any previous cybersecurity incident, have not materially affected, and are not reasonably likely to materially affect, our business strategy, results of operations, or financial condition. However, we have seen an increase in cyberattack volume, frequency, and sophistication in the digital environment. ITEM 2. PROPERTIES. In the U.S. and Canada, the equipment operations own and operate 23 factory locations and lease and operate another three locations. Outside of the U.S. and Canada, the equipment operations own or lease and operate 45 factory locations in Argentina, Austria, Brazil, China, Finland, France, Germany, India, Israel, Italy, Mexico, the Netherlands, New Zealand, and Spain. In addition, the equipment operations own or lease 12 facilities comprised of three locations supporting centralized parts distribution and nine regional parts depots and distribution centers throughout the U.S. and Canada. Outside the U.S. and Canada, the equipment operations also own or lease and occupy 11 total facilities with centralized parts distribution centers in Brazil, Germany, and India and regional parts depots and distribution centers in Argentina, Australia, China, India, Mexico, South Africa, Sweden, and the United Kingdom. We also own or lease eight facilities for the manufacture and distribution of other brands of replacement parts. We own or lease 53 administrative offices and research facilities globally as well as many other smaller, miscellaneous facilities. Overall, we own approximately 70.0 million square feet of facilities and lease approximately 13.1 million additional square feet in various locations. These properties are adequate and suitable for our business as presently conducted and are well maintained. ITEM 3. LEGAL PROCEEDINGS. We are subject to various unresolved legal actions and investigations, the most prevalent of which relate to product liability (including asbestos related liability), employment, patent, trademark, and antitrust matters (including class action litigation). Currently we believe the reasonably possible range of losses for unresolved legal actions would not have a material effect on our financial statements; however, the outcome of any current or future proceedings, claims, or investigations cannot be predicted with certainty. Adverse decisions in one or more of these proceedings, claims, or investigations could require us to pay substantial damages or fines, undertake service actions, initiate recall campaigns, or take other costly actions. It is therefore possible that legal judgments or investigations could give rise to expenses that are not covered, or not fully covered by our insurance programs and could affect our financial position and results. ITEM 4. MINE SAFETY DISCLOSURES. Not applicable. PART II ITEM 5. MARKET FOR REGISTRANT’S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES. 24 24 24 Table of Contents(c)Purchases of our common stock during the fourth quarter of 2024 were as follows:ISSUER PURCHASES OF EQUITY SECURITIES​​​​​​​​​​​​​ ​ ​​ ​ Maximum ​​​​​​​Total Number of​Number of Shares ​​​​​​​Shares Purchased​that May Yet Be ​​Total Number of​​​​as Part of Publicly​Purchased under ​​Shares​​​Announced Plans​the Plans or ​​Purchased (2)​Average Price​or Programs (1)​Programs (1) Period​(thousands)​Per Share​(thousands)​(millions) Jul 29 to Aug 25 877 ​$362.97 876 23.1 ​Aug 26 to Sept 22 515 ​​390.00 515 22.6 ​Sept 23 to Oct 27 651 ​ 412.74 651 21.9 ​Total 2,043 ​​​ 2,042 ​​​​​(1)We have a share repurchase plan that was announced in December 2022 to purchase up to $18.0 billion of shares of our common stock. The maximum number of shares that may yet be repurchased under this plan was 21.9 million based on the closing price of our common stock on the NYSE as of the end of the fourth quarter of 2024 of $407.93 per share. At the end of the fourth quarter of 2024, $8.9 billion of common stock remained to be purchased under this plan.(2)In the fourth quarter of 2024, 1 thousand shares were acquired from a plan participant at a market price of $373.26 to pay payroll taxes on the vesting of a restricted stock award. STOCK PERFORMANCE GRAPHThe following graph compares the yearly percentage change of Deere & Company’s cumulative total shareholder returns (TSR) for the last five years to that of the S&P 500 Index and the S&P 500 Industrials Index. The S&P 500 Industrials Index represents a focus group of companies across major industrial manufacturing categories that carry similar operational characteristics to us. The graph assumes $100 was invested on November 1, 2019, and that dividends were reinvested. The stock performance shown in the graph is not intended to forecast and does not necessarily indicate future price performance.​​25 Table of Contents Table of Contents Table of Contents (c)Purchases of our common stock during the fourth quarter of 2024 were as follows:ISSUER PURCHASES OF EQUITY SECURITIES​​​​​​​​​​​​​ ​ ​​ ​ Maximum ​​​​​​​Total Number of​Number of Shares ​​​​​​​Shares Purchased​that May Yet Be ​​Total Number of​​​​as Part of Publicly​Purchased under ​​Shares​​​Announced Plans​the Plans or ​​Purchased (2)​Average Price​or Programs (1)​Programs (1) Period​(thousands)​Per Share​(thousands)​(millions) Jul 29 to Aug 25 877 ​$362.97 876 23.1 ​Aug 26 to Sept 22 515 ​​390.00 515 22.6 ​Sept 23 to Oct 27 651 ​ 412.74 651 21.9 ​Total 2,043 ​​​ 2,042 ​​​​​(1)We have a share repurchase plan that was announced in December 2022 to purchase up to $18.0 billion of shares of our common stock. The maximum number of shares that may yet be repurchased under this plan was 21.9 million based on the closing price of our common stock on the NYSE as of the end of the fourth quarter of 2024 of $407.93 per share. At the end of the fourth quarter of 2024, $8.9 billion of common stock remained to be purchased under this plan.(2)In the fourth quarter of 2024, 1 thousand shares were acquired from a plan participant at a market price of $373.26 to pay payroll taxes on the vesting of a restricted stock award. STOCK PERFORMANCE GRAPHThe following graph compares the yearly percentage change of Deere & Company’s cumulative total shareholder returns (TSR) for the last five years to that of the S&P 500 Index and the S&P 500 Industrials Index. The S&P 500 Industrials Index represents a focus group of companies across major industrial manufacturing categories that carry similar operational characteristics to us. The graph assumes $100 was invested on November 1, 2019, and that dividends were reinvested. The stock performance shown in the graph is not intended to forecast and does not necessarily indicate future price performance.​​ (c)Purchases of our common stock during the fourth quarter of 2024 were as follows:ISSUER PURCHASES OF EQUITY SECURITIES​​​​​​​​​​​​​ ​ ​​ ​ Maximum ​​​​​​​Total Number of​Number of Shares ​​​​​​​Shares Purchased​that May Yet Be ​​Total Number of​​​​as Part of Publicly​Purchased under ​​Shares​​​Announced Plans​the Plans or ​​Purchased (2)​Average Price​or Programs (1)​Programs (1) Period​(thousands)​Per Share​(thousands)​(millions) Jul 29 to Aug 25 877 ​$362.97 876 23.1 ​Aug 26 to Sept 22 515 ​​390.00 515 22.6 ​Sept 23 to Oct 27 651 ​ 412.74 651 21.9 ​Total 2,043 ​​​ 2,042 ​​​​​(1)We have a share repurchase plan that was announced in December 2022 to purchase up to $18.0 billion of shares of our common stock. The maximum number of shares that may yet be repurchased under this plan was 21.9 million based on the closing price of our common stock on the NYSE as of the end of the fourth quarter of 2024 of $407.93 per share. At the end of the fourth quarter of 2024, $8.9 billion of common stock remained to be purchased under this plan.(2)In the fourth quarter of 2024, 1 thousand shares were acquired from a plan participant at a market price of $373.26 to pay payroll taxes on the vesting of a restricted stock award. STOCK PERFORMANCE GRAPHThe following graph compares the yearly percentage change of Deere & Company’s cumulative total shareholder returns (TSR) for the last five years to that of the S&P 500 Index and the S&P 500 Industrials Index. The S&P 500 Industrials Index represents a focus group of companies across major industrial manufacturing categories that carry similar operational characteristics to us. The graph assumes $100 was invested on November 1, 2019, and that dividends were reinvested. The stock performance shown in the graph is not intended to forecast and does not necessarily indicate future price performance.​​",
      "prior_body": "The occurrence of one or more unexpected events, including war, acts of terrorism, epidemics and pandemics (such as the COVID pandemic), civil unrest, fires, tornadoes, tsunamis, hurricanes, earthquakes, floods, and other forms of severe weather in the United States or in other countries in which we operate, or in which our suppliers are located, have adversely affected and could in the future adversely affect our operations and financial performance. Such events have caused and could cause complete or partial closure of one or more of our manufacturing facilities or distribution centers, temporary or long-term disruptions in the supply of component products from some local and international suppliers, and disruption and delay in the transport of products to dealers, end-users, and distribution centers. Existing insurance coverage may not provide protection from all the costs that may arise from such events. The potential physical impacts of climate change on our facilities, suppliers, and customers, and therefore on our operations, are highly uncertain and will be particular to the circumstances developing in various geographic regions. These potential physical effects may adversely affect the demand for our products and the cost, production, sales, and financial performance of our operations. ​ ITEM 1B. UNRESOLVED STAFF COMMENTS. None. ITEM 2. PROPERTIES. In the U.S. and Canada, the equipment operations own and operate 23 factory locations and lease and operate another 3 locations. Outside of the U.S. and Canada, the equipment operations own or lease and operate 45 factory locations in Argentina, Austria, Brazil, China, Finland, France, Germany, India, Israel, Italy, Mexico, the Netherlands, New Zealand, and Spain. In addition, the equipment operations own or lease 12 facilities comprised of three locations supporting centralized parts distribution and nine regional parts depots and distribution centers throughout the U.S. and Canada. Outside the U.S. and Canada, the equipment operations also own or lease and occupy 11 total facilities with centralized parts distribution centers in Brazil, Germany, and India and regional parts depots and distribution centers in Argentina, Australia, China, India, Mexico, South Africa, Sweden, and the United Kingdom. We also own or lease eight facilities for the manufacture and distribution of other brands of replacement parts. Our manufacturing facility in Russia was shut down in 2022. Our Eurasian parts distribution center in Russia was also closed, and the leased premises were returned to the landlord in the second quarter of fiscal year 2023. Premises owned by Wirtgen in Russia operating in the roadbuilding business were sold in the fourth quarter of fiscal year 2023. We own or lease 53 administrative offices and research facilities globally as well as many other smaller, miscellaneous facilities. Overall, we own approximately 70.0 million square feet of facilities and lease approximately 13.1 million additional square feet in various locations. These properties are adequate and suitable for our business as presently conducted and are well maintained. ITEM 3. LEGAL PROCEEDINGS. We are subject to various unresolved legal actions that arise in the normal course of business, the most prevalent of which relate to product liability (including asbestos related liability), retail credit, employment, patent, trademark, and antitrust matters. Currently we believe the reasonably possible range of losses for other unresolved legal actions would not have a material effect on our financial statements; however, the outcome of any current or future proceedings, claims, or investigations cannot be predicted with certainty. Adverse decisions in one or more of these proceedings, claims, or investigations could require us to pay substantial damages or fines, undertake service actions, initiate recall campaigns, or take other costly actions. It is therefore possible that legal judgements could give rise to expenses that are not covered, or not fully covered by our insurance programs and could affect our financial position and results. ITEM 4. MINE SAFETY DISCLOSURES. Not applicable. 24 24 24 Table of ContentsPART IIITEM 5.MARKET FOR REGISTRANT’S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES.(a)Our common stock is listed on the New York Stock Exchange (NYSE) under the symbol “DE.” We have a history of paying quarterly cash dividends. While we currently expect a cash dividend to be paid in the future, future dividend payments will depend on our earnings, capital requirements, financial condition, and other factors considered relevant by our Board of Directors. See the information concerning the number of stockholders in Note 21 to the Consolidated Financial Statements.(b)Not applicable.(c)Purchases of our common stock during the fourth quarter of 2023 were as follows:ISSUER PURCHASES OF EQUITY SECURITIES​​​​​​​​​​​​​ ​ ​​ ​ Maximum ​​​​​​​Total Number of​Number of Shares ​​​​​​​Shares Purchased​that May Yet Be ​​Total Number of​​​​as Part of Publicly​Purchased under ​​Shares​​​Announced Plans​the Plans or ​​Purchased (2)​Average Price​or Programs (1)​Programs (1) Period​(thousands)​Per Share​(thousands)​(millions) Jul 31 to Aug 27 682 ​$424.30 681 42.3 ​Aug 28 to Sept 24 2,204 ​​410.43 2,204 39.8 ​Sept 25 to Oct 29 3,593 ​ 384.94 3,593 35.9 ​Total 6,479 ​​​ 6,478 ​​​​​(1)We have a share repurchase plan that was announced in December 2022 to purchase up to $18.0 billion of shares of our common stock. The maximum number of shares that may yet be repurchased under this plan was 35.9 million based on the closing price of our common stock on the NYSE as of the end of the fourth quarter of $361.15 per share. At the end of the fourth quarter of 2023, $13.0 billion of common stock remains to be repurchased under this plan.(2)In the fourth quarter of 2023, 1 thousand shares were acquired from a plan participant at a market price of $431.68 to pay payroll taxes on the vesting of a restricted stock award. STOCK PERFORMANCE GRAPHThe graph compares the total shareholder returns (TSR) of Deere & Company, the Standard & Poor’s (S&P) 500 Construction Machinery & Heavy Transportation Equipment Index, the S&P 500 Industrials, and the S&P 500 Stock Index over a five-year period. It assumes $100 was invested on October 26, 2018 and that dividends were reinvested. Our stock price at October 27, 2023, was $361.15. Going forward, we intend to use the S&P 500 Industrials to replace the S&P 500 Construction Machinery & Heavy Transportation Equipment. We believe the S&P 500 Industrials provides a better benchmark to compare our cumulative total returns against the industry because it comprises those companies included in the S&P 500 that are classified as members of the GICS industrials sector, and therefore, have many characteristics similar to us, regardless of the specific types of products they offer. In contrast, the S&P’s 500 Construction Machinery & Heavy Transportation Equipment Index is made up of only four companies (Caterpillar (CAT), Cummins (CMI), Paccar (PCAR), and Wabtec (WAB)). The stock performance shown in the graph is not intended to forecast and does not necessarily indicate future price performance.25 Table of Contents Table of Contents Table of Contents PART IIITEM 5.MARKET FOR REGISTRANT’S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES.(a)Our common stock is listed on the New York Stock Exchange (NYSE) under the symbol “DE.” We have a history of paying quarterly cash dividends. While we currently expect a cash dividend to be paid in the future, future dividend payments will depend on our earnings, capital requirements, financial condition, and other factors considered relevant by our Board of Directors. See the information concerning the number of stockholders in Note 21 to the Consolidated Financial Statements.(b)Not applicable.(c)Purchases of our common stock during the fourth quarter of 2023 were as follows:ISSUER PURCHASES OF EQUITY SECURITIES​​​​​​​​​​​​​ ​ ​​ ​ Maximum ​​​​​​​Total Number of​Number of Shares ​​​​​​​Shares Purchased​that May Yet Be ​​Total Number of​​​​as Part of Publicly​Purchased under ​​Shares​​​Announced Plans​the Plans or ​​Purchased (2)​Average Price​or Programs (1)​Programs (1) Period​(thousands)​Per Share​(thousands)​(millions) Jul 31 to Aug 27 682 ​$424.30 681 42.3 ​Aug 28 to Sept 24 2,204 ​​410.43 2,204 39.8 ​Sept 25 to Oct 29 3,593 ​ 384.94 3,593 35.9 ​Total 6,479 ​​​ 6,478 ​​​​​(1)We have a share repurchase plan that was announced in December 2022 to purchase up to $18.0 billion of shares of our common stock. The maximum number of shares that may yet be repurchased under this plan was 35.9 million based on the closing price of our common stock on the NYSE as of the end of the fourth quarter of $361.15 per share. At the end of the fourth quarter of 2023, $13.0 billion of common stock remains to be repurchased under this plan.(2)In the fourth quarter of 2023, 1 thousand shares were acquired from a plan participant at a market price of $431.68 to pay payroll taxes on the vesting of a restricted stock award. STOCK PERFORMANCE GRAPHThe graph compares the total shareholder returns (TSR) of Deere & Company, the Standard & Poor’s (S&P) 500 Construction Machinery & Heavy Transportation Equipment Index, the S&P 500 Industrials, and the S&P 500 Stock Index over a five-year period. It assumes $100 was invested on October 26, 2018 and that dividends were reinvested. Our stock price at October 27, 2023, was $361.15. Going forward, we intend to use the S&P 500 Industrials to replace the S&P 500 Construction Machinery & Heavy Transportation Equipment. We believe the S&P 500 Industrials provides a better benchmark to compare our cumulative total returns against the industry because it comprises those companies included in the S&P 500 that are classified as members of the GICS industrials sector, and therefore, have many characteristics similar to us, regardless of the specific types of products they offer. In contrast, the S&P’s 500 Construction Machinery & Heavy Transportation Equipment Index is made up of only four companies (Caterpillar (CAT), Cummins (CMI), Paccar (PCAR), and Wabtec (WAB)). The stock performance shown in the graph is not intended to forecast and does not necessarily indicate future price performance. PART II ITEM 5. MARKET FOR REGISTRANT’S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES."
    },
    {
      "status": "MODIFIED",
      "current_title": "We may be unable to accurately forecast customer demand for products and services, and to adequately manage inventory, which could adversely affect our operating results.",
      "prior_title": "We may not realize the anticipated benefits of our Smart Industrial Operating Model and Leap Ambitions.",
      "similarity_score": 0.674,
      "confidence": "medium",
      "key_changes": [
        "Reworded sentence: \"To ensure adequate inventory supply, we must forecast inventory needs and expenses and place orders sufficiently in advance with suppliers and contract manufacturers.\"",
        "Reworded sentence: \"Acquisitions and joint ventures we have entered into, or may enter into in the future, may involve significant challenges and risks, including that the acquisitions or joint ventures do not advance our business strategy, or fail to produce satisfactory returns on investment.\"",
        "Reworded sentence: \"We may also decide to divest businesses and terminate joint ventures before their stated expiration.\"",
        "Reworded sentence: \"Our reputation and brand could be damaged by negative publicity.\"",
        "Reworded sentence: \"Acquisitions and joint ventures we have entered into, or may enter into in the future, may involve significant challenges and risks, including that the acquisitions or joint ventures do not advance our business strategy, or fail to produce satisfactory returns on investment.\""
      ],
      "current_body": "To ensure adequate inventory supply, we must forecast inventory needs and expenses and place orders sufficiently in advance with suppliers and contract manufacturers. These forecasts are based on estimates of future demand for products and services. Failure to accurately forecast our needs may result in unmet market demand, parts shortages, manufacturing delays or inefficiencies, increased costs, or excess inventory, such as what we experienced in fiscal year 2022 due to supply chain disruptions. Our ability to accurately forecast demand could be affected by many factors, including changes in customer demand for our products and services, changes in 17 17 17 Table of Contentsdemand for the products and services of competitors, unanticipated changes in general market conditions, and the weakening of economic conditions or customer confidence in future economic conditions. If the forecasts used to manage inventory are not accurate, we may experience excess inventory levels, shortage of available products, or reduced manufacturing efficiencies.We rely on a network of independent dealers to manage the distribution of our products and services. If our dealers are unsuccessful with their sales and business operations, it could have an adverse effect on our overall sales and revenue. We rely on the capability of our dealers to develop and implement effective sales plans to create demand among purchasers for the equipment and related products and services that dealers purchase from us. If our dealers are unsuccessful in these endeavors, we will be unable to grow our sales and revenue, which would have an adverse effect on our financial condition. Our dealers carry inventories of finished products as part of their operations and adjust those inventories based on future needs and market conditions, including the level of used equipment inventory. If the inventory levels of our dealers are higher than they desire, they may postpone equipment purchases from us, which could cause our sales to be lower and negatively impact our results. Similarly, our results could be negatively impacted through the loss of time-sensitive sales if our dealers do not maintain inventory levels sufficient to meet customer demand. In addition, the dealer channel’s ability to support and service precision technology solutions and emerging power solutions may affect customers’ acceptance and adoption rates of these products. The unavailability of specialized technicians to service our equipment may result in overburdening dealers’ servicing capacity. Dealers may exit or we may seek to terminate relationships with certain dealers if they are unable to meet customer needs. The unplanned loss of any of our dealers could lead to inadequate market coverage or negative customer impressions, and may adversely impact our ability to collect receivables that are associated with that dealer. Dealers could also have trouble funding their day-to-day cash flow needs and paying their obligations due to adverse business conditions resulting from negative economic effects or other factors. We may not realize anticipated benefits of acquisitions, joint ventures, and divestitures, or these benefits may take longer to realize than expected. From time to time, we make strategic acquisitions and divestitures and participate in joint ventures. Acquisitions and joint ventures we have entered into, or may enter into in the future, may involve significant challenges and risks, including that the acquisitions or joint ventures do not advance our business strategy, or fail to produce satisfactory returns on investment. Other risks include:●We may encounter difficulties integrating acquisitions with our operations, applying internal control processes to these acquisitions, including those related to cybersecurity, managing strategic investments, assimilating new capabilities to meet the future needs of our businesses, and/or combining business cultures;●We face regulatory or compliance exposure until appropriate processes and controls are put in place;●Integrating acquisitions is often costly and may require significant attention from management and personnel; ●We may not realize all the anticipated benefits of acquisitions or joint ventures, or the realized benefits may be significantly delayed; for example, our joint venture with Bradesco in Brazil with respect to Banco John Deere S.A. may not have the expected result of reducing our incremental risk as we aim to grow in the Brazilian market; and●Due diligence evaluations of potential transactions include business, legal, compliance, and financial reviews with the goal of identifying and evaluating the material risks involved. These due diligence reviews may not identify all of the issues necessary to accurately estimate the cost and potential risks of a particular acquisition or joint venture, including potential exposure to regulatory sanctions resulting from an acquisition target’s or joint venture partner’s previous activities or costs associated with any quality issues with an acquisition target’s or joint venture’s products or services. We may also decide to divest businesses and terminate joint ventures before their stated expiration. Divestitures of businesses or dissolutions of joint ventures may involve significant challenges and risks, including failure to advance our business strategy, costs and disruptions to us, and negative effects on our product offerings, which may adversely affect our business, results of operations, and financial condition. Divestitures of businesses and dissolutions of joint ventures may result in ongoing financial or legal involvement in the divested business through indemnifications or other financial arrangements, such as retained liabilities, which could affect our future financial results. Our reputation and brand could be damaged by negative publicity. Our brand has worldwide recognition and contributes to the success of our business. Our reputation is critical to growing our customer base. Our brand depends on the ability to maintain a positive customer perception of the business. Negative claims or publicity 18 Table of Contents Table of Contents Table of Contents demand for the products and services of competitors, unanticipated changes in general market conditions, and the weakening of economic conditions or customer confidence in future economic conditions. If the forecasts used to manage inventory are not accurate, we may experience excess inventory levels, shortage of available products, or reduced manufacturing efficiencies.We rely on a network of independent dealers to manage the distribution of our products and services. If our dealers are unsuccessful with their sales and business operations, it could have an adverse effect on our overall sales and revenue. We rely on the capability of our dealers to develop and implement effective sales plans to create demand among purchasers for the equipment and related products and services that dealers purchase from us. If our dealers are unsuccessful in these endeavors, we will be unable to grow our sales and revenue, which would have an adverse effect on our financial condition. Our dealers carry inventories of finished products as part of their operations and adjust those inventories based on future needs and market conditions, including the level of used equipment inventory. If the inventory levels of our dealers are higher than they desire, they may postpone equipment purchases from us, which could cause our sales to be lower and negatively impact our results. Similarly, our results could be negatively impacted through the loss of time-sensitive sales if our dealers do not maintain inventory levels sufficient to meet customer demand. In addition, the dealer channel’s ability to support and service precision technology solutions and emerging power solutions may affect customers’ acceptance and adoption rates of these products. The unavailability of specialized technicians to service our equipment may result in overburdening dealers’ servicing capacity. Dealers may exit or we may seek to terminate relationships with certain dealers if they are unable to meet customer needs. The unplanned loss of any of our dealers could lead to inadequate market coverage or negative customer impressions, and may adversely impact our ability to collect receivables that are associated with that dealer. Dealers could also have trouble funding their day-to-day cash flow needs and paying their obligations due to adverse business conditions resulting from negative economic effects or other factors. We may not realize anticipated benefits of acquisitions, joint ventures, and divestitures, or these benefits may take longer to realize than expected. From time to time, we make strategic acquisitions and divestitures and participate in joint ventures. Acquisitions and joint ventures we have entered into, or may enter into in the future, may involve significant challenges and risks, including that the acquisitions or joint ventures do not advance our business strategy, or fail to produce satisfactory returns on investment. Other risks include:●We may encounter difficulties integrating acquisitions with our operations, applying internal control processes to these acquisitions, including those related to cybersecurity, managing strategic investments, assimilating new capabilities to meet the future needs of our businesses, and/or combining business cultures;●We face regulatory or compliance exposure until appropriate processes and controls are put in place;●Integrating acquisitions is often costly and may require significant attention from management and personnel; ●We may not realize all the anticipated benefits of acquisitions or joint ventures, or the realized benefits may be significantly delayed; for example, our joint venture with Bradesco in Brazil with respect to Banco John Deere S.A. may not have the expected result of reducing our incremental risk as we aim to grow in the Brazilian market; and●Due diligence evaluations of potential transactions include business, legal, compliance, and financial reviews with the goal of identifying and evaluating the material risks involved. These due diligence reviews may not identify all of the issues necessary to accurately estimate the cost and potential risks of a particular acquisition or joint venture, including potential exposure to regulatory sanctions resulting from an acquisition target’s or joint venture partner’s previous activities or costs associated with any quality issues with an acquisition target’s or joint venture’s products or services. We may also decide to divest businesses and terminate joint ventures before their stated expiration. Divestitures of businesses or dissolutions of joint ventures may involve significant challenges and risks, including failure to advance our business strategy, costs and disruptions to us, and negative effects on our product offerings, which may adversely affect our business, results of operations, and financial condition. Divestitures of businesses and dissolutions of joint ventures may result in ongoing financial or legal involvement in the divested business through indemnifications or other financial arrangements, such as retained liabilities, which could affect our future financial results. Our reputation and brand could be damaged by negative publicity. Our brand has worldwide recognition and contributes to the success of our business. Our reputation is critical to growing our customer base. Our brand depends on the ability to maintain a positive customer perception of the business. Negative claims or publicity demand for the products and services of competitors, unanticipated changes in general market conditions, and the weakening of economic conditions or customer confidence in future economic conditions. If the forecasts used to manage inventory are not accurate, we may experience excess inventory levels, shortage of available products, or reduced manufacturing efficiencies.We rely on a network of independent dealers to manage the distribution of our products and services. If our dealers are unsuccessful with their sales and business operations, it could have an adverse effect on our overall sales and revenue. We rely on the capability of our dealers to develop and implement effective sales plans to create demand among purchasers for the equipment and related products and services that dealers purchase from us. If our dealers are unsuccessful in these endeavors, we will be unable to grow our sales and revenue, which would have an adverse effect on our financial condition. Our dealers carry inventories of finished products as part of their operations and adjust those inventories based on future needs and market conditions, including the level of used equipment inventory. If the inventory levels of our dealers are higher than they desire, they may postpone equipment purchases from us, which could cause our sales to be lower and negatively impact our results. Similarly, our results could be negatively impacted through the loss of time-sensitive sales if our dealers do not maintain inventory levels sufficient to meet customer demand. In addition, the dealer channel’s ability to support and service precision technology solutions and emerging power solutions may affect customers’ acceptance and adoption rates of these products. The unavailability of specialized technicians to service our equipment may result in overburdening dealers’ servicing capacity. Dealers may exit or we may seek to terminate relationships with certain dealers if they are unable to meet customer needs. The unplanned loss of any of our dealers could lead to inadequate market coverage or negative customer impressions, and may adversely impact our ability to collect receivables that are associated with that dealer. Dealers could also have trouble funding their day-to-day cash flow needs and paying their obligations due to adverse business conditions resulting from negative economic effects or other factors. We may not realize anticipated benefits of acquisitions, joint ventures, and divestitures, or these benefits may take longer to realize than expected. From time to time, we make strategic acquisitions and divestitures and participate in joint ventures. Acquisitions and joint ventures we have entered into, or may enter into in the future, may involve significant challenges and risks, including that the acquisitions or joint ventures do not advance our business strategy, or fail to produce satisfactory returns on investment. Other risks include:●We may encounter difficulties integrating acquisitions with our operations, applying internal control processes to these acquisitions, including those related to cybersecurity, managing strategic investments, assimilating new capabilities to meet the future needs of our businesses, and/or combining business cultures;●We face regulatory or compliance exposure until appropriate processes and controls are put in place;●Integrating acquisitions is often costly and may require significant attention from management and personnel; ●We may not realize all the anticipated benefits of acquisitions or joint ventures, or the realized benefits may be significantly delayed; for example, our joint venture with Bradesco in Brazil with respect to Banco John Deere S.A. may not have the expected result of reducing our incremental risk as we aim to grow in the Brazilian market; and●Due diligence evaluations of potential transactions include business, legal, compliance, and financial reviews with the goal of identifying and evaluating the material risks involved. These due diligence reviews may not identify all of the issues necessary to accurately estimate the cost and potential risks of a particular acquisition or joint venture, including potential exposure to regulatory sanctions resulting from an acquisition target’s or joint venture partner’s previous activities or costs associated with any quality issues with an acquisition target’s or joint venture’s products or services. We may also decide to divest businesses and terminate joint ventures before their stated expiration. Divestitures of businesses or dissolutions of joint ventures may involve significant challenges and risks, including failure to advance our business strategy, costs and disruptions to us, and negative effects on our product offerings, which may adversely affect our business, results of operations, and financial condition. Divestitures of businesses and dissolutions of joint ventures may result in ongoing financial or legal involvement in the divested business through indemnifications or other financial arrangements, such as retained liabilities, which could affect our future financial results. Our reputation and brand could be damaged by negative publicity. Our brand has worldwide recognition and contributes to the success of our business. Our reputation is critical to growing our customer base. Our brand depends on the ability to maintain a positive customer perception of the business. Negative claims or publicity demand for the products and services of competitors, unanticipated changes in general market conditions, and the weakening of economic conditions or customer confidence in future economic conditions. If the forecasts used to manage inventory are not accurate, we may experience excess inventory levels, shortage of available products, or reduced manufacturing efficiencies.",
      "prior_body": "Failure to realize the anticipated benefits of our Smart Industrial Operating Model and related business strategies in production systems, precision technologies, and aftermarket support could adversely affect results of our operations and financial condition. Several factors could impact our ability to successfully execute our Smart Industrial Operating Model, including, among other things: 15 15 15 Table of ContentsSimilarly, we may not realize the anticipated benefits of our Leap Ambitions and related goals within the expected timelines, or at all. As part of our Leap Ambitions we adopted various goals we expect to achieve by 2026 or 2030. We may not be able to achieve these goals for a variety reasons, some of which may be beyond our control. Examples include:●Our estimates and assumptions related to efficiency of our products and the adoption of precision technology may not be accurate; ●Certain materials, such as quality battery cells and cameras, may become unavailable or too costly; ●The infrastructure required to achieve our goals, such as sufficient charging stations or fuel availability, may become too costly or may not be developed on the expected timeline; and ●The actual or perceived failure to achieve our Leap Ambitions could negatively impact our ability to execute the Smart Industrial Operating Model. We may not realize all anticipated benefits of acquisitions, joint ventures, and divestitures, or these benefits may take longer to realize than expected. From time to time, we make strategic acquisitions and divestitures and participate in joint ventures. Acquisitions and joint ventures we have entered, or may enter in the future, may involve significant challenges and risks, including that the acquisitions or joint ventures do not advance our business strategy, or fail to produce satisfactory returns on investment. Other risks include:●We may encounter difficulties in integrating acquisitions with our operations, applying internal control processes to these acquisitions, managing strategic investments, assimilating new capabilities to meet the future needs of our businesses, and/or combining business cultures;●We may choose not to fully integrate businesses and may face regulatory or compliance exposure until appropriate processes and controls are put in place;●Integrating acquisitions is often costly and may require significant attention from management and personnel; ●We may not realize all the anticipated benefits of acquisitions or joint ventures, or the realized benefits may be significantly delayed; and●Due diligence evaluations of potential transactions include business, legal, and financial reviews with the goal of identifying and evaluating the material risks involved. These due diligence reviews may not identify all of the issues necessary to accurately estimate the cost and potential risks of a particular acquisition or joint venture, including potential exposure to regulatory sanctions resulting from an acquisition target’s or joint venture partner’s previous activities or costs associated with any quality issues with an acquisition target’s or joint venture’s products or services. We may also decide to divest businesses if in the best interests of our shareholders and joint ventures may be terminated at or before their stated expiration. For example, in March and October 2023, we sold our financial services and roadbuilding businesses in Russia following the outbreak of the war in Ukraine. Divestitures of businesses or dissolutions of joint ventures may involve significant challenges and risks, including failure to advance our business strategy, costs or disruptions to us, and negative effects on our product offerings, which may adversely affect our business, results of operations, and financial condition. Divestitures of businesses and dissolutions of joint ventures may result in ongoing financial or legal involvement in the divested business through indemnifications or other financial arrangements, such as retained liabilities, which could affect our future financial results. Our ability to understand our customers’ preferences and requirements and to develop, manufacture, and market products that meet customer demand could significantly affect our business results.Our ability to match new product offerings to global customers’ preferences for different types and sizes of equipment and various equipment features and functionality, at affordable prices, is critical to our success. This requires a thorough understanding of our existing and potential customers on a global basis, particularly in growth markets such as Argentina, Brazil, and India. Failure to deliver quality products that meet customer needs at competitive prices could have an adverse effect on our business.In addition, customer preferences in the markets we serve are changing as a result of ongoing social and regulatory focus on sustainability as these markets transition to less carbon-intensive business models. As regulations and social pressure drive change, we must continue to proactively monitor trends and develop alternatives and enhancements that elevate and complement our product offerings. For example, even though we plan to offer electric, hybrid-electric, and battery electric equipment solutions, we may be unable to keep up with the rising demand for electric agriculture, turf, and construction equipment.16 Table of Contents Table of Contents Table of Contents Similarly, we may not realize the anticipated benefits of our Leap Ambitions and related goals within the expected timelines, or at all. As part of our Leap Ambitions we adopted various goals we expect to achieve by 2026 or 2030. We may not be able to achieve these goals for a variety reasons, some of which may be beyond our control. Examples include:●Our estimates and assumptions related to efficiency of our products and the adoption of precision technology may not be accurate; ●Certain materials, such as quality battery cells and cameras, may become unavailable or too costly; ●The infrastructure required to achieve our goals, such as sufficient charging stations or fuel availability, may become too costly or may not be developed on the expected timeline; and ●The actual or perceived failure to achieve our Leap Ambitions could negatively impact our ability to execute the Smart Industrial Operating Model. We may not realize all anticipated benefits of acquisitions, joint ventures, and divestitures, or these benefits may take longer to realize than expected. From time to time, we make strategic acquisitions and divestitures and participate in joint ventures. Acquisitions and joint ventures we have entered, or may enter in the future, may involve significant challenges and risks, including that the acquisitions or joint ventures do not advance our business strategy, or fail to produce satisfactory returns on investment. Other risks include:●We may encounter difficulties in integrating acquisitions with our operations, applying internal control processes to these acquisitions, managing strategic investments, assimilating new capabilities to meet the future needs of our businesses, and/or combining business cultures;●We may choose not to fully integrate businesses and may face regulatory or compliance exposure until appropriate processes and controls are put in place;●Integrating acquisitions is often costly and may require significant attention from management and personnel; ●We may not realize all the anticipated benefits of acquisitions or joint ventures, or the realized benefits may be significantly delayed; and●Due diligence evaluations of potential transactions include business, legal, and financial reviews with the goal of identifying and evaluating the material risks involved. These due diligence reviews may not identify all of the issues necessary to accurately estimate the cost and potential risks of a particular acquisition or joint venture, including potential exposure to regulatory sanctions resulting from an acquisition target’s or joint venture partner’s previous activities or costs associated with any quality issues with an acquisition target’s or joint venture’s products or services. We may also decide to divest businesses if in the best interests of our shareholders and joint ventures may be terminated at or before their stated expiration. For example, in March and October 2023, we sold our financial services and roadbuilding businesses in Russia following the outbreak of the war in Ukraine. Divestitures of businesses or dissolutions of joint ventures may involve significant challenges and risks, including failure to advance our business strategy, costs or disruptions to us, and negative effects on our product offerings, which may adversely affect our business, results of operations, and financial condition. Divestitures of businesses and dissolutions of joint ventures may result in ongoing financial or legal involvement in the divested business through indemnifications or other financial arrangements, such as retained liabilities, which could affect our future financial results. Our ability to understand our customers’ preferences and requirements and to develop, manufacture, and market products that meet customer demand could significantly affect our business results.Our ability to match new product offerings to global customers’ preferences for different types and sizes of equipment and various equipment features and functionality, at affordable prices, is critical to our success. This requires a thorough understanding of our existing and potential customers on a global basis, particularly in growth markets such as Argentina, Brazil, and India. Failure to deliver quality products that meet customer needs at competitive prices could have an adverse effect on our business.In addition, customer preferences in the markets we serve are changing as a result of ongoing social and regulatory focus on sustainability as these markets transition to less carbon-intensive business models. As regulations and social pressure drive change, we must continue to proactively monitor trends and develop alternatives and enhancements that elevate and complement our product offerings. For example, even though we plan to offer electric, hybrid-electric, and battery electric equipment solutions, we may be unable to keep up with the rising demand for electric agriculture, turf, and construction equipment. Similarly, we may not realize the anticipated benefits of our Leap Ambitions and related goals within the expected timelines, or at all. As part of our Leap Ambitions we adopted various goals we expect to achieve by 2026 or 2030. We may not be able to achieve these goals for a variety reasons, some of which may be beyond our control. Examples include:"
    },
    {
      "status": "MODIFIED",
      "current_title": "Small Agriculture and Turf Operations",
      "prior_title": "Small Agriculture and Turf Operations",
      "similarity_score": 0.671,
      "confidence": "medium",
      "key_changes": [
        "Reworded sentence: \"​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2024 ​ 2023 ​ % Change ​ Net sales ​ $ 10,969 ​ $ 13,980 ​ -22 ​ Sales volume and other ​ ​ ​ ​ ​ ​ ​ -24 ​ Price realization ​ ​ ​ ​ ​ ​ ​ +2 ​ Currency translation ​ ​ ​ ​ ​ ​ ​ ​ ​ Operating profit ​ ​ 1,627 ​ ​ 2,472 ​ -34 ​ Operating margin ​ ​ 14.8% ​ ​ 17.7% ​ ​ ​ ​ Sales volumes decreased 22 percent in the U.S.\""
      ],
      "current_body": "​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2024 ​ 2023 ​ % Change ​ Net sales ​ $ 10,969 ​ $ 13,980 ​ -22 ​ Sales volume and other ​ ​ ​ ​ ​ ​ ​ -24 ​ Price realization ​ ​ ​ ​ ​ ​ ​ +2 ​ Currency translation ​ ​ ​ ​ ​ ​ ​ ​ ​ Operating profit ​ ​ 1,627 ​ ​ 2,472 ​ -34 ​ Operating margin ​ ​ 14.8% ​ ​ 17.7% ​ ​ ​ ​ Sales volumes decreased 22 percent in the U.S. and Canada, 28 percent in Europe, and 45 percent in Mexico. Price realization was 3 percent in the U.S. and Canada and 1 percent outside the U.S. and Canada driven by inflation. Current period results were impacted by special items (see Note 4).",
      "prior_body": "​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2023 ​ 2022 ​ % Change ​ Net sales ​ $ 13,980 ​ $ 13,381 ​ +4 ​ Sales volume and other ​ ​ ​ ​ ​ ​ ​ -4 ​ Price realization ​ ​ ​ ​ ​ ​ ​ +9 ​ Currency translation ​ ​ ​ ​ ​ ​ ​ -1 ​ Operating profit ​ ​ 2,472 ​ ​ 1,949 ​ +27 ​ Operating margin ​ ​ 17.7% ​ ​ 14.6% ​ ​ ​ ​ Sales volumes decreased 8 percent in the U.S. and Canada but increased 18 percent in Mexico and 2 percent in Western Europe. Price realization was 8 percent in the U.S. and Canada driven by inflation and 12 percent in Western Europe driven by strong demand.Construction and Forestry Operations​​​​​​​​​​​​​2023​2022​% Change​Net sales​$ 14,795​$ 12,534​+18​Sales volume and other​​​​​​​+9​Price realization​​​​​​​+10​Currency translation​​​​​​​-1​Operating profit​​ 2,695​​ 2,014​+34​Operating margin​​18.2%​​16.1%​​​​Sales volumes increased 18 percent in the U.S. and Canada but decreased 6 percent outside the U.S. and Canada driven by lower sales in Brazil and the suspension of shipments to Russia. Price realization was 12 percent in the U.S. and Canada driven by strong demand, and 7 percent outside the U.S. and Canada. Results in both periods were impacted by special items (see Note 4). ​ Price realization was 8 percent in the U.S. and Canada driven by inflation and 12 percent in Western Europe driven by strong demand."
    },
    {
      "status": "MODIFIED",
      "current_title": "Our business may suffer if our equipment fails to perform as expected.",
      "prior_title": "Our business may suffer if our equipment fails to perform as expected.",
      "similarity_score": 0.669,
      "confidence": "medium",
      "key_changes": [
        "Reworded sentence: \"If our equipment does not perform as expected, we may receive warranty claims and may have to perform post-sales repairs or recalls.\"",
        "Added sentence: \"UNRESOLVED STAFF COMMENTS.\"",
        "Added sentence: \"Cybersecurity is an integral part of our overall risk management program.\"",
        "Added sentence: \"We take a comprehensive approach by incorporating industry best practices to guide and evaluate our cybersecurity strategy and posture, involving key stakeholders in oversight and decision making, and assessing the program regularly within a dynamically changing environment.\"",
        "Added sentence: \"We leverage a multifaceted approach to cybersecurity including measures designed to prevent, detect, and respond to cyberthreats while monitoring and adapting to the evolving threat and technology landscapes.\""
      ],
      "current_body": "If our equipment does not perform as expected, we may receive warranty claims and may have to perform post-sales repairs or recalls. We may also be subject to regulatory requirements and penalties that will impact our ability to develop, market, and sell equipment. This may result in product delivery delays. It could also lead to product liability, breach of warranty, and consumer protection claims. These claims and warranty expenses could be significant. As a manufacturer of equipment, we must manage the cost and risk associated with product warranties, post-sale repairs and recalls, regulatory penalties, and product liability, breach of warranty, and consumer protection claims with respect to our products. In addition to post-sale repairs or recalls initiated by us for various reasons, investigations into our products by government regulators may compel us to initiate product recalls or may result in negative public perceptions about the safety of our products, even if we disagree with the regulator’s determination. Such post-sale repairs or recalls, whether voluntary or involuntary, could result in significant expense, supply chain complications, and may harm our brand, business, prospects, financial condition, and operating results. ITEM 1B. UNRESOLVED STAFF COMMENTS. None. ITEM 1C. CYBERSECURITY. Cybersecurity is an integral part of our overall risk management program. We take a comprehensive approach by incorporating industry best practices to guide and evaluate our cybersecurity strategy and posture, involving key stakeholders in oversight and decision making, and assessing the program regularly within a dynamically changing environment. We leverage a multifaceted approach to cybersecurity including measures designed to prevent, detect, and respond to cyberthreats while monitoring and adapting to the evolving threat and technology landscapes. Governance At the management level, we maintain a dedicated global team of cybersecurity professionals (Cybersecurity Team) led and managed by the Chief Information Security Officer (CISO). The Cybersecurity Team has members with experience in governance, risk management and compliance, threat monitoring, threat emulation, penetration testing, and cyber incident management. Our CISO holds a degree in Management Information Systems and has been with the Company for over ten years. He has over two decades of extensive experience in information technology and cybersecurity and reports directly to the Chief Information Officer. In addition, a cross-functional team of senior executives from across the enterprise known as the Digital Risk Governance Council (DRGC) provides oversight at the management level of the Company’s structures for managing digital risk, including the Cybersecurity Team. The Audit Review Committee (ARC) of the Board of Directors (Board) shares oversight responsibilities of our cybersecurity program, including oversight of related risks, with the full Board. Information on trends, strategic initiatives, and metrics is presented quarterly to the ARC by the CISO and/or members of the Cybersecurity Team. The ARC also receives periodic updates and information from subject matter experts in areas such as risk management, identity and access management, product security, and information technology.",
      "prior_body": "If our equipment does not perform as expected, we may receive warranty claims and have to perform post-sales repairs or recalls. We may also be subject to regulatory requirements and penalties that will impact our ability to develop, market, and sell equipment. This may result in product delivery delays. It could also lead to product liability, breach of warranty, and consumer protection claims. These claims and warranty expenses could be significant. As a manufacturer of equipment, we must manage the cost and risk associated with product warranties, post-sale repairs and recalls, regulatory penalties, and product liability, breach of warranty, and consumer protection claims with respect to our products. In addition to post-sale repairs or recalls initiated by us for various reasons, investigations into our products by government regulators may compel us to initiate product recalls or may result in negative public perceptions about the safety of our products, even if we disagree with the regulator’s determination. Such post-sale repairs or recalls, whether voluntary or involuntary, could result in significant expense, supply chain complications, and may harm our brand, business, prospects, financial condition, and operating results."
    },
    {
      "status": "MODIFIED",
      "current_title": "MANAGEMENT’S DISCUSSION AND ANALYSIS",
      "prior_title": "MANAGEMENT’S DISCUSSION AND ANALYSIS",
      "similarity_score": 0.665,
      "confidence": "medium",
      "key_changes": [
        "Reworded sentence: \"For comparison of 2023 to 2022 results, refer to the “Management’s Discussion and Analysis” section of our 2023 Form 10-K.​​OVERVIEW​Deere & Company is a global leader in the production of agricultural, turf, construction, and forestry equipment and solutions.\"",
        "Reworded sentence: \"References to “equipment operations” include PPA, SAT, and CF, while references to “agriculture and turf” include both PPA and SAT.Net Sales and Revenues by Segment in 2024​​​TRENDS & ECONOMIC CONDITIONS​Industry Sales Outlook for Fiscal 2025Agriculture and Turf​Construction and ForestryCompany TrendsCustomers seek to improve profitability, productivity, and sustainability through integrating technology into their operations.\"",
        "Reworded sentence: \"Our Smart Industrial Operating Model and Leap Ambitions are intended to capitalize on this market trend.\"",
        "Reworded sentence: \"For comparison of 2023 to 2022 results, refer to the “Management’s Discussion and Analysis” section of our 2023 Form 10-K.​​OVERVIEW​Deere & Company is a global leader in the production of agricultural, turf, construction, and forestry equipment and solutions.\"",
        "Reworded sentence: \"References to “equipment operations” include PPA, SAT, and CF, while references to “agriculture and turf” include both PPA and SAT.Net Sales and Revenues by Segment in 2024​​​TRENDS & ECONOMIC CONDITIONS​Industry Sales Outlook for Fiscal 2025Agriculture and Turf​Construction and ForestryCompany TrendsCustomers seek to improve profitability, productivity, and sustainability through integrating technology into their operations.\""
      ],
      "current_body": "Management’s Discussion and Analysis of Financial Condition and Results of Operations (MD&A) is intended to promote understanding of our financial condition and results of operations. The MD&A is provided as a supplement to, and should be read in conjunction with, the consolidated financial statements and the accompanying Notes to Consolidated Financial Statements. All amounts are presented in millions of dollars, unless otherwise specified. For comparison of 2023 to 2022 results, refer to the “Management’s Discussion and Analysis” section of our 2023 Form 10-K.​​OVERVIEW​Deere & Company is a global leader in the production of agricultural, turf, construction, and forestry equipment and solutions. John Deere Financial provides financing for John Deere equipment, parts, services, and other inputs customers need to run their operations. Our operations are managed through the production and precision agriculture (PPA), small agriculture and turf (SAT), construction and forestry (CF), and financial services operating segments. References to “equipment operations” include PPA, SAT, and CF, while references to “agriculture and turf” include both PPA and SAT.Net Sales and Revenues by Segment in 2024​​​TRENDS & ECONOMIC CONDITIONS​Industry Sales Outlook for Fiscal 2025Agriculture and Turf​Construction and ForestryCompany TrendsCustomers seek to improve profitability, productivity, and sustainability through integrating technology into their operations. Deeper integration of technology into equipment is a persistent market trend. These technologies are incorporated into products within each of our operating segments. We expect this trend to persist for the foreseeable future. Our Smart Industrial Operating Model and Leap Ambitions are intended to capitalize on this market trend. Engaged acres are an indicator we use to understand customer utilization of our technology. We are investing in a Solutions as a Service business model to increase technology adoption and utilization by our customers. Solutions as a Service products did not represent a significant percentage of our revenues in 2024.Company Outlook for 2025●Agriculture and turf equipment sales are projected to decline in 2025 due to contraction of agriculture markets globally.●Construction equipment sales are projected to decline in 2025 as healthy end markets are offset by continued uncertainty in equipment purchases. Roadbuilding equipment sales are anticipated to be generally flat.Agriculture and Turf Outlook for 2025●Demand in the U.S. and Canada is expected to further moderate amidst weak farm fundamentals, high interest rates, elevated used inventory levels, and short-term farmer liquidity concerns heading into the 2025 growing season.●We expect small agricultural equipment sales to be down from 2024 levels in the U.S. and Canada. The dairy and livestock segment is anticipated to have another year of strong profitability as elevated livestock and hay prices are further enhanced by low input feed costs. This is projected to be more than offset by restrained demand in the turf and compact utility tractor markets as single family home sales and home improvement spending remain stagnant amid high interest rates. ●In Europe, the industry is forecasted to be down as farm fundamentals in the region continue to deteriorate, but at a moderated pace relative to 2024. Adverse factors include depressed yields from unfavorable weather, reduced regional commodity prices due to a mixture of excess grain inflows from Ukraine and global pricing pressures, persistently elevated input costs, and unfavorable agriculture legislation. These issues coupled with high interest rates and elevated industry inventory Management’s Discussion and Analysis of Financial Condition and Results of Operations (MD&A) is intended to promote understanding of our financial condition and results of operations. The MD&A is provided as a supplement to, and should be read in conjunction with, the consolidated financial statements and the accompanying Notes to Consolidated Financial Statements. All amounts are presented in millions of dollars, unless otherwise specified. For comparison of 2023 to 2022 results, refer to the “Management’s Discussion and Analysis” section of our 2023 Form 10-K.​​OVERVIEW​Deere & Company is a global leader in the production of agricultural, turf, construction, and forestry equipment and solutions. John Deere Financial provides financing for John Deere equipment, parts, services, and other inputs customers need to run their operations. Our operations are managed through the production and precision agriculture (PPA), small agriculture and turf (SAT), construction and forestry (CF), and financial services operating segments. References to “equipment operations” include PPA, SAT, and CF, while references to “agriculture and turf” include both PPA and SAT.Net Sales and Revenues by Segment in 2024​​​TRENDS & ECONOMIC CONDITIONS​Industry Sales Outlook for Fiscal 2025Agriculture and Turf​Construction and ForestryCompany TrendsCustomers seek to improve profitability, productivity, and sustainability through integrating technology into their operations. Deeper integration of technology into equipment is a persistent market trend. These technologies are incorporated into products within each of our operating segments. We expect this trend to persist for the foreseeable future. Our Smart Industrial Operating Model and Leap Ambitions are intended to capitalize on this market trend. Engaged acres are an indicator we use to understand customer utilization of our technology. We are investing in a Solutions as a Service business model to increase technology adoption and utilization by our customers. Solutions as a Service products did not represent a significant percentage of our revenues in 2024.Company Outlook for 2025●Agriculture and turf equipment sales are projected to decline in 2025 due to contraction of agriculture markets globally.●Construction equipment sales are projected to decline in 2025 as healthy end markets are offset by continued uncertainty in equipment purchases. Roadbuilding equipment sales are anticipated to be generally flat.Agriculture and Turf Outlook for 2025●Demand in the U.S. and Canada is expected to further moderate amidst weak farm fundamentals, high interest rates, elevated used inventory levels, and short-term farmer liquidity concerns heading into the 2025 growing season.●We expect small agricultural equipment sales to be down from 2024 levels in the U.S. and Canada. The dairy and livestock segment is anticipated to have another year of strong profitability as elevated livestock and hay prices are further enhanced by low input feed costs. This is projected to be more than offset by restrained demand in the turf and compact utility tractor markets as single family home sales and home improvement spending remain stagnant amid high interest rates. ●In Europe, the industry is forecasted to be down as farm fundamentals in the region continue to deteriorate, but at a moderated pace relative to 2024. Adverse factors include depressed yields from unfavorable weather, reduced regional commodity prices due to a mixture of excess grain inflows from Ukraine and global pricing pressures, persistently elevated input costs, and unfavorable agriculture legislation. These issues coupled with high interest rates and elevated industry inventory Management’s Discussion and Analysis of Financial Condition and Results of Operations (MD&A) is intended to promote understanding of our financial condition and results of operations. The MD&A is provided as a supplement to, and should be read in conjunction with, the consolidated financial statements and the accompanying Notes to Consolidated Financial Statements. All amounts are presented in millions of dollars, unless otherwise specified. For comparison of 2023 to 2022 results, refer to the “Management’s Discussion and Analysis” section of our 2023 Form 10-K.​​OVERVIEW​Deere & Company is a global leader in the production of agricultural, turf, construction, and forestry equipment and solutions. John Deere Financial provides financing for John Deere equipment, parts, services, and other inputs customers need to run their operations. Our operations are managed through the production and precision agriculture (PPA), small agriculture and turf (SAT), construction and forestry (CF), and financial services operating segments. References to “equipment operations” include PPA, SAT, and CF, while references to “agriculture and turf” include both PPA and SAT.Net Sales and Revenues by Segment in 2024​​​TRENDS & ECONOMIC CONDITIONS​Industry Sales Outlook for Fiscal 2025Agriculture and Turf​Construction and ForestryCompany TrendsCustomers seek to improve profitability, productivity, and sustainability through integrating technology into their operations. Deeper integration of technology into equipment is a persistent market trend. These technologies are incorporated into products within each of our operating segments. We expect this trend to persist for the foreseeable future. Our Smart Industrial Operating Model and Leap Ambitions are intended to capitalize on this market trend. Engaged acres are an indicator we use to understand customer utilization of our technology. We are investing in a Solutions as a Service business model to increase technology adoption and utilization by our customers. Solutions as a Service products did not represent a significant percentage of our revenues in 2024.Company Outlook for 2025●Agriculture and turf equipment sales are projected to decline in 2025 due to contraction of agriculture markets globally.●Construction equipment sales are projected to decline in 2025 as healthy end markets are offset by continued uncertainty in equipment purchases. Roadbuilding equipment sales are anticipated to be generally flat.Agriculture and Turf Outlook for 2025●Demand in the U.S. and Canada is expected to further moderate amidst weak farm fundamentals, high interest rates, elevated used inventory levels, and short-term farmer liquidity concerns heading into the 2025 growing season.●We expect small agricultural equipment sales to be down from 2024 levels in the U.S. and Canada. The dairy and livestock segment is anticipated to have another year of strong profitability as elevated livestock and hay prices are further enhanced by low input feed costs. This is projected to be more than offset by restrained demand in the turf and compact utility tractor markets as single family home sales and home improvement spending remain stagnant amid high interest rates. ●In Europe, the industry is forecasted to be down as farm fundamentals in the region continue to deteriorate, but at a moderated pace relative to 2024. Adverse factors include depressed yields from unfavorable weather, reduced regional commodity prices due to a mixture of excess grain inflows from Ukraine and global pricing pressures, persistently elevated input costs, and unfavorable agriculture legislation. These issues coupled with high interest rates and elevated industry inventory Management’s Discussion and Analysis of Financial Condition and Results of Operations (MD&A) is intended to promote understanding of our financial condition and results of operations. The MD&A is provided as a supplement to, and should be read in conjunction with, the consolidated financial statements and the accompanying Notes to Consolidated Financial Statements. All amounts are presented in millions of dollars, unless otherwise specified. For comparison of 2023 to 2022 results, refer to the “Management’s Discussion and Analysis” section of our 2023 Form 10-K.​​OVERVIEW​Deere & Company is a global leader in the production of agricultural, turf, construction, and forestry equipment and solutions. John Deere Financial provides financing for John Deere equipment, parts, services, and other inputs customers need to run their operations. Our operations are managed through the production and precision agriculture (PPA), small agriculture and turf (SAT), construction and forestry (CF), and financial services operating segments. References to “equipment operations” include PPA, SAT, and CF, while references to “agriculture and turf” include both PPA and SAT.Net Sales and Revenues by Segment in 2024​​​TRENDS & ECONOMIC CONDITIONS​Industry Sales Outlook for Fiscal 2025Agriculture and Turf",
      "prior_body": "Management’s Discussion and Analysis of Financial Condition and Results of Operations (MD&A) is intended to promote understanding of our financial condition and results of operations. The MD&A is provided as a supplement to, and should be read in conjunction with, the consolidated financial statements and the accompanying Notes to Consolidated Financial Statements. All amounts are presented in millions of dollars, unless otherwise specified. For comparison of 2022 to 2021 results, refer to the “Management’s Discussion and Analysis” section of our 2022 Form 10-K.​​OVERVIEW​Deere & Company is a global leader in the production of agricultural, turf, construction, and forestry equipment and solutions. John Deere Financial provides financing for John Deere equipment, parts, service, and other input costs customers need to run their operations. Our operations are managed through the production and precision agriculture (PPA), small agriculture and turf (SAT), construction and forestry (CF), and financial services operating segments. References to “equipment operations” include PPA, SAT, and CF, while references to “agriculture and turf” include both PPA and SAT.Net Sales and Revenues by Segment in 2023Smart Industrial Operating Model and Leap AmbitionsWe announced the Smart Industrial Operating Model in 2020. This operating model is based on three focus areas:(a)Production systems: A strategic alignment of products and solutions around our customers’ operations.(b)Technology stack: Investments in technology, as well as research and development, that deliver intelligent solutions to our customers through digital capabilities, automation, autonomy, and alternative power technologies.(c)Lifecycle solutions: The integration of our aftermarket and support capabilities to more effectively manage customer equipment, service, and technology needs across the full lifetime of a John Deere product. Our Leap Ambitions were launched in 2022. These ambitions are designed to boost economic value and sustainability for our customers. The ambitions align across our customers’ production systems seeking to optimize their operations to deliver better outcomes with fewer resources.​​TRENDS & ECONOMIC CONDITIONS​Industry Sales Outlook for Fiscal 2024Company Trends – Customers seek to improve profitability, productivity, and sustainability through technology. Integration of technology into equipment is a persistent market trend. Our Smart Industrial Operating Model and Leap Ambitions are intended to capitalize on this market trend. These technologies are incorporated into products within each of our operating segments. We expect this trend to persist for the foreseeable future. The investments in these technologies and in establishing a Solutions as a Service business model might increase our operating costs and may decrease operating margins during the transition period. Most notably in 2023, we introduced See & Spray™ Ultimate and a new model of See & Spray™ Premium. These technologies were introduced on a limited basis and did not represent a significant percentage of our sales in 2023.Company Outlook for 2024●Demand is expected to decline in 2024.●Production volumes will decline to more normal levels in 2024.Agriculture and Turf Outlook for 2024●We expect large agricultural equipment sales to decline in 2024 in North America, Europe, and South America. ●Demand for small agricultural equipment is expected to moderate in Europe.●Turf and utility equipment product sales are expected to be lower due to the overall U.S. economic condition and elevated interest rates. Market Conditions:●Agricultural fundamentals are expected to moderate in 2024 due to lower commodity prices and elevated interest rates, offset by declining input costs and improved customer financials. Management’s Discussion and Analysis of Financial Condition and Results of Operations (MD&A) is intended to promote understanding of our financial condition and results of operations. The MD&A is provided as a supplement to, and should be read in conjunction with, the consolidated financial statements and the accompanying Notes to Consolidated Financial Statements. All amounts are presented in millions of dollars, unless otherwise specified. For comparison of 2022 to 2021 results, refer to the “Management’s Discussion and Analysis” section of our 2022 Form 10-K.​​OVERVIEW​Deere & Company is a global leader in the production of agricultural, turf, construction, and forestry equipment and solutions. John Deere Financial provides financing for John Deere equipment, parts, service, and other input costs customers need to run their operations. Our operations are managed through the production and precision agriculture (PPA), small agriculture and turf (SAT), construction and forestry (CF), and financial services operating segments. References to “equipment operations” include PPA, SAT, and CF, while references to “agriculture and turf” include both PPA and SAT.Net Sales and Revenues by Segment in 2023Smart Industrial Operating Model and Leap AmbitionsWe announced the Smart Industrial Operating Model in 2020. This operating model is based on three focus areas:(a)Production systems: A strategic alignment of products and solutions around our customers’ operations.(b)Technology stack: Investments in technology, as well as research and development, that deliver intelligent solutions to our customers through digital capabilities, automation, autonomy, and alternative power technologies.(c)Lifecycle solutions: The integration of our aftermarket and support capabilities to more effectively manage customer equipment, service, and technology needs across the full lifetime of a John Deere product. Our Leap Ambitions were launched in 2022. These ambitions are designed to boost economic value and sustainability for our customers. The ambitions align across our customers’ production systems seeking to optimize their operations to deliver better outcomes with fewer resources.​​TRENDS & ECONOMIC CONDITIONS​Industry Sales Outlook for Fiscal 2024Company Trends – Customers seek to improve profitability, productivity, and sustainability through technology. Integration of technology into equipment is a persistent market trend. Our Smart Industrial Operating Model and Leap Ambitions are intended to capitalize on this market trend. These technologies are incorporated into products within each of our operating segments. We expect this trend to persist for the foreseeable future. The investments in these technologies and in establishing a Solutions as a Service business model might increase our operating costs and may decrease operating margins during the transition period. Most notably in 2023, we introduced See & Spray™ Ultimate and a new model of See & Spray™ Premium. These technologies were introduced on a limited basis and did not represent a significant percentage of our sales in 2023.Company Outlook for 2024●Demand is expected to decline in 2024.●Production volumes will decline to more normal levels in 2024.Agriculture and Turf Outlook for 2024●We expect large agricultural equipment sales to decline in 2024 in North America, Europe, and South America. ●Demand for small agricultural equipment is expected to moderate in Europe.●Turf and utility equipment product sales are expected to be lower due to the overall U.S. economic condition and elevated interest rates. Market Conditions:●Agricultural fundamentals are expected to moderate in 2024 due to lower commodity prices and elevated interest rates, offset by declining input costs and improved customer financials. Management’s Discussion and Analysis of Financial Condition and Results of Operations (MD&A) is intended to promote understanding of our financial condition and results of operations. The MD&A is provided as a supplement to, and should be read in conjunction with, the consolidated financial statements and the accompanying Notes to Consolidated Financial Statements. All amounts are presented in millions of dollars, unless otherwise specified. For comparison of 2022 to 2021 results, refer to the “Management’s Discussion and Analysis” section of our 2022 Form 10-K.​​OVERVIEW​Deere & Company is a global leader in the production of agricultural, turf, construction, and forestry equipment and solutions. John Deere Financial provides financing for John Deere equipment, parts, service, and other input costs customers need to run their operations. Our operations are managed through the production and precision agriculture (PPA), small agriculture and turf (SAT), construction and forestry (CF), and financial services operating segments. References to “equipment operations” include PPA, SAT, and CF, while references to “agriculture and turf” include both PPA and SAT.Net Sales and Revenues by Segment in 2023Smart Industrial Operating Model and Leap AmbitionsWe announced the Smart Industrial Operating Model in 2020. This operating model is based on three focus areas:(a)Production systems: A strategic alignment of products and solutions around our customers’ operations.(b)Technology stack: Investments in technology, as well as research and development, that deliver intelligent solutions to our customers through digital capabilities, automation, autonomy, and alternative power technologies.(c)Lifecycle solutions: The integration of our aftermarket and support capabilities to more effectively manage customer equipment, service, and technology needs across the full lifetime of a John Deere product. Our Leap Ambitions were launched in 2022. These ambitions are designed to boost economic value and sustainability for our customers. The ambitions align across our customers’ production systems seeking to optimize their operations to deliver better outcomes with fewer resources."
    },
    {
      "status": "MODIFIED",
      "current_title": "Management’s Report on Internal Control Over Financial Reporting",
      "prior_title": "Management’s Report on Internal Control Over Financial Reporting",
      "similarity_score": 0.656,
      "confidence": "medium",
      "key_changes": [
        "Reworded sentence: \"Our internal control system was designed to provide reasonable assurance regarding the preparation and fair presentation of published financial statements in accordance with generally accepted U.S.\"",
        "Reworded sentence: \"Management assessed the effectiveness of our internal control over financial reporting as of October 27, 2024, using the criteria set forth in Internal Control – Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission.\""
      ],
      "current_body": "Management is responsible for establishing and maintaining adequate internal control over financial reporting. Our internal control system was designed to provide reasonable assurance regarding the preparation and fair presentation of published financial statements in accordance with generally accepted U.S. accounting principles. All internal control systems, no matter how well designed, have inherent limitations. Therefore, even those systems determined to be effective can provide only reasonable assurance with respect to financial statement preparation and presentation in accordance with generally accepted accounting principles. Management assessed the effectiveness of our internal control over financial reporting as of October 27, 2024, using the criteria set forth in Internal Control – Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission. Based on that assessment, management concluded that, as of October 27, 2024, our internal control over financial reporting was effective. Our independent registered public accounting firm has issued an audit report on the effectiveness of our internal control over financial reporting. That report is included herein.",
      "prior_body": "Management is responsible for establishing and maintaining adequate internal control over financial reporting. Our internal control system was designed to provide reasonable assurance regarding the preparation and fair presentation of published financial statements in accordance with generally accepted accounting principles. 26 26 26 Table of ContentsAll internal control systems, no matter how well designed, have inherent limitations. Therefore, even those systems determined to be effective can provide only reasonable assurance with respect to financial statement preparation and presentation in accordance with generally accepted accounting principles.Management assessed the effectiveness of our internal control over financial reporting as of October 29, 2023, using the criteria set forth in Internal Control - Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission. Based on that assessment, management concluded that, as of October 29, 2023, our internal control over financial reporting was effective.Our independent registered public accounting firm has issued an audit report on the effectiveness of our internal control over financial reporting. That report is included herein.Changes in Internal Control Over Financial ReportingDuring the fourth quarter, there were no changes that have materially affected or are reasonably likely to materially affect our internal control over financial reporting.ITEM 9B.OTHER INFORMATION.Director and Executive Officer Trading ArrangementsNone.ITEM 9C. DISCLOSURE REGARDING FOREIGN JURISDICTIONS THAT PREVENT INSPECTIONS.Not applicable.PART IIIITEM 10.DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE.The information regarding directors required by this Item 10 will be set forth in the definitive proxy statement for our 2024 annual meeting of stockholders (proxy statement) to be filed with the Commission in advance of such meeting. Information regarding executive officers is presented in Item 1 of this report under the caption \"Information about our Executive Officers.\"We have adopted a code of ethics that applies to our executives, including our principal executive officer, principal financial officer, and principal accounting officer. This code of ethics and our corporate governance policies are posted on our website at http://www.deere.com/governance. We intend to satisfy disclosure requirements regarding amendments to or waivers from our code of ethics by posting such information on this website. The charters of the Audit Review, Corporate Governance, Compensation, and Finance committees of our Board of Directors are available on our website as well. This information is also available in print free of charge to any person who requests it.ITEM 11.EXECUTIVE COMPENSATION.The information required by this Item 11 will be set forth in the proxy statement to be filed with the Commission.ITEM 12.SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS.The information required by this Item 12 will be set forth in the proxy statement to be filed with the Commission.ITEM 13.CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE.The information required by this Item 13 will be set forth in the proxy statement to be filed with the Commission.ITEM 14.PRINCIPAL ACCOUNTANT FEES AND SERVICES.Information required by this Item 14, including aggregate fees billed to us by our principal accountant, Deloitte & Touche LLP (PCAOB ID No. 34), will be set forth in the proxy statement to be filed with the Commission.​27 Table of Contents Table of Contents Table of Contents All internal control systems, no matter how well designed, have inherent limitations. Therefore, even those systems determined to be effective can provide only reasonable assurance with respect to financial statement preparation and presentation in accordance with generally accepted accounting principles.Management assessed the effectiveness of our internal control over financial reporting as of October 29, 2023, using the criteria set forth in Internal Control - Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission. Based on that assessment, management concluded that, as of October 29, 2023, our internal control over financial reporting was effective.Our independent registered public accounting firm has issued an audit report on the effectiveness of our internal control over financial reporting. That report is included herein.Changes in Internal Control Over Financial ReportingDuring the fourth quarter, there were no changes that have materially affected or are reasonably likely to materially affect our internal control over financial reporting.ITEM 9B.OTHER INFORMATION.Director and Executive Officer Trading ArrangementsNone.ITEM 9C. DISCLOSURE REGARDING FOREIGN JURISDICTIONS THAT PREVENT INSPECTIONS.Not applicable.PART IIIITEM 10.DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE.The information regarding directors required by this Item 10 will be set forth in the definitive proxy statement for our 2024 annual meeting of stockholders (proxy statement) to be filed with the Commission in advance of such meeting. Information regarding executive officers is presented in Item 1 of this report under the caption \"Information about our Executive Officers.\"We have adopted a code of ethics that applies to our executives, including our principal executive officer, principal financial officer, and principal accounting officer. This code of ethics and our corporate governance policies are posted on our website at http://www.deere.com/governance. We intend to satisfy disclosure requirements regarding amendments to or waivers from our code of ethics by posting such information on this website. The charters of the Audit Review, Corporate Governance, Compensation, and Finance committees of our Board of Directors are available on our website as well. This information is also available in print free of charge to any person who requests it.ITEM 11.EXECUTIVE COMPENSATION.The information required by this Item 11 will be set forth in the proxy statement to be filed with the Commission.ITEM 12.SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS.The information required by this Item 12 will be set forth in the proxy statement to be filed with the Commission.ITEM 13.CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE.The information required by this Item 13 will be set forth in the proxy statement to be filed with the Commission.ITEM 14.PRINCIPAL ACCOUNTANT FEES AND SERVICES.Information required by this Item 14, including aggregate fees billed to us by our principal accountant, Deloitte & Touche LLP (PCAOB ID No. 34), will be set forth in the proxy statement to be filed with the Commission.​ All internal control systems, no matter how well designed, have inherent limitations. Therefore, even those systems determined to be effective can provide only reasonable assurance with respect to financial statement preparation and presentation in accordance with generally accepted accounting principles. Management assessed the effectiveness of our internal control over financial reporting as of October 29, 2023, using the criteria set forth in Internal Control - Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission. Based on that assessment, management concluded that, as of October 29, 2023, our internal control over financial reporting was effective. Our independent registered public accounting firm has issued an audit report on the effectiveness of our internal control over financial reporting. That report is included herein."
    },
    {
      "status": "MODIFIED",
      "current_title": "Cash Flows from Operating Activities",
      "prior_title": "Cash Flows from Operating Activities",
      "similarity_score": 0.647,
      "confidence": "medium",
      "key_changes": [
        "Reworded sentence: \"​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net income ​ $ 6,392 ​ $ 9,536 ​ $ 6,250 ​ $ 696 ​ $ 619 ​ $ 880 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ $ 7,088 ​ $ 10,155 ​ $ 7,130 ​ ​ ​ Adjustments to reconcile net income to net cash provided by operating activities: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Provision (credit) for credit losses ​ ​ 14 ​ ​ 7 ​ ​ 3 ​ ​ 296 ​ ​ (23) ​ ​ 189 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 310 ​ ​ (16) ​ ​ 192 ​ ​ ​ Provision for depreciation and amortization ​ ​ 1,220 ​ ​ 1,123 ​ ​ 1,041 ​ ​ 1,040 ​ ​ 1,016 ​ ​ 1,050 ​ $ (142) ​ $ (135) ​ $ (196) ​ ​ 2,118 ​ ​ 2,004 ​ ​ 1,895 ​ 11​ ​ Impairments and other adjustments ​ ​ 28 ​ ​ 18 ​ ​ 88 ​ ​ 97 ​ ​ 173 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 125 ​ ​ 191 ​ ​ 88 ​ ​ ​ Share-based compensation expense ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 208 ​ ​ 130 ​ ​ 85 ​ ​ 208 ​ ​ 130 ​ ​ 85 ​ 12​ ​ Gain on remeasurement of previously held equity investment ​ ​ ​ ​ ​ ​ ​ ​ (326) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (326) ​ ​ ​ Distributed earnings of Financial Services ​ ​ 250 ​ ​ 215 ​ ​ 444 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (250) ​ ​ (215) ​ ​ (444) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 13​ ​ Provision (credit) for deferred income taxes ​ ​ (97) ​ ​ (959) ​ ​ 8 ​ ​ (197) ​ ​ 169 ​ ​ (74) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (294) ​ ​ (790) ​ ​ (66) ​ ​ ​ Changes in assets and liabilities: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Receivables related to sales ​ ​ (13) ​ ​ (58) ​ ​ (189) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 434 ​ ​ (4,195) ​ ​ (2,294) ​ ​ 421 ​ ​ (4,253) ​ ​ (2,483) ​ 14, 16​ ​ Inventories ​ ​ 1,011 ​ ​ 474 ​ ​ (1,924) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (223) ​ ​ (195) ​ ​ (167) ​ ​ 788 ​ ​ 279 ​ ​ (2,091) ​ 15​ ​ Accounts payable and accrued expenses ​ ​ (1,429) ​ ​ 1,352 ​ ​ 1,444 ​ ​ 277 ​ ​ 449 ​ ​ 143 ​ ​ 112 ​ ​ (971) ​ ​ (454) ​ ​ (1,040) ​ ​ 830 ​ ​ 1,133 ​ 16​ ​ Accrued income taxes payable/receivable ​ ​ (218) ​ ​ 8 ​ ​ 166 ​ ​ 95 ​ ​ (31) ​ ​ (25) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (123) ​ ​ (23) ​ ​ 141 ​ ​ ​ Retirement benefits ​ ​ (215) ​ ​ (164) ​ ​ (1,016) ​ ​ (12) ​ ​ (6) ​ ​ 1 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (227) ​ ​ (170) ​ ​ (1,015) ​ ​ ​ Other ​ ​ (38) ​ ​ 367 ​ ​ 250 ​ ​ 40 ​ ​ (51) ​ ​ (287) ​ ​ (145) ​ ​ (64) ​ ​ 53 ​ ​ (143) ​ ​ 252 ​ ​ 16 ​ 11, 12, 15​ ​ Net cash provided by operating activities ​ ​ 6,905 ​ ​ 11,919 ​ ​ 6,239 ​ ​ 2,332 ​ ​ 2,315 ​ ​ 1,877 ​ ​ (6) ​ ​ (5,645) ​ ​ (3,417) ​ ​ 9,231 ​ ​ 8,589 ​ ​ 4,699 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​\""
      ],
      "current_body": "​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net income ​ $ 6,392 ​ $ 9,536 ​ $ 6,250 ​ $ 696 ​ $ 619 ​ $ 880 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ $ 7,088 ​ $ 10,155 ​ $ 7,130 ​ ​ ​ Adjustments to reconcile net income to net cash provided by operating activities: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Provision (credit) for credit losses ​ ​ 14 ​ ​ 7 ​ ​ 3 ​ ​ 296 ​ ​ (23) ​ ​ 189 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 310 ​ ​ (16) ​ ​ 192 ​ ​ ​ Provision for depreciation and amortization ​ ​ 1,220 ​ ​ 1,123 ​ ​ 1,041 ​ ​ 1,040 ​ ​ 1,016 ​ ​ 1,050 ​ $ (142) ​ $ (135) ​ $ (196) ​ ​ 2,118 ​ ​ 2,004 ​ ​ 1,895 ​ 11​ ​ Impairments and other adjustments ​ ​ 28 ​ ​ 18 ​ ​ 88 ​ ​ 97 ​ ​ 173 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 125 ​ ​ 191 ​ ​ 88 ​ ​ ​ Share-based compensation expense ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 208 ​ ​ 130 ​ ​ 85 ​ ​ 208 ​ ​ 130 ​ ​ 85 ​ 12​ ​ Gain on remeasurement of previously held equity investment ​ ​ ​ ​ ​ ​ ​ ​ (326) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (326) ​ ​ ​ Distributed earnings of Financial Services ​ ​ 250 ​ ​ 215 ​ ​ 444 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (250) ​ ​ (215) ​ ​ (444) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 13​ ​ Provision (credit) for deferred income taxes ​ ​ (97) ​ ​ (959) ​ ​ 8 ​ ​ (197) ​ ​ 169 ​ ​ (74) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (294) ​ ​ (790) ​ ​ (66) ​ ​ ​ Changes in assets and liabilities: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Receivables related to sales ​ ​ (13) ​ ​ (58) ​ ​ (189) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 434 ​ ​ (4,195) ​ ​ (2,294) ​ ​ 421 ​ ​ (4,253) ​ ​ (2,483) ​ 14, 16​ ​ Inventories ​ ​ 1,011 ​ ​ 474 ​ ​ (1,924) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (223) ​ ​ (195) ​ ​ (167) ​ ​ 788 ​ ​ 279 ​ ​ (2,091) ​ 15​ ​ Accounts payable and accrued expenses ​ ​ (1,429) ​ ​ 1,352 ​ ​ 1,444 ​ ​ 277 ​ ​ 449 ​ ​ 143 ​ ​ 112 ​ ​ (971) ​ ​ (454) ​ ​ (1,040) ​ ​ 830 ​ ​ 1,133 ​ 16​ ​ Accrued income taxes payable/receivable ​ ​ (218) ​ ​ 8 ​ ​ 166 ​ ​ 95 ​ ​ (31) ​ ​ (25) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (123) ​ ​ (23) ​ ​ 141 ​ ​ ​ Retirement benefits ​ ​ (215) ​ ​ (164) ​ ​ (1,016) ​ ​ (12) ​ ​ (6) ​ ​ 1 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (227) ​ ​ (170) ​ ​ (1,015) ​ ​ ​ Other ​ ​ (38) ​ ​ 367 ​ ​ 250 ​ ​ 40 ​ ​ (51) ​ ​ (287) ​ ​ (145) ​ ​ (64) ​ ​ 53 ​ ​ (143) ​ ​ 252 ​ ​ 16 ​ 11, 12, 15​ ​ Net cash provided by operating activities ​ ​ 6,905 ​ ​ 11,919 ​ ​ 6,239 ​ ​ 2,332 ​ ​ 2,315 ​ ​ 1,877 ​ ​ (6) ​ ​ (5,645) ​ ​ (3,417) ​ ​ 9,231 ​ ​ 8,589 ​ ​ 4,699 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​",
      "prior_body": "​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net income ​ $ 9,536 ​ $ 6,250 ​ $ 5,084 ​ $ 619 ​ $ 880 ​ $ 881 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ $ 10,155 ​ $ 7,130 ​ $ 5,965 ​ ​ ​ Adjustments to reconcile net income to net cash provided by operating activities: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Provision (credit) for credit losses ​ ​ 7 ​ ​ 3 ​ ​ 7 ​ ​ (23) ​ ​ 189 ​ ​ (13) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (16) ​ ​ 192 ​ ​ (6) ​ ​ ​ Provision for depreciation and amortization ​ ​ 1,123 ​ ​ 1,041 ​ ​ 1,043 ​ ​ 1,016 ​ ​ 1,050 ​ ​ 1,140 ​ $ (135) ​ $ (196) ​ $ (133) ​ ​ 2,004 ​ ​ 1,895 ​ ​ 2,050 ​ 12​ ​ Impairments and other adjustments ​ ​ 18 ​ ​ 88 ​ ​ 50 ​ ​ 173 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 191 ​ ​ 88 ​ ​ 50 ​ ​ ​ Share-based compensation expense ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 130 ​ ​ 85 ​ ​ 82 ​ ​ 130 ​ ​ 85 ​ ​ 82 ​ 13​ ​ Gain on remeasurement of previously held equity investment ​ ​ ​ ​ ​ (326) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (326) ​ ​ ​ ​ ​ ​ Distributed earnings of Financial Services ​ ​ 215 ​ ​ 444 ​ ​ 555 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (215) ​ ​ (444) ​ ​ (555) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 14​ ​ Provision (credit) for deferred income taxes ​ ​ (959) ​ ​ 8 ​ ​ (369) ​ ​ 169 ​ ​ (74) ​ ​ (72) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (790) ​ ​ (66) ​ ​ (441) ​ ​ ​ Changes in assets and liabilities: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Receivables related to sales ​ ​ (58) ​ ​ (189) ​ ​ (105) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (4,195) ​ ​ (2,294) ​ ​ 1,074 ​ ​ (4,253) ​ ​ (2,483) ​ ​ 969 ​ 15, 17, 18​ ​ Inventories ​ ​ 474 ​ ​ (1,924) ​ ​ (1,835) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (195) ​ ​ (167) ​ ​ (662) ​ ​ 279 ​ ​ (2,091) ​ ​ (2,497) ​ 16​ ​ Accounts payable and accrued expenses ​ ​ 1,352 ​ ​ 1,444 ​ ​ 1,589 ​ ​ 449 ​ ​ 143 ​ ​ 57 ​ ​ (971) ​ ​ (454) ​ ​ 238 ​ ​ 830 ​ ​ 1,133 ​ ​ 1,884 ​ 17​ ​ Accrued income taxes payable/receivable ​ ​ 8 ​ ​ 166 ​ ​ 13 ​ ​ (31) ​ ​ (25) ​ ​ (2) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (23) ​ ​ 141 ​ ​ 11 ​ ​ ​ Retirement benefits ​ ​ (164) ​ ​ (1,016) ​ ​ 30 ​ ​ (6) ​ ​ 1 ​ ​ (1) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (170) ​ ​ (1,015) ​ ​ 29 ​ ​ ​ Other ​ ​ 367 ​ ​ 250 ​ ​ (162) ​ ​ (51) ​ ​ (287) ​ ​ (25) ​ ​ (64) ​ ​ 53 ​ ​ (183) ​ ​ 252 ​ ​ 16 ​ ​ (370) ​ 12, 13, 16​ ​ Net cash provided by operating activities ​ ​ 11,919 ​ ​ 6,239 ​ ​ 5,900 ​ ​ 2,315 ​ ​ 1,877 ​ ​ 1,965 ​ ​ (5,645) ​ ​ (3,417) ​ ​ (139) ​ ​ 8,589 ​ ​ 4,699 ​ ​ 7,726 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​"
    },
    {
      "status": "MODIFIED",
      "current_title": "2024 compared to 2023",
      "prior_title": "Construction and Forestry Operations",
      "similarity_score": 0.637,
      "confidence": "medium",
      "key_changes": [
        "Reworded sentence: \"​ ​ 32 32 32 Table of Contents​​​BUSINESS SEGMENT RESULTS2023 compared to 2022Please refer to the “Management’s Discussion and Analysis” section of our 2023 Form 10-K.​​CAPITAL RESOURCES AND LIQUIDITY2024 compared to 2023We have access to global markets at a reasonable cost.\"",
        "Reworded sentence: \"We are forecasting lower operating cash flows from equipment operations in 2025 compared with 2024 driven by a decrease in net income adjusted for non-cash provisions, partially offset by higher cash flows generated from inventory reductions.\"",
        "Reworded sentence: \"The financial services operations rely on their ability to raise substantial amounts of funds to finance their receivable and lease portfolios.The assets and liabilities of Banco John Deere S.A.\"",
        "Reworded sentence: \"We are forecasting lower operating cash flows from equipment operations in 2025 compared with 2024 driven by a decrease in net income adjusted for non-cash provisions, partially offset by higher cash flows generated from inventory reductions.\"",
        "Reworded sentence: \"The financial services operations rely on their ability to raise substantial amounts of funds to finance their receivable and lease portfolios.The assets and liabilities of Banco John Deere S.A.\""
      ],
      "current_body": "​ Each equipment operations segment experienced lower shipment volumes partially offset by price realization during 2024. Rising global grain stocks, lower commodity prices, elevated interest rates, and the effect of inventory management contributed to lower shipment volumes for large and small agriculture. Declines in housing starts, decreases in rental purchases, lower levels of commercial real estate construction, and the effect of inventory management contributed to lower shipment volumes for construction equipment. Production costs were favorable in 2024 due to lower material and employee profit-sharing incentives costs, partially offset by higher manufacturing overhead costs driven by lower volumes and production inefficiencies.",
      "prior_body": "​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2023 ​ 2022 ​ % Change ​ Net sales ​ $ 14,795 ​ $ 12,534 ​ +18 ​ Sales volume and other ​ ​ ​ ​ ​ ​ ​ +9 ​ Price realization ​ ​ ​ ​ ​ ​ ​ +10 ​ Currency translation ​ ​ ​ ​ ​ ​ ​ -1 ​ Operating profit ​ ​ 2,695 ​ ​ 2,014 ​ +34 ​ Operating margin ​ ​ 18.2% ​ ​ 16.1% ​ ​ ​ ​ Sales volumes increased 18 percent in the U.S. and Canada but decreased 6 percent outside the U.S. and Canada driven by lower sales in Brazil and the suspension of shipments to Russia. Price realization was 12 percent in the U.S. and Canada driven by strong demand, and 7 percent outside the U.S. and Canada. Results in both periods were impacted by special items (see Note 4). ​ 32 32 32 Table of Contents​Financial Services Operations​​​​​​​​​​​​​2023​2022​% Change​Revenue (including intercompany)​$ 5,554​$ 4,085​+36​Average balance of receivables and leases​​​​​​​+19​Interest expense​​ 2,362​​ 799​+196​Average borrowings​​​​​​​+20​Average borrowing rates​​​​​​​+143​Net income​​ 619​​ 880​-30​​Average wholesale receivables increased 72 percent and retail notes increased 13 percent driven by higher equipment sales. Revenue also increased due to higher average financing rates. Net income declined as a result of unfavorable financing spreads and a correction of the accounting treatment for financing incentives offered to John Deere dealers (see Note 4). In 2022, financial services increased the provision for credit losses in Russia and recorded an intercompany benefit from the equipment operations, which guarantees financial services’ investments in certain international markets, including Russia (see Note 4). The Russia-related impacts are displayed in the “Other” bar below. ​​BUSINESS SEGMENT RESULTS2022 compared to 2021Please refer to the “Management’s Discussion and Analysis” section of our 2022 Form 10-K.​​CAPITAL RESOURCES AND LIQUIDITY2023 compared to 2022We have access to global markets at a reasonable cost. Sources of liquidity include: ●cash, cash equivalents, and marketable securities on hand, ●funds from operations, ●the issuance of commercial paper and term debt, ●the securitization of retail notes, and ●bank lines of credit. We closely monitor our cash requirements. Based on the available sources of liquidity, we expect to meet our funding needs in the short term (next 12 months) and long term (beyond 12 months). Weare forecasting lower operating cash flows in 2024 compared with 2023 as identified previously in Trends and Economic Conditions. We operate in multiple industries, which have unique funding requirements. The equipment operations are capital intensive. Historically, these operations have been subject to seasonal variations in financing requirements for inventories and receivables from dealers. However, the patterns of seasonality have been affected by the supply chain disruptions experienced during fiscal year 2022. The financial services operations rely on their ability to raise substantial amounts of funds to finance their receivable and lease portfolios. Key Metrics and Balance Sheet ChangesCash, Cash Equivalents and Marketable Securities●See the detailed cash flow discussion in the next section. ●The increase was primarily driven by higher operating cash flow.Trade Accounts and Notes Receivable – Net●Receivables are generated from the sales of goods to customers. ●The increase was driven by higher sales.Financing Receivables and Equipment on Operating Leases●Acquisition volumes were 30 percent higher driven by higher retail volumes due to increased retail sales and higher wholesale receivables.Inventories●Inventories decreased due to easing of supply disruption constraints and moderation of future demand.Property and Equipment●Cash expenditures were $1.5 billion in 2023. ●Capital expenditures are forecast to be $1.9 billion in 2024.33 Table of Contents​ Table of Contents Table of Contents ​ Financial Services Operations​​​​​​​​​​​​​2023​2022​% Change​Revenue (including intercompany)​$ 5,554​$ 4,085​+36​Average balance of receivables and leases​​​​​​​+19​Interest expense​​ 2,362​​ 799​+196​Average borrowings​​​​​​​+20​Average borrowing rates​​​​​​​+143​Net income​​ 619​​ 880​-30​​Average wholesale receivables increased 72 percent and retail notes increased 13 percent driven by higher equipment sales. Revenue also increased due to higher average financing rates. Net income declined as a result of unfavorable financing spreads and a correction of the accounting treatment for financing incentives offered to John Deere dealers (see Note 4). In 2022, financial services increased the provision for credit losses in Russia and recorded an intercompany benefit from the equipment operations, which guarantees financial services’ investments in certain international markets, including Russia (see Note 4). The Russia-related impacts are displayed in the “Other” bar below. ​​BUSINESS SEGMENT RESULTS2022 compared to 2021Please refer to the “Management’s Discussion and Analysis” section of our 2022 Form 10-K.​​CAPITAL RESOURCES AND LIQUIDITY2023 compared to 2022We have access to global markets at a reasonable cost. Sources of liquidity include: ●cash, cash equivalents, and marketable securities on hand, ●funds from operations, ●the issuance of commercial paper and term debt, ●the securitization of retail notes, and ●bank lines of credit. We closely monitor our cash requirements. Based on the available sources of liquidity, we expect to meet our funding needs in the short term (next 12 months) and long term (beyond 12 months). Weare forecasting lower operating cash flows in 2024 compared with 2023 as identified previously in Trends and Economic Conditions. We operate in multiple industries, which have unique funding requirements. The equipment operations are capital intensive. Historically, these operations have been subject to seasonal variations in financing requirements for inventories and receivables from dealers. However, the patterns of seasonality have been affected by the supply chain disruptions experienced during fiscal year 2022. The financial services operations rely on their ability to raise substantial amounts of funds to finance their receivable and lease portfolios. Key Metrics and Balance Sheet ChangesCash, Cash Equivalents and Marketable Securities●See the detailed cash flow discussion in the next section. ●The increase was primarily driven by higher operating cash flow.Trade Accounts and Notes Receivable – Net●Receivables are generated from the sales of goods to customers. ●The increase was driven by higher sales.Financing Receivables and Equipment on Operating Leases●Acquisition volumes were 30 percent higher driven by higher retail volumes due to increased retail sales and higher wholesale receivables.Inventories●Inventories decreased due to easing of supply disruption constraints and moderation of future demand.Property and Equipment●Cash expenditures were $1.5 billion in 2023. ●Capital expenditures are forecast to be $1.9 billion in 2024. Financial Services Operations​​​​​​​​​​​​​2023​2022​% Change​Revenue (including intercompany)​$ 5,554​$ 4,085​+36​Average balance of receivables and leases​​​​​​​+19​Interest expense​​ 2,362​​ 799​+196​Average borrowings​​​​​​​+20​Average borrowing rates​​​​​​​+143​Net income​​ 619​​ 880​-30​​Average wholesale receivables increased 72 percent and retail notes increased 13 percent driven by higher equipment sales. Revenue also increased due to higher average financing rates. Net income declined as a result of unfavorable financing spreads and a correction of the accounting treatment for financing incentives offered to John Deere dealers (see Note 4). In 2022, financial services increased the provision for credit losses in Russia and recorded an intercompany benefit from the equipment operations, which guarantees financial services’ investments in certain international markets, including Russia (see Note 4). The Russia-related impacts are displayed in the “Other” bar below. ​​BUSINESS SEGMENT RESULTS2022 compared to 2021Please refer to the “Management’s Discussion and Analysis” section of our 2022 Form 10-K.​​CAPITAL RESOURCES AND LIQUIDITY2023 compared to 2022We have access to global markets at a reasonable cost. Sources of liquidity include: ●cash, cash equivalents, and marketable securities on hand, ●funds from operations, ●the issuance of commercial paper and term debt, ●the securitization of retail notes, and ●bank lines of credit. We closely monitor our cash requirements. Based on the available sources of liquidity, we expect to meet our funding needs in the short term (next 12 months) and long term (beyond 12 months). Weare forecasting lower operating cash flows in 2024 compared with 2023 as identified previously in Trends and Economic Conditions. We operate in multiple industries, which have unique funding requirements. The equipment operations are capital intensive. Historically, these operations have been subject to seasonal variations in financing requirements for inventories and receivables from dealers. However, the patterns of seasonality have been affected by the supply chain disruptions experienced during fiscal year 2022. The financial services operations rely on their ability to raise substantial amounts of funds to finance their receivable and lease portfolios. Key Metrics and Balance Sheet ChangesCash, Cash Equivalents and Marketable Securities●See the detailed cash flow discussion in the next section. ●The increase was primarily driven by higher operating cash flow.Trade Accounts and Notes Receivable – Net●Receivables are generated from the sales of goods to customers. ●The increase was driven by higher sales.Financing Receivables and Equipment on Operating Leases●Acquisition volumes were 30 percent higher driven by higher retail volumes due to increased retail sales and higher wholesale receivables.Inventories●Inventories decreased due to easing of supply disruption constraints and moderation of future demand.Property and Equipment●Cash expenditures were $1.5 billion in 2023. ●Capital expenditures are forecast to be $1.9 billion in 2024. Financial Services Operations​​​​​​​​​​​​​2023​2022​% Change​Revenue (including intercompany)​$ 5,554​$ 4,085​+36​Average balance of receivables and leases​​​​​​​+19​Interest expense​​ 2,362​​ 799​+196​Average borrowings​​​​​​​+20​Average borrowing rates​​​​​​​+143​Net income​​ 619​​ 880​-30​​Average wholesale receivables increased 72 percent and retail notes increased 13 percent driven by higher equipment sales. Revenue also increased due to higher average financing rates. Net income declined as a result of unfavorable financing spreads and a correction of the accounting treatment for financing incentives offered to John Deere dealers (see Note 4). In 2022, financial services increased the provision for credit losses in Russia and recorded an intercompany benefit from the equipment operations, which guarantees financial services’ investments in certain international markets, including Russia (see Note 4). The Russia-related impacts are displayed in the “Other” bar below. ​​BUSINESS SEGMENT RESULTS2022 compared to 2021Please refer to the “Management’s Discussion and Analysis” section of our 2022 Form 10-K.​​CAPITAL RESOURCES AND LIQUIDITY2023 compared to 2022We have access to global markets at a reasonable cost. Sources of liquidity include: ●cash, cash equivalents, and marketable securities on hand, ●funds from operations, ●the issuance of commercial paper and term debt, ●the securitization of retail notes, and ●bank lines of credit. We closely monitor our cash requirements. Based on the available sources of liquidity, we expect to meet our funding needs in the short term (next 12 months) and long term (beyond 12 months). We"
    },
    {
      "status": "MODIFIED",
      "current_title": "2024, 2023, and 2022",
      "prior_title": "2023, 2022, and 2021",
      "similarity_score": 0.636,
      "confidence": "medium",
      "key_changes": [
        "Reworded sentence: \"​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2024 ​ 2023 ​ 2022 ​ Net cash provided by operating activities ​ $ 9,231 ​ $ 8,589 ​ $ 4,699 ​ Net cash used for investing activities ​ ​ (6,464) ​ ​ (8,749) ​ ​ (8,485) ​ Net cash provided by (used for) financing activities ​ ​ (2,717) ​ ​ 2,808 ​ ​ 826 ​ Effect of exchange rate changes on cash, cash equivalents, and restricted cash ​ ​ (37) ​ ​ 31 ​ ​ (224) ​ Net increase (decrease) in cash, cash equivalents, and restricted cash ​ $ 13 ​ $ 2,679 ​ $ (3,184) ​ ​ Cash inflows from operating activities were $9.2 billion in 2024, driven by net income adjusted for non-cash provisions and lower inventories and receivables from a decline in sales.\""
      ],
      "current_body": "​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2024 ​ 2023 ​ 2022 ​ Net cash provided by operating activities ​ $ 9,231 ​ $ 8,589 ​ $ 4,699 ​ Net cash used for investing activities ​ ​ (6,464) ​ ​ (8,749) ​ ​ (8,485) ​ Net cash provided by (used for) financing activities ​ ​ (2,717) ​ ​ 2,808 ​ ​ 826 ​ Effect of exchange rate changes on cash, cash equivalents, and restricted cash ​ ​ (37) ​ ​ 31 ​ ​ (224) ​ Net increase (decrease) in cash, cash equivalents, and restricted cash ​ $ 13 ​ $ 2,679 ​ $ (3,184) ​ ​ Cash inflows from operating activities were $9.2 billion in 2024, driven by net income adjusted for non-cash provisions and lower inventories and receivables from a decline in sales. These items were partially offset by a decrease in vendor payables and a reduction in dealer sales incentive accruals. Cash outflows from investing activities were $6.5 billion in 2024 due to growth in the financing receivable and lease portfolios and capital expenditures. Cash outflows from financing activities were $2.7 billion in 2024, as repurchases of common stock and dividends paid were partially offset by higher borrowings.",
      "prior_body": "​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2023 ​ 2022 ​ 2021 ​ Net cash provided by operating activities ​ $ 8,589 ​ $ 4,699 ​ $ 7,726 ​ Net cash used for investing activities ​ ​ (8,749) ​ ​ (8,485) ​ ​ (5,750) ​ Net cash provided by (used for) financing activities ​ ​ 2,808 ​ ​ 826 ​ ​ (1,078) ​ Effect of exchange rate changes on cash, cash equivalents, and restricted cash ​ ​ 31 ​ ​ (224) ​ ​ 55 ​ Net increase (decrease) in cash, cash equivalents, and restricted cash ​ $ 2,679 ​ $ (3,184) ​ $ 953 ​ ​ Operating cash flows in 2023 were higher due to an increase in net income and lower inventory offset by higher receivables related to sales, while operating cash flows in 2022 were impacted by a $1 billion other postretirement benefit (OPEB) contribution. Cash outflows from investing activities were $8.7 billion in 2023 due to growth in the financing receivable and lease portfolios, and purchases of property and equipment. Cash inflows from financing activities were $2.8 billion in 2023, as higher borrowings were partially offset by repurchases of common stock and dividends paid."
    },
    {
      "status": "MODIFIED",
      "current_title": "Changes in interest rates or market liquidity conditions, as well as changes in government banking, monetary and fiscal policies, could adversely affect our financials and our earnings and/or cash flows.",
      "prior_title": "Changes in government banking, monetary, and fiscal policies could have a negative effect on us.",
      "similarity_score": 0.631,
      "confidence": "medium",
      "key_changes": [
        "Reworded sentence: \"While central banks began cutting their policy interest rates in the latter part of fiscal year 2024, interest rates remain above recent norms.\""
      ],
      "current_body": "While central banks began cutting their policy interest rates in the latter part of fiscal year 2024, interest rates remain above recent norms. High interest rates can have a dampening effect on overall economic activity and/or the financial condition of our customers, either or both of which can negatively affect customer demand for our equipment and customers’ ability to repay their obligations to us. While we strive to match the interest rate characteristics of our financial assets and liabilities, changing interest rates have had an adverse effect on our financing spreads—the difference between the yield we earn on our assets and the interest rates we pay for funding—which has affected our earnings. In addition, actions by credit rating agencies, such as downgrades or negative changes to ratings outlooks, can affect the availability and cost of funding for us and can increase our costs of capital and hurt our competitive position. Moreover, policies of the U.S. and other governments regarding banking, monetary, and fiscal policies intended to promote or maintain liquidity, stabilize financial markets, and/or address local deficit or structural economic issues have a material impact on our customers and markets. Our operations and results could also be affected by financial regulatory reform that could, among other things, have an adverse effect on the financial services segment and on our customers by limiting their ability to enter hedging transactions or to finance purchases of our products. Government policies on spending can also affect us, especially the CF segment, due to the impact of government spending on infrastructure development. Our operations, including those outside of the U.S., may also be affected by non-U.S. regulatory reforms being implemented to further regulate non-U.S. financial institutions and markets.",
      "prior_body": "Policies of the U.S. and other governments regarding banking, monetary, and fiscal policies intended to promote or maintain liquidity, stabilize financial markets, and/or address local deficit or structural economic issues could have a material impact on our customers and markets. Central bank policy interest rates continued to increase in fiscal year 2023. Most of our retail receivables are fixed rate, while wholesale financing receivables are variable rate. We have both fixed and variable rate borrowings. Historically, rising interest rates impact our borrowings sooner than the benefit is realized from the financing receivable and equipment on operating lease portfolios. Our operations and results could also be affected by financial regulatory reform that could, among other things, have an adverse effect on the financial services segment and on our customers by limiting their ability to enter hedging transactions or to finance purchases of our products. Government policies on spending can also affect us, especially the CF segment, due to the impact of government spending on infrastructure development. Our operations, including those outside of the U.S., may also be affected by non-U.S. regulatory reforms being implemented to further regulate non-U.S. financial institutions and markets."
    },
    {
      "status": "MODIFIED",
      "current_title": "Disruption of our technology systems or unexpected network interruption could disrupt our business.",
      "prior_title": "Our ability to understand our customers’ preferences and requirements and to develop, manufacture, and market products that meet customer demand could significantly affect our business results.",
      "similarity_score": 0.624,
      "confidence": "medium",
      "key_changes": [
        "Reworded sentence: \"We are increasingly dependent on technology systems to operate on a day-to-day basis.\"",
        "Reworded sentence: \"In January 2024, we entered into an agreement with SpaceX and its Starlink network to provide satellite communications (SATCOM) service to farmers facing rural connectivity challenges, with an initial focus on Brazil.\"",
        "Reworded sentence: \"As a result, our sales and revenue could significantly decrease, which would have a material adverse effect on our results of operations and our business.COMPLIANCE RISKS Our global operations are subject to complex and changing laws and regulations, the violation of which could expose us to potential liabilities, increased costs, and other adverse effects.We are subject to numerous international, federal, state, and local laws and regulations, many of which are complex, frequently changing, and subject to varying interpretations.\"",
        "Reworded sentence: \"In January 2024, we entered into an agreement with SpaceX and its Starlink network to provide satellite communications (SATCOM) service to farmers facing rural connectivity challenges, with an initial focus on Brazil.\"",
        "Reworded sentence: \"As a result, our sales and revenue could significantly decrease, which would have a material adverse effect on our results of operations and our business.COMPLIANCE RISKS Our global operations are subject to complex and changing laws and regulations, the violation of which could expose us to potential liabilities, increased costs, and other adverse effects.We are subject to numerous international, federal, state, and local laws and regulations, many of which are complex, frequently changing, and subject to varying interpretations.\""
      ],
      "current_body": "We are increasingly dependent on technology systems to operate on a day-to-day basis. The failure of our technology systems to operate properly or effectively, problems with transitioning to upgraded or replacement systems, or difficulty in integrating new systems, could adversely affect our business. These disruptions could result in delays, which could reduce demand for our products and cause our sales to decline. In addition, if changes in technology cause our information systems to become obsolete, or if our information systems are inadequate to handle our growth and new technologies, we could lose customers. Any significant disruption 20 20 20 Table of Contentsin our technology systems could harm our reputation and credibility and could have a material adverse effect on our business, financial condition, and results of operations.We could be impacted by changes to or reallocation of radio frequency (RF) bands which could disrupt or degrade the reliability of our high precision augmented Global Positioning System (GPS) or other RF technology, which could impair our ability to develop and market GPS- and RF-based technology solutions, as well as significantly reduce agricultural and construction customers’ profitability.Our current and planned integrated agricultural business and equipment management systems, as well as our fleet management telematics solutions for construction equipment, depend upon the use of RF signals. These signals include, but are not limited to, GPS signals, other GPS-like satellite signals, augmented GPS services, and other RF technologies that link equipment, operations, owners, dealers, and technicians. These radio services depend on frequency allocations governed by international and national government agencies. Any international or national reallocation of frequency bands, including frequency bands segmentation and band spectrum sharing, or other modifications concerning the regulation of frequency bands, could significantly disrupt or degrade the utility and reliability of our GPS-based products, which could negatively affect our ability to develop and market GPS-based technology solutions. In January 2024, we entered into an agreement with SpaceX and its Starlink network to provide satellite communications (SATCOM) service to farmers facing rural connectivity challenges, with an initial focus on Brazil. Most recently, Brazil’s regulators threatened to sanction Starlink’s broadband coverage based on alleged hate speech and misinformation posted on the X platform, which like Starlink, is owned by Elon Musk. If regulators sanction Starlink or Starlink is otherwise subject to other issues that impair its ability to operate its SATCOM solution either in Brazil or elsewhere, our rural connectivity offering would be adversely affected or impaired.In addition, disruptions with GPS signals or the failure of telecommunications network operators to supply the bandwidth we need to support our products could interfere with the speed, availability, and usability of our equipment and services. If these GPS signals or RF signals become unavailable, our customers could be unable to use their equipment indefinitely. For our agricultural customers, this could result in lower crop yields, decreased operational efficiency, and higher equipment maintenance, seed, fertilizer, fuel, and wage costs. For construction customers, this could result in higher fuel and equipment maintenance costs, as well as lower construction design and project management efficiencies. These cost increases could significantly reduce customers’ profitability, sustainability, and demand for our products. As a result, our sales and revenue could significantly decrease, which would have a material adverse effect on our results of operations and our business.COMPLIANCE RISKS Our global operations are subject to complex and changing laws and regulations, the violation of which could expose us to potential liabilities, increased costs, and other adverse effects.We are subject to numerous international, federal, state, and local laws and regulations, many of which are complex, frequently changing, and subject to varying interpretations. These laws and regulations cover a variety of subjects, including advertising, anti-money laundering, antitrust, consumer finance, environmental, climate-related, health and safety, foreign exchange controls and cash repatriation restrictions, foreign ownership and investment, import/export and trade, human rights, labor and employment, product liability reporting, cybersecurity, data privacy, telematics, encryption, and telecommunications. Changes to existing laws and regulations, or changes to how they are interpreted, or the implementation of new, more stringent laws or regulations, could adversely affect our business by increasing compliance costs, limiting our ability to offer a product or service, requiring changes to our business practices, or otherwise making our products and services less attractive to customers. Failure to comply with these laws and regulations could result in fines and penalties. In addition, we must comply with the U.S. Foreign Corrupt Practices Act (FCPA) and all applicable foreign anti-bribery and anti-corruption laws. These laws generally prohibit companies and their intermediaries from making improper payments or providing anything of value to improperly influence government officials or private individuals for the purpose of obtaining or retaining a business advantage, regardless of whether those practices are culturally expected in a particular jurisdiction. Although we have a compliance program in place designed to reduce the likelihood of potential violations of these laws and regulations, our employees, contractors, or agents have violated, and in the future could violate such laws and regulations or our policies and procedures. Violations of these laws and regulations have resulted in, and could result in the future, in criminal or civil sanctions and may have a material adverse effect on our reputation, business, results of operations, and financial condition. In fiscal year 2024, we agreed to pay approximately $10.0 million to the Commission to resolve charges that the Company violated the FCPA arising out of improper payments by our wholly-owned subsidiary, Wirtgen Thailand. 21 Table of Contents Table of Contents Table of Contents in our technology systems could harm our reputation and credibility and could have a material adverse effect on our business, financial condition, and results of operations.We could be impacted by changes to or reallocation of radio frequency (RF) bands which could disrupt or degrade the reliability of our high precision augmented Global Positioning System (GPS) or other RF technology, which could impair our ability to develop and market GPS- and RF-based technology solutions, as well as significantly reduce agricultural and construction customers’ profitability.Our current and planned integrated agricultural business and equipment management systems, as well as our fleet management telematics solutions for construction equipment, depend upon the use of RF signals. These signals include, but are not limited to, GPS signals, other GPS-like satellite signals, augmented GPS services, and other RF technologies that link equipment, operations, owners, dealers, and technicians. These radio services depend on frequency allocations governed by international and national government agencies. Any international or national reallocation of frequency bands, including frequency bands segmentation and band spectrum sharing, or other modifications concerning the regulation of frequency bands, could significantly disrupt or degrade the utility and reliability of our GPS-based products, which could negatively affect our ability to develop and market GPS-based technology solutions. In January 2024, we entered into an agreement with SpaceX and its Starlink network to provide satellite communications (SATCOM) service to farmers facing rural connectivity challenges, with an initial focus on Brazil. Most recently, Brazil’s regulators threatened to sanction Starlink’s broadband coverage based on alleged hate speech and misinformation posted on the X platform, which like Starlink, is owned by Elon Musk. If regulators sanction Starlink or Starlink is otherwise subject to other issues that impair its ability to operate its SATCOM solution either in Brazil or elsewhere, our rural connectivity offering would be adversely affected or impaired.In addition, disruptions with GPS signals or the failure of telecommunications network operators to supply the bandwidth we need to support our products could interfere with the speed, availability, and usability of our equipment and services. If these GPS signals or RF signals become unavailable, our customers could be unable to use their equipment indefinitely. For our agricultural customers, this could result in lower crop yields, decreased operational efficiency, and higher equipment maintenance, seed, fertilizer, fuel, and wage costs. For construction customers, this could result in higher fuel and equipment maintenance costs, as well as lower construction design and project management efficiencies. These cost increases could significantly reduce customers’ profitability, sustainability, and demand for our products. As a result, our sales and revenue could significantly decrease, which would have a material adverse effect on our results of operations and our business.COMPLIANCE RISKS Our global operations are subject to complex and changing laws and regulations, the violation of which could expose us to potential liabilities, increased costs, and other adverse effects.We are subject to numerous international, federal, state, and local laws and regulations, many of which are complex, frequently changing, and subject to varying interpretations. These laws and regulations cover a variety of subjects, including advertising, anti-money laundering, antitrust, consumer finance, environmental, climate-related, health and safety, foreign exchange controls and cash repatriation restrictions, foreign ownership and investment, import/export and trade, human rights, labor and employment, product liability reporting, cybersecurity, data privacy, telematics, encryption, and telecommunications. Changes to existing laws and regulations, or changes to how they are interpreted, or the implementation of new, more stringent laws or regulations, could adversely affect our business by increasing compliance costs, limiting our ability to offer a product or service, requiring changes to our business practices, or otherwise making our products and services less attractive to customers. Failure to comply with these laws and regulations could result in fines and penalties. In addition, we must comply with the U.S. Foreign Corrupt Practices Act (FCPA) and all applicable foreign anti-bribery and anti-corruption laws. These laws generally prohibit companies and their intermediaries from making improper payments or providing anything of value to improperly influence government officials or private individuals for the purpose of obtaining or retaining a business advantage, regardless of whether those practices are culturally expected in a particular jurisdiction. Although we have a compliance program in place designed to reduce the likelihood of potential violations of these laws and regulations, our employees, contractors, or agents have violated, and in the future could violate such laws and regulations or our policies and procedures. Violations of these laws and regulations have resulted in, and could result in the future, in criminal or civil sanctions and may have a material adverse effect on our reputation, business, results of operations, and financial condition. In fiscal year 2024, we agreed to pay approximately $10.0 million to the Commission to resolve charges that the Company violated the FCPA arising out of improper payments by our wholly-owned subsidiary, Wirtgen Thailand. in our technology systems could harm our reputation and credibility and could have a material adverse effect on our business, financial condition, and results of operations.We could be impacted by changes to or reallocation of radio frequency (RF) bands which could disrupt or degrade the reliability of our high precision augmented Global Positioning System (GPS) or other RF technology, which could impair our ability to develop and market GPS- and RF-based technology solutions, as well as significantly reduce agricultural and construction customers’ profitability.Our current and planned integrated agricultural business and equipment management systems, as well as our fleet management telematics solutions for construction equipment, depend upon the use of RF signals. These signals include, but are not limited to, GPS signals, other GPS-like satellite signals, augmented GPS services, and other RF technologies that link equipment, operations, owners, dealers, and technicians. These radio services depend on frequency allocations governed by international and national government agencies. Any international or national reallocation of frequency bands, including frequency bands segmentation and band spectrum sharing, or other modifications concerning the regulation of frequency bands, could significantly disrupt or degrade the utility and reliability of our GPS-based products, which could negatively affect our ability to develop and market GPS-based technology solutions. In January 2024, we entered into an agreement with SpaceX and its Starlink network to provide satellite communications (SATCOM) service to farmers facing rural connectivity challenges, with an initial focus on Brazil. Most recently, Brazil’s regulators threatened to sanction Starlink’s broadband coverage based on alleged hate speech and misinformation posted on the X platform, which like Starlink, is owned by Elon Musk. If regulators sanction Starlink or Starlink is otherwise subject to other issues that impair its ability to operate its SATCOM solution either in Brazil or elsewhere, our rural connectivity offering would be adversely affected or impaired.In addition, disruptions with GPS signals or the failure of telecommunications network operators to supply the bandwidth we need to support our products could interfere with the speed, availability, and usability of our equipment and services. If these GPS signals or RF signals become unavailable, our customers could be unable to use their equipment indefinitely. For our agricultural customers, this could result in lower crop yields, decreased operational efficiency, and higher equipment maintenance, seed, fertilizer, fuel, and wage costs. For construction customers, this could result in higher fuel and equipment maintenance costs, as well as lower construction design and project management efficiencies. These cost increases could significantly reduce customers’ profitability, sustainability, and demand for our products. As a result, our sales and revenue could significantly decrease, which would have a material adverse effect on our results of operations and our business.COMPLIANCE RISKS Our global operations are subject to complex and changing laws and regulations, the violation of which could expose us to potential liabilities, increased costs, and other adverse effects.We are subject to numerous international, federal, state, and local laws and regulations, many of which are complex, frequently changing, and subject to varying interpretations. These laws and regulations cover a variety of subjects, including advertising, anti-money laundering, antitrust, consumer finance, environmental, climate-related, health and safety, foreign exchange controls and cash repatriation restrictions, foreign ownership and investment, import/export and trade, human rights, labor and employment, product liability reporting, cybersecurity, data privacy, telematics, encryption, and telecommunications. Changes to existing laws and regulations, or changes to how they are interpreted, or the implementation of new, more stringent laws or regulations, could adversely affect our business by increasing compliance costs, limiting our ability to offer a product or service, requiring changes to our business practices, or otherwise making our products and services less attractive to customers. Failure to comply with these laws and regulations could result in fines and penalties. In addition, we must comply with the U.S. Foreign Corrupt Practices Act (FCPA) and all applicable foreign anti-bribery and anti-corruption laws. These laws generally prohibit companies and their intermediaries from making improper payments or providing anything of value to improperly influence government officials or private individuals for the purpose of obtaining or retaining a business advantage, regardless of whether those practices are culturally expected in a particular jurisdiction. Although we have a compliance program in place designed to reduce the likelihood of potential violations of these laws and regulations, our employees, contractors, or agents have violated, and in the future could violate such laws and regulations or our policies and procedures. Violations of these laws and regulations have resulted in, and could result in the future, in criminal or civil sanctions and may have a material adverse effect on our reputation, business, results of operations, and financial condition. In fiscal year 2024, we agreed to pay approximately $10.0 million to the Commission to resolve charges that the Company violated the FCPA arising out of improper payments by our wholly-owned subsidiary, Wirtgen Thailand. in our technology systems could harm our reputation and credibility and could have a material adverse effect on our business, financial condition, and results of operations.",
      "prior_body": "Our ability to match new product offerings to global customers’ preferences for different types and sizes of equipment and various equipment features and functionality, at affordable prices, is critical to our success. This requires a thorough understanding of our existing and potential customers on a global basis, particularly in growth markets such as Argentina, Brazil, and India. Failure to deliver quality products that meet customer needs at competitive prices could have an adverse effect on our business. In addition, customer preferences in the markets we serve are changing as a result of ongoing social and regulatory focus on sustainability as these markets transition to less carbon-intensive business models. As regulations and social pressure drive change, we must continue to proactively monitor trends and develop alternatives and enhancements that elevate and complement our product offerings. For example, even though we plan to offer electric, hybrid-electric, and battery electric equipment solutions, we may be unable to keep up with the rising demand for electric agriculture, turf, and construction equipment. 16 16 16 Table of ContentsThe development of alternative farming techniques, carbon sequestration technologies, and new low-carbon biofuels are changing farmers’ business models and equipment needs. If we fail to continue to develop or invest in emerging technologies to meet changing customer demands, we will be at risk of losing potential sources of revenue, which could affect our future financial results. If we are unable to deliver precision technology and agricultural solutions to our customers, it could affect our business, results of operations, and financial condition. Our approach to precision technology involves hardware and software, guidance, connectivity and digital solutions, automation and machine intelligence, and autonomy. Customers continue to adopt technology integrated in our portfolio of “smart” machines, systems, and solutions. We expect this trend to persist for the foreseeable future. To create and maintain a competitive differentiation, we need to successfully develop and introduce new precision technology solutions that improve profitability and sustainability for our customers. We may make significant investments in research and development, connectivity solutions, digital security for precision technology solutions, and dealer and employee training. These investments may not produce solutions that provide the desired results for customers’ profitability or sustainability outcomes. We utilize automation and machine learning and intelligence in some of our products. While the use of these emerging technologies can present significant benefits, it also creates risks and challenges. Data sourcing, technology, integration and process issues, program bias into decision-making algorithms, security problems, and the protection of privacy could impair the adoption and acceptance of autonomous machine solutions. If the output from these solutions is deemed to be inaccurate or questionable, our brand and reputation may be harmed and we may be subject to legal liability claims. Automation and machine learning and intelligence may also become the subject of local, state, federal, and foreign regulatory efforts limiting the features and capabilities of the technology. If we are not able to deliver precision technology solutions with differentiated features and functionality, or these solutions are not effective, customers may not adopt technology solutions, which could have a material adverse effect on our reputation and business.We could be impacted by changes to or reallocation of radio frequency (RF) bands which could disrupt or degrade the reliability of our high precision augmented Global Positioning System (GPS) or other RF technology, which could impair our ability to develop and market GPS- and RF-based technology solutions, as well as significantly reduce agricultural and construction customers’ profitability.Our current and planned integrated agricultural business and equipment management systems, as well as our fleet management telematics solutions for construction equipment, depend upon the use of RF signals. These signals include, but are not limited to, GPS signals, other GPS-like satellite signals, augmented GPS services, and other RF technologies that link equipment, operations, owners, dealers, and technicians. These radio services depend on frequency allocations governed by international and national government agencies. Any international or national reallocation of frequency bands, including frequency bands segmentation and band spectrum sharing, or other modifications concerning the regulation of frequency bands, could significantly disrupt or degrade the utility and reliability of our GPS-based products, which could negatively affect our ability to develop and market GPS-based technology solutions. In addition, disruptions with GPS signals or the failure of telecommunications network operators to supply the bandwidth we need to support our products could interfere with the speed, availability, and usability of our equipment and services. If these GPS signals or RF signals become unavailable, our customers could be unable to use their equipment indefinitely. For our agricultural customers, this could result in lower crop yields, decreased operational efficiency, and higher equipment maintenance, seed, fertilizer, fuel, and wage costs. For construction customers, this could result in higher fuel and equipment maintenance costs, as well as lower construction design and project management efficiencies. These cost increases could significantly reduce customers’ profitability, sustainability, and demand for our products. As a result, our sales and revenue could significantly decrease, which would have a material adverse effect on our results of operations and our business.Our ability to adapt in highly competitive markets could affect our business, results of operations, and financial condition.We compete in a variety of highly competitive global and regional markets with other manufacturers and distributors that produce and sell similar products. In addition, our industry is attracting non-traditional competitors, including technology-focused companies and start-up ventures. We compete on product performance, innovation and quality, distribution, sustainability, customer service, and price. Aggressive pricing or other strategies of competitors, unanticipated product or manufacturing delays, or our failure to price products competitively could adversely affect our business, results of operations, and financial condition.We rely on a network of independent dealers to manage the distribution of our products and services. If dealers are unsuccessful with their sales and business operations, it could have an adverse effect on our overall sales and revenue. We rely on the capability of our dealers to develop and implement effective sales plans to create demand among purchasers for the equipment and related products and services that dealers purchase from us. If our dealers are unsuccessful in these endeavors, we will be unable to grow our sales and revenue, which would have an adverse effect on our financial condition. 17 Table of Contents Table of Contents Table of Contents The development of alternative farming techniques, carbon sequestration technologies, and new low-carbon biofuels are changing farmers’ business models and equipment needs. If we fail to continue to develop or invest in emerging technologies to meet changing customer demands, we will be at risk of losing potential sources of revenue, which could affect our future financial results. If we are unable to deliver precision technology and agricultural solutions to our customers, it could affect our business, results of operations, and financial condition. Our approach to precision technology involves hardware and software, guidance, connectivity and digital solutions, automation and machine intelligence, and autonomy. Customers continue to adopt technology integrated in our portfolio of “smart” machines, systems, and solutions. We expect this trend to persist for the foreseeable future. To create and maintain a competitive differentiation, we need to successfully develop and introduce new precision technology solutions that improve profitability and sustainability for our customers. We may make significant investments in research and development, connectivity solutions, digital security for precision technology solutions, and dealer and employee training. These investments may not produce solutions that provide the desired results for customers’ profitability or sustainability outcomes. We utilize automation and machine learning and intelligence in some of our products. While the use of these emerging technologies can present significant benefits, it also creates risks and challenges. Data sourcing, technology, integration and process issues, program bias into decision-making algorithms, security problems, and the protection of privacy could impair the adoption and acceptance of autonomous machine solutions. If the output from these solutions is deemed to be inaccurate or questionable, our brand and reputation may be harmed and we may be subject to legal liability claims. Automation and machine learning and intelligence may also become the subject of local, state, federal, and foreign regulatory efforts limiting the features and capabilities of the technology. If we are not able to deliver precision technology solutions with differentiated features and functionality, or these solutions are not effective, customers may not adopt technology solutions, which could have a material adverse effect on our reputation and business.We could be impacted by changes to or reallocation of radio frequency (RF) bands which could disrupt or degrade the reliability of our high precision augmented Global Positioning System (GPS) or other RF technology, which could impair our ability to develop and market GPS- and RF-based technology solutions, as well as significantly reduce agricultural and construction customers’ profitability.Our current and planned integrated agricultural business and equipment management systems, as well as our fleet management telematics solutions for construction equipment, depend upon the use of RF signals. These signals include, but are not limited to, GPS signals, other GPS-like satellite signals, augmented GPS services, and other RF technologies that link equipment, operations, owners, dealers, and technicians. These radio services depend on frequency allocations governed by international and national government agencies. Any international or national reallocation of frequency bands, including frequency bands segmentation and band spectrum sharing, or other modifications concerning the regulation of frequency bands, could significantly disrupt or degrade the utility and reliability of our GPS-based products, which could negatively affect our ability to develop and market GPS-based technology solutions. In addition, disruptions with GPS signals or the failure of telecommunications network operators to supply the bandwidth we need to support our products could interfere with the speed, availability, and usability of our equipment and services. If these GPS signals or RF signals become unavailable, our customers could be unable to use their equipment indefinitely. For our agricultural customers, this could result in lower crop yields, decreased operational efficiency, and higher equipment maintenance, seed, fertilizer, fuel, and wage costs. For construction customers, this could result in higher fuel and equipment maintenance costs, as well as lower construction design and project management efficiencies. These cost increases could significantly reduce customers’ profitability, sustainability, and demand for our products. As a result, our sales and revenue could significantly decrease, which would have a material adverse effect on our results of operations and our business.Our ability to adapt in highly competitive markets could affect our business, results of operations, and financial condition.We compete in a variety of highly competitive global and regional markets with other manufacturers and distributors that produce and sell similar products. In addition, our industry is attracting non-traditional competitors, including technology-focused companies and start-up ventures. We compete on product performance, innovation and quality, distribution, sustainability, customer service, and price. Aggressive pricing or other strategies of competitors, unanticipated product or manufacturing delays, or our failure to price products competitively could adversely affect our business, results of operations, and financial condition.We rely on a network of independent dealers to manage the distribution of our products and services. If dealers are unsuccessful with their sales and business operations, it could have an adverse effect on our overall sales and revenue. We rely on the capability of our dealers to develop and implement effective sales plans to create demand among purchasers for the equipment and related products and services that dealers purchase from us. If our dealers are unsuccessful in these endeavors, we will be unable to grow our sales and revenue, which would have an adverse effect on our financial condition. The development of alternative farming techniques, carbon sequestration technologies, and new low-carbon biofuels are changing farmers’ business models and equipment needs. If we fail to continue to develop or invest in emerging technologies to meet changing customer demands, we will be at risk of losing potential sources of revenue, which could affect our future financial results."
    },
    {
      "status": "MODIFIED",
      "current_title": "2024 compared to 2023",
      "prior_title": "2023 compared to 2022",
      "similarity_score": 0.615,
      "confidence": "medium",
      "key_changes": [
        "Reworded sentence: \"We are forecasting lower operating cash flows from equipment operations in 2025 compared with 2024 driven by a decrease in net income adjusted for non-cash provisions, partially offset by higher cash flows generated from inventory reductions.\"",
        "Removed sentence: \"However, the patterns of seasonality have been affected by the supply chain disruptions experienced during fiscal year 2022.\"",
        "Reworded sentence: \"The assets and liabilities of Banco John Deere S.A.\""
      ],
      "current_body": "​ Each equipment operations segment experienced lower shipment volumes partially offset by price realization during 2024. Rising global grain stocks, lower commodity prices, elevated interest rates, and the effect of inventory management contributed to lower shipment volumes for large and small agriculture. Declines in housing starts, decreases in rental purchases, lower levels of commercial real estate construction, and the effect of inventory management contributed to lower shipment volumes for construction equipment. Production costs were favorable in 2024 due to lower material and employee profit-sharing incentives costs, partially offset by higher manufacturing overhead costs driven by lower volumes and production inefficiencies.",
      "prior_body": "Each equipment operation segment experienced price realization during 2023, as orderbooks were full and most product lines were on allocation. These factors contributed to higher shipment volumes for large agriculture and construction equipment. Production costs were unfavorable in 2023 due to higher material costs, profit-sharing incentive compensation, and manufacturing overhead costs, partially offset by lower freight costs and improved production efficiency. Material costs were higher in the first three quarters of 2023 but continued to moderate through the year. In the fourth quarter of 2023, material costs were lower than in the prior year."
    },
    {
      "status": "MODIFIED",
      "current_title": "Production and Precision Agriculture Operations",
      "prior_title": "Deere & Company",
      "similarity_score": 0.612,
      "confidence": "medium",
      "key_changes": [
        "Reworded sentence: \"​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2024 ​ 2023 ​ % Change ​ Net sales ​ $ 20,834 ​ $ 26,790 ​ -22 ​ Sales volume and other ​ ​ ​ ​ ​ ​ ​ -24 ​ Price realization ​ ​ ​ ​ ​ ​ ​ +2 ​ Currency translation ​ ​ ​ ​ ​ ​ ​ ​ ​ Operating profit ​ ​ 4,514 ​ ​ 6,996 ​ -35 ​ Operating margin ​ ​ 21.7% ​ ​ 26.1% ​ ​ ​ ​ ​ Sales volumes decreased 17 percent in the U.S.\""
      ],
      "current_body": "​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2024 ​ 2023 ​ % Change ​ Net sales ​ $ 20,834 ​ $ 26,790 ​ -22 ​ Sales volume and other ​ ​ ​ ​ ​ ​ ​ -24 ​ Price realization ​ ​ ​ ​ ​ ​ ​ +2 ​ Currency translation ​ ​ ​ ​ ​ ​ ​ ​ ​ Operating profit ​ ​ 4,514 ​ ​ 6,996 ​ -35 ​ Operating margin ​ ​ 21.7% ​ ​ 26.1% ​ ​ ​ ​ ​ Sales volumes decreased 17 percent in the U.S. and Canada, 40 percent in Brazil, and 30 percent in Europe. Price realization in the U.S. and Canada was 3 percent driven by inflation, which was partially offset by an increase in retail and pool funds sales incentives. Price realization was flat outside the U.S. and Canada 31 31 31 Table of Contents​due to moderating market conditions. Current period results were impacted by special items (see Note 4). Production & Precision Agriculture Operating Profit2024 compared to 2023Small Agriculture and Turf Operations​​​​​​​​​​​​​2024​2023​% Change​Net sales​$ 10,969​$ 13,980​-22​Sales volume and other​​​​​​​-24​Price realization​​​​​​​+2​Currency translation​​​​​​​​​Operating profit​​ 1,627​​ 2,472​-34​Operating margin​​14.8%​​17.7%​​​​Sales volumes decreased 22 percent in the U.S. and Canada, 28 percent in Europe, and 45 percent in Mexico. Price realization was 3 percent in the U.S. and Canada and 1 percent outside the U.S. and Canada driven by inflation. Current period results were impacted by special items (see Note 4).Small Agriculture & Turf Operating Profit2024 compared to 2023Construction and Forestry Operations​​​​​​​​​​​​​2024​2023​% Change​Net sales​$ 12,956​$ 14,795​-12​Sales volume and other​​​​​​​-12​Price realization​​​​​​​​​Currency translation​​​​​​​​​Operating profit​​ 2,009​​ 2,695​-25​Operating margin​​15.5%​​18.2%​​​​Sales volumes decreased 15 percent in the U.S. and Canada and 8 percent outside the U.S. and Canada. Price realization was about flat in the U.S. and Canada driven by moderating market conditions and 1 percent outside the U.S. and Canada. Current and prior period results were impacted by special items (see Note 4). Construction & Forestry Operating Profit2024 compared to 2023Financial Services Operations​​​​​​​​​​​​​2024​2023​% Change​Revenue (including intercompany)​$ 6,493​$ 5,554​+17​Average balance of receivables and leases​​​​​​​+12​Interest expense​​ 3,182​​ 2,362​+35​Average borrowing rates​​​​​​​+20​Average borrowings​​​​​​​+12​Net income​​ 696​​ 619​+12​​Average wholesale receivables increased 26 percent driven by higher dealer used inventory levels. While new retail note volumes moderated due to reduced retail demand, average retail portfolio levels grew due to higher volumes in recent years resulting in a 9 percent increase. Revenue also increased due to higher average financing rates. Excluding the impact of a one-time correction of the accounting treatment for financing incentives offered to John Deere dealers in 2023 (see Note 4), net income declined as a result of a higher provision for credit losses and less-favorable financing spreads driven primarily by the receivable portfolio mix. These factors were partially offset by income earned on higher average portfolio balances. Financial Services Net Income2024 compared to 2023​​32 Table of Contents​ Table of Contents Table of Contents ​ due to moderating market conditions. Current period results were impacted by special items (see Note 4). Production & Precision Agriculture Operating Profit2024 compared to 2023Small Agriculture and Turf Operations​​​​​​​​​​​​​2024​2023​% Change​Net sales​$ 10,969​$ 13,980​-22​Sales volume and other​​​​​​​-24​Price realization​​​​​​​+2​Currency translation​​​​​​​​​Operating profit​​ 1,627​​ 2,472​-34​Operating margin​​14.8%​​17.7%​​​​Sales volumes decreased 22 percent in the U.S. and Canada, 28 percent in Europe, and 45 percent in Mexico. Price realization was 3 percent in the U.S. and Canada and 1 percent outside the U.S. and Canada driven by inflation. Current period results were impacted by special items (see Note 4).Small Agriculture & Turf Operating Profit2024 compared to 2023Construction and Forestry Operations​​​​​​​​​​​​​2024​2023​% Change​Net sales​$ 12,956​$ 14,795​-12​Sales volume and other​​​​​​​-12​Price realization​​​​​​​​​Currency translation​​​​​​​​​Operating profit​​ 2,009​​ 2,695​-25​Operating margin​​15.5%​​18.2%​​​​Sales volumes decreased 15 percent in the U.S. and Canada and 8 percent outside the U.S. and Canada. Price realization was about flat in the U.S. and Canada driven by moderating market conditions and 1 percent outside the U.S. and Canada. Current and prior period results were impacted by special items (see Note 4). Construction & Forestry Operating Profit2024 compared to 2023Financial Services Operations​​​​​​​​​​​​​2024​2023​% Change​Revenue (including intercompany)​$ 6,493​$ 5,554​+17​Average balance of receivables and leases​​​​​​​+12​Interest expense​​ 3,182​​ 2,362​+35​Average borrowing rates​​​​​​​+20​Average borrowings​​​​​​​+12​Net income​​ 696​​ 619​+12​​Average wholesale receivables increased 26 percent driven by higher dealer used inventory levels. While new retail note volumes moderated due to reduced retail demand, average retail portfolio levels grew due to higher volumes in recent years resulting in a 9 percent increase. Revenue also increased due to higher average financing rates. Excluding the impact of a one-time correction of the accounting treatment for financing incentives offered to John Deere dealers in 2023 (see Note 4), net income declined as a result of a higher provision for credit losses and less-favorable financing spreads driven primarily by the receivable portfolio mix. These factors were partially offset by income earned on higher average portfolio balances. Financial Services Net Income2024 compared to 2023​​ due to moderating market conditions. Current period results were impacted by special items (see Note 4). Production & Precision Agriculture Operating Profit2024 compared to 2023Small Agriculture and Turf Operations​​​​​​​​​​​​​2024​2023​% Change​Net sales​$ 10,969​$ 13,980​-22​Sales volume and other​​​​​​​-24​Price realization​​​​​​​+2​Currency translation​​​​​​​​​Operating profit​​ 1,627​​ 2,472​-34​Operating margin​​14.8%​​17.7%​​​​Sales volumes decreased 22 percent in the U.S. and Canada, 28 percent in Europe, and 45 percent in Mexico. Price realization was 3 percent in the U.S. and Canada and 1 percent outside the U.S. and Canada driven by inflation. Current period results were impacted by special items (see Note 4).Small Agriculture & Turf Operating Profit2024 compared to 2023Construction and Forestry Operations​​​​​​​​​​​​​2024​2023​% Change​Net sales​$ 12,956​$ 14,795​-12​Sales volume and other​​​​​​​-12​Price realization​​​​​​​​​Currency translation​​​​​​​​​Operating profit​​ 2,009​​ 2,695​-25​Operating margin​​15.5%​​18.2%​​​​Sales volumes decreased 15 percent in the U.S. and Canada and 8 percent outside the U.S. and Canada. Price realization was about flat in the U.S. and Canada driven by moderating market conditions and 1 percent outside the U.S. and Canada. Current and prior period results were impacted by special items (see Note 4). Construction & Forestry Operating Profit2024 compared to 2023Financial Services Operations​​​​​​​​​​​​​2024​2023​% Change​Revenue (including intercompany)​$ 6,493​$ 5,554​+17​Average balance of receivables and leases​​​​​​​+12​Interest expense​​ 3,182​​ 2,362​+35​Average borrowing rates​​​​​​​+20​Average borrowings​​​​​​​+12​Net income​​ 696​​ 619​+12​​Average wholesale receivables increased 26 percent driven by higher dealer used inventory levels. While new retail note volumes moderated due to reduced retail demand, average retail portfolio levels grew due to higher volumes in recent years resulting in a 9 percent increase. Revenue also increased due to higher average financing rates. Excluding the impact of a one-time correction of the accounting treatment for financing incentives offered to John Deere dealers in 2023 (see Note 4), net income declined as a result of a higher provision for credit losses and less-favorable financing spreads driven primarily by the receivable portfolio mix. These factors were partially offset by income earned on higher average portfolio balances. Financial Services Net Income2024 compared to 2023​​ due to moderating market conditions. Current period results were impacted by special items (see Note 4). Production & Precision Agriculture Operating Profit2024 compared to 2023Small Agriculture and Turf Operations​​​​​​​​​​​​​2024​2023​% Change​Net sales​$ 10,969​$ 13,980​-22​Sales volume and other​​​​​​​-24​Price realization​​​​​​​+2​Currency translation​​​​​​​​​Operating profit​​ 1,627​​ 2,472​-34​Operating margin​​14.8%​​17.7%​​​​Sales volumes decreased 22 percent in the U.S. and Canada, 28 percent in Europe, and 45 percent in Mexico. Price realization was 3 percent in the U.S. and Canada and 1 percent outside the U.S. and Canada driven by inflation. Current period results were impacted by special items (see Note 4).Small Agriculture & Turf Operating Profit2024 compared to 2023Construction and Forestry Operations​​​​​​​​​​​​​2024​2023​% Change​Net sales​$ 12,956​$ 14,795​-12​Sales volume and other​​​​​​​-12​Price realization​​​​​​​​​Currency translation​​​​​​​​​Operating profit​​ 2,009​​ 2,695​-25​Operating margin​​15.5%​​18.2%​​​​Sales volumes decreased 15 percent in the U.S. and Canada and 8 percent outside the U.S. and Canada. Price realization was about flat in the U.S. and Canada driven by moderating market conditions and 1 percent outside the U.S. and Canada. Current and prior period results were impacted by special items (see Note 4). Construction & Forestry Operating Profit2024 compared to 2023Financial Services Operations​​​​​​​​​​​​​2024​2023​% Change​Revenue (including intercompany)​$ 6,493​$ 5,554​+17​Average balance of receivables and leases​​​​​​​+12​Interest expense​​ 3,182​​ 2,362​+35​Average borrowing rates​​​​​​​+20​Average borrowings​​​​​​​+12​Net income​​ 696​​ 619​+12​​Average wholesale receivables increased 26 percent driven by higher dealer used inventory levels. While new retail note volumes moderated due to reduced retail demand, average retail portfolio levels grew due to higher volumes in recent years resulting in a 9 percent increase. Revenue also increased due to higher average financing rates. Excluding the impact of a one-time correction of the accounting treatment for financing incentives offered to John Deere dealers in 2023 (see Note 4), net income declined as a result of a higher provision for credit losses and less-favorable financing spreads driven primarily by the receivable portfolio mix. These factors were partially offset by income earned on higher average portfolio balances. Financial Services Net Income2024 compared to 2023​​ due to moderating market conditions. Current period results were impacted by special items (see Note 4). Production & Precision Agriculture Operating Profit2024 compared to 2023Small Agriculture and Turf Operations​​​​​​​​​​​​​2024​2023​% Change​Net sales​$ 10,969​$ 13,980​-22​Sales volume and other​​​​​​​-24​Price realization​​​​​​​+2​Currency translation​​​​​​​​​Operating profit​​ 1,627​​ 2,472​-34​Operating margin​​14.8%​​17.7%​​​​Sales volumes decreased 22 percent in the U.S. and Canada, 28 percent in Europe, and 45 percent in Mexico. Price realization was 3 percent in the U.S. and Canada and 1 percent outside the U.S. and Canada driven by inflation. Current period results were impacted by special items (see Note 4).Small Agriculture & Turf Operating Profit2024 compared to 2023Construction and Forestry Operations​​​​​​​​​​​​​2024​2023​% Change​Net sales​$ 12,956​$ 14,795​-12​Sales volume and other​​​​​​​-12​Price realization​​​​​​​​​Currency translation​​​​​​​​​Operating profit​​ 2,009​​ 2,695​-25​Operating margin​​15.5%​​18.2%​​​​Sales volumes decreased 15 percent in the U.S. and Canada and 8 percent outside the U.S. and Canada. Price realization was about flat in the U.S. and Canada driven by moderating market conditions due to moderating market conditions. Current period results were impacted by special items (see Note 4).",
      "prior_body": "​ 2023 ​ 2022 ​ % Change ​ Cost of sales to net sales ​ ​ 67.9% ​ ​ 73.7% ​ -8 ​ + Price realization ​ Favorable ​ (-) Production costs ​ Unfavorable ​ Price realization was 12 percent driven by strong demand. Production costs increased due to a moderate rise in material cost and manufacturing overhead. These factors were partially offset by lower freight costs and production efficiencies generated by easing supply chain disruptions. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Other income ​ $ 1,003 ​ $ 1,295 ​ -23 ​ Other income was lower due to a non-cash gain on the remeasurement of the previously held equity investment in the Deere-Hitachi joint venture in 2022. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Research and development expenses ​ ​ 2,177 ​ ​ 1,912 ​ +14 ​ Research and development expenditures were higher due to continued focus on developing new technology solutions and new product introductions. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Selling, administrative and general expenses ​ ​ 4,595 ​ ​ 3,863 ​ +19 ​ Selling, administrative and general expenses rose due to higher salary expenses driven by inflationary conditions, profit-sharing incentives, and an increase in expenses to support the Leap Ambitions framework. Also impacting the current year was a cumulative correction of the accounting treatment for financing incentives offered to John Deere dealers (see Note 4). ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Interest expense ​ ​ 2,453 ​ ​ 1,062 ​ +131 ​ Interest expense increased due to higher average borrowing rates and higher average borrowings. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Other operating expenses ​ ​ 1,292 ​ ​ 1,275 ​ +1 ​ See Note 9 for more information. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Provision for income taxes ​ ​ 2,871 ​ ​ 2,007 ​ +43 ​ Consistent with higher pretax income. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 31 31 31 Table of Contents​BUSINESS SEGMENT RESULTS2023 compared to 2022Each equipment operation segment experienced price realization during 2023, as orderbooks were full and most product lines were on allocation. These factors contributed to higher shipment volumes for large agriculture and construction equipment. Production costs were unfavorable in 2023 due to higher material costs, profit-sharing incentive compensation, and manufacturing overhead costs, partially offset by lower freight costs and improved production efficiency. Material costs were higher in the first three quarters of 2023 but continued to moderate through the year. In the fourth quarter of 2023, material costs were lower than in the prior year.Production and Precision Agriculture Operations​​​​​​​​​​​​​2023​2022​% Change​Net sales​$ 26,790​$ 22,002​+22​Sales volume and other​​​​​​​+7​Price realization​​​​​​​+15​Currency translation​​​​​​​​​Operating profit​​ 6,996​​ 4,386​+60​Operating margin​​26.1%​​19.9%​​​​Sales volumes increased 10 percent in the U.S. and Canada, 32 percent in Australia, and 9 percent in Western Europe, partially offset by the effect of suspension of shipments to Russia. Price realization was 17 percent in the U.S. and Canada and 12 percent outside the U.S. and Canada, driven by strong demand. Prior period results were impacted by special items (see Note 4). Small Agriculture and Turf Operations​​​​​​​​​​​​​2023​2022​% Change​Net sales​$ 13,980​$ 13,381​+4​Sales volume and other​​​​​​​-4​Price realization​​​​​​​+9​Currency translation​​​​​​​-1​Operating profit​​ 2,472​​ 1,949​+27​Operating margin​​17.7%​​14.6%​​​​Sales volumes decreased 8 percent in the U.S. and Canada but increased 18 percent in Mexico and 2 percent in Western Europe. Price realization was 8 percent in the U.S. and Canada driven by inflation and 12 percent in Western Europe driven by strong demand.Construction and Forestry Operations​​​​​​​​​​​​​2023​2022​% Change​Net sales​$ 14,795​$ 12,534​+18​Sales volume and other​​​​​​​+9​Price realization​​​​​​​+10​Currency translation​​​​​​​-1​Operating profit​​ 2,695​​ 2,014​+34​Operating margin​​18.2%​​16.1%​​​​Sales volumes increased 18 percent in the U.S. and Canada but decreased 6 percent outside the U.S. and Canada driven by lower sales in Brazil and the suspension of shipments to Russia. Price realization was 12 percent in the U.S. and Canada driven by strong demand, and 7 percent outside the U.S. and Canada. Results in both periods were impacted by special items (see Note 4). ​32 Table of Contents​ Table of Contents Table of Contents ​ BUSINESS SEGMENT RESULTS2023 compared to 2022Each equipment operation segment experienced price realization during 2023, as orderbooks were full and most product lines were on allocation. These factors contributed to higher shipment volumes for large agriculture and construction equipment. Production costs were unfavorable in 2023 due to higher material costs, profit-sharing incentive compensation, and manufacturing overhead costs, partially offset by lower freight costs and improved production efficiency. Material costs were higher in the first three quarters of 2023 but continued to moderate through the year. In the fourth quarter of 2023, material costs were lower than in the prior year.Production and Precision Agriculture Operations​​​​​​​​​​​​​2023​2022​% Change​Net sales​$ 26,790​$ 22,002​+22​Sales volume and other​​​​​​​+7​Price realization​​​​​​​+15​Currency translation​​​​​​​​​Operating profit​​ 6,996​​ 4,386​+60​Operating margin​​26.1%​​19.9%​​​​Sales volumes increased 10 percent in the U.S. and Canada, 32 percent in Australia, and 9 percent in Western Europe, partially offset by the effect of suspension of shipments to Russia. Price realization was 17 percent in the U.S. and Canada and 12 percent outside the U.S. and Canada, driven by strong demand. Prior period results were impacted by special items (see Note 4). Small Agriculture and Turf Operations​​​​​​​​​​​​​2023​2022​% Change​Net sales​$ 13,980​$ 13,381​+4​Sales volume and other​​​​​​​-4​Price realization​​​​​​​+9​Currency translation​​​​​​​-1​Operating profit​​ 2,472​​ 1,949​+27​Operating margin​​17.7%​​14.6%​​​​Sales volumes decreased 8 percent in the U.S. and Canada but increased 18 percent in Mexico and 2 percent in Western Europe. Price realization was 8 percent in the U.S. and Canada driven by inflation and 12 percent in Western Europe driven by strong demand.Construction and Forestry Operations​​​​​​​​​​​​​2023​2022​% Change​Net sales​$ 14,795​$ 12,534​+18​Sales volume and other​​​​​​​+9​Price realization​​​​​​​+10​Currency translation​​​​​​​-1​Operating profit​​ 2,695​​ 2,014​+34​Operating margin​​18.2%​​16.1%​​​​Sales volumes increased 18 percent in the U.S. and Canada but decreased 6 percent outside the U.S. and Canada driven by lower sales in Brazil and the suspension of shipments to Russia. Price realization was 12 percent in the U.S. and Canada driven by strong demand, and 7 percent outside the U.S. and Canada. Results in both periods were impacted by special items (see Note 4). ​ BUSINESS SEGMENT RESULTS2023 compared to 2022Each equipment operation segment experienced price realization during 2023, as orderbooks were full and most product lines were on allocation. These factors contributed to higher shipment volumes for large agriculture and construction equipment. Production costs were unfavorable in 2023 due to higher material costs, profit-sharing incentive compensation, and manufacturing overhead costs, partially offset by lower freight costs and improved production efficiency. Material costs were higher in the first three quarters of 2023 but continued to moderate through the year. In the fourth quarter of 2023, material costs were lower than in the prior year.Production and Precision Agriculture Operations​​​​​​​​​​​​​2023​2022​% Change​Net sales​$ 26,790​$ 22,002​+22​Sales volume and other​​​​​​​+7​Price realization​​​​​​​+15​Currency translation​​​​​​​​​Operating profit​​ 6,996​​ 4,386​+60​Operating margin​​26.1%​​19.9%​​​​Sales volumes increased 10 percent in the U.S. and Canada, 32 percent in Australia, and 9 percent in Western Europe, partially offset by the effect of suspension of shipments to Russia. Price realization was 17 percent in the U.S. and Canada and 12 percent outside the U.S. and Canada, driven by strong demand. Prior period results were impacted by special items (see Note 4). Small Agriculture and Turf Operations​​​​​​​​​​​​​2023​2022​% Change​Net sales​$ 13,980​$ 13,381​+4​Sales volume and other​​​​​​​-4​Price realization​​​​​​​+9​Currency translation​​​​​​​-1​Operating profit​​ 2,472​​ 1,949​+27​Operating margin​​17.7%​​14.6%​​​​Sales volumes decreased 8 percent in the U.S. and Canada but increased 18 percent in Mexico and 2 percent in Western Europe. Price realization was 8 percent in the U.S. and Canada driven by inflation and 12 percent in Western Europe driven by strong demand.Construction and Forestry Operations​​​​​​​​​​​​​2023​2022​% Change​Net sales​$ 14,795​$ 12,534​+18​Sales volume and other​​​​​​​+9​Price realization​​​​​​​+10​Currency translation​​​​​​​-1​Operating profit​​ 2,695​​ 2,014​+34​Operating margin​​18.2%​​16.1%​​​​Sales volumes increased 18 percent in the U.S. and Canada but decreased 6 percent outside the U.S. and Canada driven by lower sales in Brazil and the suspension of shipments to Russia. Price realization was 12 percent in the U.S. and Canada driven by strong demand, and 7 percent outside the U.S. and Canada. Results in both periods were impacted by special items (see Note 4). ​ BUSINESS SEGMENT RESULTS2023 compared to 2022Each equipment operation segment experienced price realization during 2023, as orderbooks were full and most product lines were on allocation. These factors contributed to higher shipment volumes for large agriculture and construction equipment. Production costs were unfavorable in 2023 due to higher material costs, profit-sharing incentive compensation, and manufacturing overhead costs, partially offset by lower freight costs and improved production efficiency. Material costs were higher in the first three quarters of 2023 but continued to moderate through the year. In the fourth quarter of 2023, material costs were lower than in the prior year.Production and Precision Agriculture Operations​​​​​​​​​​​​​2023​2022​% Change​Net sales​$ 26,790​$ 22,002​+22​Sales volume and other​​​​​​​+7​Price realization​​​​​​​+15​Currency translation​​​​​​​​​Operating profit​​ 6,996​​ 4,386​+60​Operating margin​​26.1%​​19.9%​​​​Sales volumes increased 10 percent in the U.S. and Canada, 32 percent in Australia, and 9 percent in Western Europe, partially offset by the effect of suspension of shipments to Russia. Price realization was 17 percent in the U.S. and Canada and 12 percent outside the U.S. and Canada, driven by strong demand. Prior period results were impacted by special items (see Note 4). Small Agriculture and Turf Operations​​​​​​​​​​​​​2023​2022​% Change​Net sales​$ 13,980​$ 13,381​+4​Sales volume and other​​​​​​​-4​Price realization​​​​​​​+9​Currency translation​​​​​​​-1​Operating profit​​ 2,472​​ 1,949​+27​Operating margin​​17.7%​​14.6%​​​​Sales volumes decreased 8 percent in the U.S. and Canada but increased 18 percent in Mexico and 2 percent in Western Europe."
    },
    {
      "status": "MODIFIED",
      "current_title": "Net Sales and Revenues",
      "prior_title": "Net Sales and Revenues",
      "similarity_score": 0.612,
      "confidence": "medium",
      "key_changes": [
        "Reworded sentence: \"​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net sales ​ $ 44,759 ​ $ 55,565 ​ $ 47,917 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ $ 44,759 ​ $ 55,565 ​ $ 47,917 ​ ​ ​ Finance and interest income ​ ​ 596 ​ ​ 636 ​ ​ 213 ​ $ 6,035 ​ $ 5,055 ​ $ 3,583 ​ $ (872) ​ $ (1,008) ​ $ (431) ​ ​ 5,759 ​ ​ 4,683 ​ ​ 3,365 ​ 1​ ​ Other income ​ ​ 1,006 ​ ​ 858 ​ ​ 1,261 ​ ​ 458 ​ ​ 499 ​ ​ 502 ​ ​ (266) ​ ​ (354) ​ ​ (468) ​ ​ 1,198 ​ ​ 1,003 ​ ​ 1,295 ​ 2, 3, 4​ ​ Total ​ ​ 46,361 ​ ​ 57,059 ​ ​ 49,391 ​ ​ 6,493 ​ ​ 5,554 ​ ​ 4,085 ​ ​ (1,138) ​ ​ (1,362) ​ ​ (899) ​ ​ 51,716 ​ ​ 61,251 ​ ​ 52,577 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​\""
      ],
      "current_body": "​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net sales ​ $ 44,759 ​ $ 55,565 ​ $ 47,917 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ $ 44,759 ​ $ 55,565 ​ $ 47,917 ​ ​ ​ Finance and interest income ​ ​ 596 ​ ​ 636 ​ ​ 213 ​ $ 6,035 ​ $ 5,055 ​ $ 3,583 ​ $ (872) ​ $ (1,008) ​ $ (431) ​ ​ 5,759 ​ ​ 4,683 ​ ​ 3,365 ​ 1​ ​ Other income ​ ​ 1,006 ​ ​ 858 ​ ​ 1,261 ​ ​ 458 ​ ​ 499 ​ ​ 502 ​ ​ (266) ​ ​ (354) ​ ​ (468) ​ ​ 1,198 ​ ​ 1,003 ​ ​ 1,295 ​ 2, 3, 4​ ​ Total ​ ​ 46,361 ​ ​ 57,059 ​ ​ 49,391 ​ ​ 6,493 ​ ​ 5,554 ​ ​ 4,085 ​ ​ (1,138) ​ ​ (1,362) ​ ​ (899) ​ ​ 51,716 ​ ​ 61,251 ​ ​ 52,577 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​",
      "prior_body": "​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net sales ​ $ 55,565 ​ $ 47,917 ​ $ 39,737 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ $ 55,565 ​ $ 47,917 ​ $ 39,737 ​ ​ ​ Finance and interest income ​ ​ 636 ​ ​ 213 ​ ​ 133 ​ $ 5,055 ​ $ 3,583 ​ $ 3,442 ​ $ (1,008) ​ $ (431) ​ $ (279) ​ ​ 4,683 ​ ​ 3,365 ​ ​ 3,296 ​ 1​ ​ Other income ​ ​ 858 ​ ​ 1,261 ​ ​ 941 ​ ​ 499 ​ ​ 502 ​ ​ 352 ​ ​ (354) ​ ​ (468) ​ ​ (302) ​ ​ 1,003 ​ ​ 1,295 ​ ​ 991 ​ 2, 3​ ​ Total ​ ​ 57,059 ​ ​ 49,391 ​ ​ 40,811 ​ ​ 5,554 ​ ​ 4,085 ​ ​ 3,794 ​ ​ (1,362) ​ ​ (899) ​ ​ (581) ​ ​ 61,251 ​ ​ 52,577 ​ ​ 44,024 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​"
    },
    {
      "status": "MODIFIED",
      "current_title": "Cash Flows from Investing Activities",
      "prior_title": "Cash Flows from Investing Activities",
      "similarity_score": 0.612,
      "confidence": "medium",
      "key_changes": [
        "Reworded sentence: \"​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Collections of receivables (excluding receivables related to sales) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 26,029 ​ ​ 24,128 ​ ​ 22,400 ​ ​ (867) ​ ​ (1,077) ​ ​ (1,493) ​ ​ 25,162 ​ ​ 23,051 ​ ​ 20,907 ​ 14​ ​ Proceeds from maturities and sales of marketable securities ​ ​ 99 ​ ​ 59 ​ ​ ​ ​ ​ 733 ​ ​ 127 ​ ​ 79 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 832 ​ ​ 186 ​ ​ 79 ​ ​ ​ Proceeds from sales of equipment on operating leases ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 1,929 ​ ​ 1,981 ​ ​ 2,093 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 1,929 ​ ​ 1,981 ​ ​ 2,093 ​ ​ ​ Cost of receivables acquired (excluding receivables related to sales) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (29,152) ​ ​ (29,229) ​ ​ (26,903) ​ ​ 336 ​ ​ 457 ​ ​ 603 ​ ​ (28,816) ​ ​ (28,772) ​ ​ (26,300) ​ 14​ ​ Acquisitions of businesses, net of cash acquired ​ ​ ​ ​ ​ (82) ​ ​ (498) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (82) ​ ​ (498) ​ ​ ​ Purchases of marketable securities ​ ​ (209) ​ ​ (173) ​ ​ (76) ​ ​ (846) ​ ​ (318) ​ ​ (174) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (1,055) ​ ​ (491) ​ ​ (250) ​ ​ ​ Purchases of property and equipment ​ ​ (1,636) ​ ​ (1,494) ​ ​ (1,131) ​ ​ (4) ​ ​ (4) ​ ​ (3) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (1,640) ​ ​ (1,498) ​ ​ (1,134) ​ ​ ​ Cost of equipment on operating leases acquired ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (3,464) ​ ​ (3,234) ​ ​ (2,879) ​ ​ 302 ​ ​ 264 ​ ​ 225 ​ ​ (3,162) ​ ​ (2,970) ​ ​ (2,654) ​ 15​ ​ Decrease (increase) in investment in Financial Services ​ ​ 4 ​ ​ (870) ​ ​ 7 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (4) ​ ​ 870 ​ ​ (7) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 17​ ​ Decrease (increase) in trade and wholesale receivables ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 21 ​ ​ (5,783) ​ ​ (3,601) ​ ​ (21) ​ ​ 5,783 ​ ​ 3,601 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 14​ ​ Collateral on derivatives – net ​ ​ ​ ​ ​ (1) ​ ​ 5 ​ ​ 413 ​ ​ (11) ​ ​ (647) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 413 ​ ​ (12) ​ ​ (642) ​ ​ ​ Other ​ ​ (125) ​ ​ (176) ​ ​ (137) ​ ​ (8) ​ ​ 31 ​ ​ 14 ​ ​ 6 ​ ​ 3 ​ ​ 37 ​ ​ (127) ​ ​ (142) ​ ​ (86) ​ ​ ​ Net cash used for investing activities ​ ​ (1,867) ​ ​ (2,737) ​ ​ (1,830) ​ ​ (4,349) ​ ​ (12,312) ​ ​ (9,621) ​ ​ (248) ​ ​ 6,300 ​ ​ 2,966 ​ ​ (6,464) ​ ​ (8,749) ​ ​ (8,485) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​\""
      ],
      "current_body": "​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Collections of receivables (excluding receivables related to sales) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 26,029 ​ ​ 24,128 ​ ​ 22,400 ​ ​ (867) ​ ​ (1,077) ​ ​ (1,493) ​ ​ 25,162 ​ ​ 23,051 ​ ​ 20,907 ​ 14​ ​ Proceeds from maturities and sales of marketable securities ​ ​ 99 ​ ​ 59 ​ ​ ​ ​ ​ 733 ​ ​ 127 ​ ​ 79 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 832 ​ ​ 186 ​ ​ 79 ​ ​ ​ Proceeds from sales of equipment on operating leases ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 1,929 ​ ​ 1,981 ​ ​ 2,093 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 1,929 ​ ​ 1,981 ​ ​ 2,093 ​ ​ ​ Cost of receivables acquired (excluding receivables related to sales) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (29,152) ​ ​ (29,229) ​ ​ (26,903) ​ ​ 336 ​ ​ 457 ​ ​ 603 ​ ​ (28,816) ​ ​ (28,772) ​ ​ (26,300) ​ 14​ ​ Acquisitions of businesses, net of cash acquired ​ ​ ​ ​ ​ (82) ​ ​ (498) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (82) ​ ​ (498) ​ ​ ​ Purchases of marketable securities ​ ​ (209) ​ ​ (173) ​ ​ (76) ​ ​ (846) ​ ​ (318) ​ ​ (174) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (1,055) ​ ​ (491) ​ ​ (250) ​ ​ ​ Purchases of property and equipment ​ ​ (1,636) ​ ​ (1,494) ​ ​ (1,131) ​ ​ (4) ​ ​ (4) ​ ​ (3) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (1,640) ​ ​ (1,498) ​ ​ (1,134) ​ ​ ​ Cost of equipment on operating leases acquired ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (3,464) ​ ​ (3,234) ​ ​ (2,879) ​ ​ 302 ​ ​ 264 ​ ​ 225 ​ ​ (3,162) ​ ​ (2,970) ​ ​ (2,654) ​ 15​ ​ Decrease (increase) in investment in Financial Services ​ ​ 4 ​ ​ (870) ​ ​ 7 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (4) ​ ​ 870 ​ ​ (7) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 17​ ​ Decrease (increase) in trade and wholesale receivables ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 21 ​ ​ (5,783) ​ ​ (3,601) ​ ​ (21) ​ ​ 5,783 ​ ​ 3,601 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 14​ ​ Collateral on derivatives – net ​ ​ ​ ​ ​ (1) ​ ​ 5 ​ ​ 413 ​ ​ (11) ​ ​ (647) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 413 ​ ​ (12) ​ ​ (642) ​ ​ ​ Other ​ ​ (125) ​ ​ (176) ​ ​ (137) ​ ​ (8) ​ ​ 31 ​ ​ 14 ​ ​ 6 ​ ​ 3 ​ ​ 37 ​ ​ (127) ​ ​ (142) ​ ​ (86) ​ ​ ​ Net cash used for investing activities ​ ​ (1,867) ​ ​ (2,737) ​ ​ (1,830) ​ ​ (4,349) ​ ​ (12,312) ​ ​ (9,621) ​ ​ (248) ​ ​ 6,300 ​ ​ 2,966 ​ ​ (6,464) ​ ​ (8,749) ​ ​ (8,485) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​",
      "prior_body": "​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Collections of receivables (excluding receivables related to sales) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 24,128 ​ ​ 22,400 ​ ​ 20,527 ​ ​ (1,077) ​ ​ (1,493) ​ ​ (1,568) ​ ​ 23,051 ​ ​ 20,907 ​ ​ 18,959 ​ 15​ ​ Proceeds from sales of equipment on operating leases ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 1,981 ​ ​ 2,093 ​ ​ 2,094 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 1,981 ​ ​ 2,093 ​ ​ 2,094 ​ ​ ​ Cost of receivables acquired (excluding receivables related to sales) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (29,229) ​ ​ (26,903) ​ ​ (25,305) ​ ​ 457 ​ ​ 603 ​ ​ 1,652 ​ ​ (28,772) ​ ​ (26,300) ​ ​ (23,653) ​ 15​ ​ Acquisitions of businesses, net of cash acquired ​ ​ (82) ​ ​ (498) ​ ​ (244) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (82) ​ ​ (498) ​ ​ (244) ​ ​ ​ Purchases of property and equipment ​ ​ (1,494) ​ ​ (1,131) ​ ​ (845) ​ ​ (4) ​ ​ (3) ​ ​ (3) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (1,498) ​ ​ (1,134) ​ ​ (848) ​ ​ ​ Cost of equipment on operating leases acquired ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (3,234) ​ ​ (2,879) ​ ​ (2,627) ​ ​ 264 ​ ​ 225 ​ ​ 895 ​ ​ (2,970) ​ ​ (2,654) ​ ​ (1,732) ​ 16​ ​ Increase (decrease) in investment in Financial Services ​ ​ (870) ​ ​ 7 ​ ​ (8) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 870 ​ ​ (7) ​ ​ 8 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 19​ ​ Decrease (increase) in trade and wholesale receivables ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (5,783) ​ ​ (3,601) ​ ​ 1,364 ​ ​ 5,783 ​ ​ 3,601 ​ ​ (1,364) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 15​ ​ Collateral on derivatives – net ​ ​ (1) ​ ​ 5 ​ ​ (7) ​ ​ (11) ​ ​ (647) ​ ​ (274) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (12) ​ ​ (642) ​ ​ (281) ​ ​ ​ Other ​ ​ (290) ​ ​ (213) ​ ​ 70 ​ ​ (160) ​ ​ (81) ​ ​ (84) ​ ​ 3 ​ ​ 37 ​ ​ (31) ​ ​ (447) ​ ​ (257) ​ ​ (45) ​ 18​ ​ Net cash used for investing activities ​ ​ (2,737) ​ ​ (1,830) ​ ​ (1,034) ​ ​ (12,312) ​ ​ (9,621) ​ ​ (4,308) ​ ​ 6,300 ​ ​ 2,966 ​ ​ (408) ​ ​ (8,749) ​ ​ (8,485) ​ ​ (5,750) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​"
    },
    {
      "status": "MODIFIED",
      "current_title": "As of October 27, 2024 and October 29, 2023",
      "prior_title": "As of October 29, 2023 and October 30, 2022",
      "similarity_score": 0.603,
      "confidence": "medium",
      "current_body": "​ ​ ​ Unaudited ​ ​ ​ ​ ​ EQUIPMENT ​ FINANCIAL ​ ​ ​ ​ ​ ​ ​ ​ ​ OPERATIONS ​ SERVICES ​",
      "prior_body": "​ ​ ​ Unaudited ​ ​ ​ ​ ​ EQUIPMENT ​ FINANCIAL ​ ​ ​ ​ ​ ​ ​ ​ ​ OPERATIONS ​ SERVICES ​"
    },
    {
      "status": "MODIFIED",
      "current_title": "Total Assets",
      "prior_title": "Total Assets",
      "similarity_score": 0.602,
      "confidence": "medium",
      "key_changes": [
        "Reworded sentence: \"​ $ 39,205 ​ $ 40,590 ​ $ 73,612 ​ $ 70,732 ​ $ (5,497) ​ $ (7,235) ​ $ 107,320 ​ $ 104,087 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​\""
      ],
      "current_body": "​ $ 39,205 ​ $ 40,590 ​ $ 73,612 ​ $ 70,732 ​ $ (5,497) ​ $ (7,235) ​ $ 107,320 ​ $ 104,087 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​",
      "prior_body": "​ $ 40,590 ​ $ 39,208 ​ $ 70,732 ​ $ 58,864 ​ $ (7,235) ​ $ (8,042) ​ $ 104,087 ​ $ 90,030 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​"
    },
    {
      "status": "MODIFIED",
      "current_title": "We rely on a network of independent dealers to manage the distribution of our products and services. If our dealers are unsuccessful with their sales and business operations, it could have an adverse effect on our overall sales and revenue.",
      "prior_title": "We rely on a network of independent dealers to manage the distribution of our products and services. If dealers are unsuccessful with their sales and business operations, it could have an adverse effect on our overall sales and revenue.",
      "similarity_score": 0.57,
      "confidence": "low",
      "key_changes": [
        "Reworded sentence: \"Our dealers carry inventories of finished products as part of their operations and adjust those inventories based on future needs and market conditions, including the level of used equipment inventory.\"",
        "Removed sentence: \"Dealers may have trouble funding their day-to-day cash flow needs and paying their obligations due to adverse business conditions resulting from negative economic effects or other factors.\"",
        "Reworded sentence: \"The unplanned loss of any of our dealers could lead to inadequate market coverage or negative customer impressions, and may adversely impact our ability to collect receivables that are associated with that dealer.\""
      ],
      "current_body": "We rely on the capability of our dealers to develop and implement effective sales plans to create demand among purchasers for the equipment and related products and services that dealers purchase from us. If our dealers are unsuccessful in these endeavors, we will be unable to grow our sales and revenue, which would have an adverse effect on our financial condition. Our dealers carry inventories of finished products as part of their operations and adjust those inventories based on future needs and market conditions, including the level of used equipment inventory. If the inventory levels of our dealers are higher than they desire, they may postpone equipment purchases from us, which could cause our sales to be lower and negatively impact our results. Similarly, our results could be negatively impacted through the loss of time-sensitive sales if our dealers do not maintain inventory levels sufficient to meet customer demand. In addition, the dealer channel’s ability to support and service precision technology solutions and emerging power solutions may affect customers’ acceptance and adoption rates of these products. The unavailability of specialized technicians to service our equipment may result in overburdening dealers’ servicing capacity. Dealers may exit or we may seek to terminate relationships with certain dealers if they are unable to meet customer needs. The unplanned loss of any of our dealers could lead to inadequate market coverage or negative customer impressions, and may adversely impact our ability to collect receivables that are associated with that dealer. Dealers could also have trouble funding their day-to-day cash flow needs and paying their obligations due to adverse business conditions resulting from negative economic effects or other factors.",
      "prior_body": "We rely on the capability of our dealers to develop and implement effective sales plans to create demand among purchasers for the equipment and related products and services that dealers purchase from us. If our dealers are unsuccessful in these endeavors, we will be unable to grow our sales and revenue, which would have an adverse effect on our financial condition. 17 17 17 Table of ContentsIn addition, the dealer channel’s ability to support and service precision technology solutions and emerging power solutions may affect customers’ acceptance and adoption rates of these products. The unavailability of specialized technicians to service our equipment may result in overburdening dealers’ servicing capacity. Dealers may have trouble funding their day-to-day cash flow needs and paying their obligations due to adverse business conditions resulting from negative economic effects or other factors. Dealers may exit or we may seek to terminate relationships with certain dealers if they are unable to meet customer needs. The unplanned loss of any of our dealers could lead to inadequate market coverage, negative customer impressions, and may adversely impact our ability to collect receivables that are associated with that dealer. ENVIRONMENTAL, CLIMATE, AND WEATHER RISKSUnfavorable weather conditions or natural catastrophes that reduce agricultural production and demand for agriculture and turf equipment could directly and indirectly affect our business.The purchasing decisions of our customers, particularly the purchasers of agriculture and turf equipment, can be significantly affected by poor or unusual weather conditions. Such conditions include: ●Insufficient levels of rain, which prevent farmers from planting new crops and may cause growing crops to die or result in lower yields; ●Excessive rain or flooding can prevent planting from occurring at optimal times and may cause crop loss through increased disease or mold growth; ●Temperatures outside normal ranges, which can cause crop failure or decreased yields and may also affect disease incidence; ●Natural disasters such as regional floods, hurricanes or other storms, droughts, diseases, wildfires, and pests, either as a physical effect of climate change or otherwise, which have had, and could in the future have, significant negative effects on agricultural and livestock production;●Adverse weather conditions in a particular geographic region, particularly during the important spring selling season; and●Drought conditions can adversely affect sales of certain mowing equipment and can similarly cause lower sales volume.Each of these conditions could have a negative impact on farm income which can affect demand for agricultural equipment and the financial condition and credit risk of our dealers and customers. Governmental actions designed to address climate change based on the emergence of new technologies and business models in connection with the transition to a lower-carbon economy could adversely affect John Deere and our customers. There is global scientific consensus that greenhouse gas (GHG) emissions continue to alter the composition of Earth’s atmosphere in ways that are affecting and are expected to continue to affect the global climate. These considerations have led to new international, national, regional, and local legislative and regulatory responses. Various stakeholders, including legislators and regulators, shareholders, and non-governmental organizations, as well as companies in many business sectors, including us, are continuing to look for ways to reduce GHG emissions. The regulation of GHG emissions from certain stationary or mobile sources or the imposition of carbon pricing mechanisms could result in additional costs to us in the form of taxes or emission allowances, required facilities improvements, and increased energy costs. These results would increase our operating costs through higher utility, transportation, and materials cost and could prevent us from selling products into certain markets. Increased input costs, such as fuel and fertilizer, and compliance-related costs could also affect customer operations and demand for our equipment. Further, our financial services segment is subject to additional international and national European regulations relating to climate and environmental risk, which are continually evolving and could affect the financing operations and climate-risk processes developed by the segment. Regulators in Europe and the U.S. have also focused efforts on increased disclosure related to climate change and mitigation efforts. The EU recently adopted the European Sustainability Reporting Standards (ESRS) and the Corporate Sustainability Reporting Directive (CSRD) that will impose disclosure of the risks and opportunities arising from social and environmental issues, and on the impact of companies’ activities on people and the environment. The CSRD will need to be transposed into Member State law before it becomes effective, which is expected to occur in 2024. Similarly, the State of California recently passed the Climate Corporate Data Accountability Act and the Climate-Related Financial Risk Act that will impose broad climate-related disclosure obligations on certain companies doing business in California, including us, starting in 2026. The SEC has included in its regulatory agenda potential rulemaking on climate change disclosures that, if adopted, could significantly increase compliance burdens and associated regulatory costs and complexity. 18 Table of Contents Table of Contents Table of Contents In addition, the dealer channel’s ability to support and service precision technology solutions and emerging power solutions may affect customers’ acceptance and adoption rates of these products. The unavailability of specialized technicians to service our equipment may result in overburdening dealers’ servicing capacity. Dealers may have trouble funding their day-to-day cash flow needs and paying their obligations due to adverse business conditions resulting from negative economic effects or other factors. Dealers may exit or we may seek to terminate relationships with certain dealers if they are unable to meet customer needs. The unplanned loss of any of our dealers could lead to inadequate market coverage, negative customer impressions, and may adversely impact our ability to collect receivables that are associated with that dealer. ENVIRONMENTAL, CLIMATE, AND WEATHER RISKSUnfavorable weather conditions or natural catastrophes that reduce agricultural production and demand for agriculture and turf equipment could directly and indirectly affect our business.The purchasing decisions of our customers, particularly the purchasers of agriculture and turf equipment, can be significantly affected by poor or unusual weather conditions. Such conditions include: ●Insufficient levels of rain, which prevent farmers from planting new crops and may cause growing crops to die or result in lower yields; ●Excessive rain or flooding can prevent planting from occurring at optimal times and may cause crop loss through increased disease or mold growth; ●Temperatures outside normal ranges, which can cause crop failure or decreased yields and may also affect disease incidence; ●Natural disasters such as regional floods, hurricanes or other storms, droughts, diseases, wildfires, and pests, either as a physical effect of climate change or otherwise, which have had, and could in the future have, significant negative effects on agricultural and livestock production;●Adverse weather conditions in a particular geographic region, particularly during the important spring selling season; and●Drought conditions can adversely affect sales of certain mowing equipment and can similarly cause lower sales volume.Each of these conditions could have a negative impact on farm income which can affect demand for agricultural equipment and the financial condition and credit risk of our dealers and customers. Governmental actions designed to address climate change based on the emergence of new technologies and business models in connection with the transition to a lower-carbon economy could adversely affect John Deere and our customers. There is global scientific consensus that greenhouse gas (GHG) emissions continue to alter the composition of Earth’s atmosphere in ways that are affecting and are expected to continue to affect the global climate. These considerations have led to new international, national, regional, and local legislative and regulatory responses. Various stakeholders, including legislators and regulators, shareholders, and non-governmental organizations, as well as companies in many business sectors, including us, are continuing to look for ways to reduce GHG emissions. The regulation of GHG emissions from certain stationary or mobile sources or the imposition of carbon pricing mechanisms could result in additional costs to us in the form of taxes or emission allowances, required facilities improvements, and increased energy costs. These results would increase our operating costs through higher utility, transportation, and materials cost and could prevent us from selling products into certain markets. Increased input costs, such as fuel and fertilizer, and compliance-related costs could also affect customer operations and demand for our equipment. Further, our financial services segment is subject to additional international and national European regulations relating to climate and environmental risk, which are continually evolving and could affect the financing operations and climate-risk processes developed by the segment. Regulators in Europe and the U.S. have also focused efforts on increased disclosure related to climate change and mitigation efforts. The EU recently adopted the European Sustainability Reporting Standards (ESRS) and the Corporate Sustainability Reporting Directive (CSRD) that will impose disclosure of the risks and opportunities arising from social and environmental issues, and on the impact of companies’ activities on people and the environment. The CSRD will need to be transposed into Member State law before it becomes effective, which is expected to occur in 2024. Similarly, the State of California recently passed the Climate Corporate Data Accountability Act and the Climate-Related Financial Risk Act that will impose broad climate-related disclosure obligations on certain companies doing business in California, including us, starting in 2026. The SEC has included in its regulatory agenda potential rulemaking on climate change disclosures that, if adopted, could significantly increase compliance burdens and associated regulatory costs and complexity. In addition, the dealer channel’s ability to support and service precision technology solutions and emerging power solutions may affect customers’ acceptance and adoption rates of these products. The unavailability of specialized technicians to service our equipment may result in overburdening dealers’ servicing capacity. Dealers may have trouble funding their day-to-day cash flow needs and paying their obligations due to adverse business conditions resulting from negative economic effects or other factors. Dealers may exit or we may seek to terminate relationships with certain dealers if they are unable to meet customer needs. The unplanned loss of any of our dealers could lead to inadequate market coverage, negative customer impressions, and may adversely impact our ability to collect receivables that are associated with that dealer."
    },
    {
      "status": "MODIFIED",
      "current_title": "Costs and Expenses",
      "prior_title": "Costs and Expenses",
      "similarity_score": 0.567,
      "confidence": "low",
      "key_changes": [
        "Reworded sentence: \"​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Cost of sales ​ ​ 30,803 ​ ​ 37,739 ​ ​ 35,341 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (28) ​ ​ (24) ​ ​ (3) ​ ​ 30,775 ​ ​ 37,715 ​ ​ 35,338 ​ 4​ ​ Research and development expenses ​ ​ 2,290 ​ ​ 2,177 ​ ​ 1,912 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2,290 ​ ​ 2,177 ​ ​ 1,912 ​ ​ ​ Selling, administrative and general expenses ​ ​ 3,791 ​ ​ 3,611 ​ ​ 3,137 ​ ​ 1,059 ​ ​ 994 ​ ​ 735 ​ ​ (10) ​ ​ (10) ​ ​ (9) ​ ​ 4,840 ​ ​ 4,595 ​ ​ 3,863 ​ 4​ ​ Interest expense ​ ​ 396 ​ ​ 411 ​ ​ 390 ​ ​ 3,182 ​ ​ 2,362 ​ ​ 799 ​ ​ (230) ​ ​ (320) ​ ​ (127) ​ ​ 3,348 ​ ​ 2,453 ​ ​ 1,062 ​ 1​ ​ Interest compensation to Financial Services ​ ​ 640 ​ ​ 687 ​ ​ 299 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (640) ​ ​ (687) ​ ​ (299) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 1​ ​ Other operating expenses ​ ​ 133 ​ ​ 217 ​ ​ 350 ​ ​ 1,354 ​ ​ 1,396 ​ ​ 1,386 ​ ​ (230) ​ ​ (321) ​ ​ (461) ​ ​ 1,257 ​ ​ 1,292 ​ ​ 1,275 ​ 3, 4, 5​ ​ Total ​ ​ 38,053 ​ ​ 44,842 ​ ​ 41,429 ​ ​ 5,595 ​ ​ 4,752 ​ ​ 2,920 ​ ​ (1,138) ​ ​ (1,362) ​ ​ (899) ​ ​ 42,510 ​ ​ 48,232 ​ ​ 43,450 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​\""
      ],
      "current_body": "​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Cost of sales ​ ​ 30,803 ​ ​ 37,739 ​ ​ 35,341 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (28) ​ ​ (24) ​ ​ (3) ​ ​ 30,775 ​ ​ 37,715 ​ ​ 35,338 ​ 4​ ​ Research and development expenses ​ ​ 2,290 ​ ​ 2,177 ​ ​ 1,912 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2,290 ​ ​ 2,177 ​ ​ 1,912 ​ ​ ​ Selling, administrative and general expenses ​ ​ 3,791 ​ ​ 3,611 ​ ​ 3,137 ​ ​ 1,059 ​ ​ 994 ​ ​ 735 ​ ​ (10) ​ ​ (10) ​ ​ (9) ​ ​ 4,840 ​ ​ 4,595 ​ ​ 3,863 ​ 4​ ​ Interest expense ​ ​ 396 ​ ​ 411 ​ ​ 390 ​ ​ 3,182 ​ ​ 2,362 ​ ​ 799 ​ ​ (230) ​ ​ (320) ​ ​ (127) ​ ​ 3,348 ​ ​ 2,453 ​ ​ 1,062 ​ 1​ ​ Interest compensation to Financial Services ​ ​ 640 ​ ​ 687 ​ ​ 299 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (640) ​ ​ (687) ​ ​ (299) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 1​ ​ Other operating expenses ​ ​ 133 ​ ​ 217 ​ ​ 350 ​ ​ 1,354 ​ ​ 1,396 ​ ​ 1,386 ​ ​ (230) ​ ​ (321) ​ ​ (461) ​ ​ 1,257 ​ ​ 1,292 ​ ​ 1,275 ​ 3, 4, 5​ ​ Total ​ ​ 38,053 ​ ​ 44,842 ​ ​ 41,429 ​ ​ 5,595 ​ ​ 4,752 ​ ​ 2,920 ​ ​ (1,138) ​ ​ (1,362) ​ ​ (899) ​ ​ 42,510 ​ ​ 48,232 ​ ​ 43,450 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​",
      "prior_body": "​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Cost of sales ​ ​ 37,739 ​ ​ 35,341 ​ ​ 29,119 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (24) ​ ​ (3) ​ ​ (3) ​ ​ 37,715 ​ ​ 35,338 ​ ​ 29,116 ​ 4​ ​ Research and development expenses ​ ​ 2,177 ​ ​ 1,912 ​ ​ 1,587 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2,177 ​ ​ 1,912 ​ ​ 1,587 ​ ​ ​ Selling, administrative and general expenses ​ ​ 3,611 ​ ​ 3,137 ​ ​ 2,887 ​ ​ 994 ​ ​ 735 ​ ​ 504 ​ ​ (10) ​ ​ (9) ​ ​ (8) ​ ​ 4,595 ​ ​ 3,863 ​ ​ 3,383 ​ 4​ ​ Interest expense ​ ​ 411 ​ ​ 390 ​ ​ 368 ​ ​ 2,362 ​ ​ 799 ​ ​ 687 ​ ​ (320) ​ ​ (127) ​ ​ (62) ​ ​ 2,453 ​ ​ 1,062 ​ ​ 993 ​ 1​ ​ Interest compensation to Financial Services ​ ​ 687 ​ ​ 299 ​ ​ 217 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (687) ​ ​ (299) ​ ​ (217) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 1​ ​ Other operating expenses ​ ​ 217 ​ ​ 350 ​ ​ 181 ​ ​ 1,396 ​ ​ 1,386 ​ ​ 1,453 ​ ​ (321) ​ ​ (461) ​ ​ (291) ​ ​ 1,292 ​ ​ 1,275 ​ ​ 1,343 ​ 5, 6​ ​ Total ​ ​ 44,842 ​ ​ 41,429 ​ ​ 34,359 ​ ​ 4,752 ​ ​ 2,920 ​ ​ 2,644 ​ ​ (1,362) ​ ​ (899) ​ ​ (581) ​ ​ 48,232 ​ ​ 43,450 ​ ​ 36,422 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​"
    },
    {
      "status": "MODIFIED",
      "current_title": "Financial Services Outlook for 2025",
      "prior_title": "Financial Services Outlook for 2024",
      "similarity_score": 0.566,
      "confidence": "low",
      "key_changes": [
        "Reworded sentence: \"​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net Income ​ Up ​ + Provision for credit losses ​ Favorable ​ + Prior period special items ​ Favorable ​ (-) Financing spreads ​ Unfavorable ​\""
      ],
      "current_body": "​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net Income ​ Up ​ + Provision for credit losses ​ Favorable ​ + Prior period special items ​ Favorable ​ (-) Financing spreads ​ Unfavorable ​",
      "prior_body": "​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net Income ​ Up moderately ​ + Nonrecurring prior period special items ​ Favorable ​ + Higher average portfolio ​ Favorable ​ (-) Financing spreads ​ Unfavorable ​ (-) Recoveries on operating lease dispositions ​ Unfavorable ​"
    },
    {
      "status": "MODIFIED",
      "current_title": "Our global operations are subject to complex and changing laws and regulations, the violation of which could expose us to potential liabilities, increased costs, and other adverse effects.",
      "prior_title": "Our global operations are subject to complex and changing laws and regulations, the violation of which could expose us to potential liabilities, increased costs, and other adverse effects.",
      "similarity_score": 0.556,
      "confidence": "low",
      "key_changes": [
        "Reworded sentence: \"These laws and regulations cover a variety of subjects, including advertising, anti-money laundering, antitrust, consumer finance, environmental, climate-related, health and safety, foreign exchange controls and cash repatriation restrictions, foreign ownership and investment, import/export and trade, human rights, labor and employment, product liability reporting, cybersecurity, data privacy, telematics, encryption, and telecommunications.\"",
        "Reworded sentence: \"Foreign Corrupt Practices Act (FCPA) and all applicable foreign anti-bribery and anti-corruption laws.\"",
        "Reworded sentence: \"Although we have a compliance program in place designed to reduce the likelihood of potential violations of these laws and regulations, our employees, contractors, or agents have violated, and in the future could violate such laws and regulations or our policies and procedures.\"",
        "Reworded sentence: \"In addition, the Federal Trade Commission (FTC) is investigating whether we have violated laws in connection with the repair of 22 Table of Contents Table of Contents Table of Contents We may face risks associated with international, national, and regional trade laws, regulations, and policies, and government farm programs and policies which could significantly impair our profitability and growth prospects.\"",
        "Reworded sentence: \"In addition, the Federal Trade Commission (FTC) is investigating whether we have violated laws in connection with the repair of We may face risks associated with international, national, and regional trade laws, regulations, and policies, and government farm programs and policies which could significantly impair our profitability and growth prospects.\""
      ],
      "current_body": "We are subject to numerous international, federal, state, and local laws and regulations, many of which are complex, frequently changing, and subject to varying interpretations. These laws and regulations cover a variety of subjects, including advertising, anti-money laundering, antitrust, consumer finance, environmental, climate-related, health and safety, foreign exchange controls and cash repatriation restrictions, foreign ownership and investment, import/export and trade, human rights, labor and employment, product liability reporting, cybersecurity, data privacy, telematics, encryption, and telecommunications. Changes to existing laws and regulations, or changes to how they are interpreted, or the implementation of new, more stringent laws or regulations, could adversely affect our business by increasing compliance costs, limiting our ability to offer a product or service, requiring changes to our business practices, or otherwise making our products and services less attractive to customers. Failure to comply with these laws and regulations could result in fines and penalties. In addition, we must comply with the U.S. Foreign Corrupt Practices Act (FCPA) and all applicable foreign anti-bribery and anti-corruption laws. These laws generally prohibit companies and their intermediaries from making improper payments or providing anything of value to improperly influence government officials or private individuals for the purpose of obtaining or retaining a business advantage, regardless of whether those practices are culturally expected in a particular jurisdiction. Although we have a compliance program in place designed to reduce the likelihood of potential violations of these laws and regulations, our employees, contractors, or agents have violated, and in the future could violate such laws and regulations or our policies and procedures. Violations of these laws and regulations have resulted in, and could result in the future, in criminal or civil sanctions and may have a material adverse effect on our reputation, business, results of operations, and financial condition. In fiscal year 2024, we agreed to pay approximately $10.0 million to the Commission to resolve charges that the Company violated the FCPA arising out of improper payments by our wholly-owned subsidiary, Wirtgen Thailand. 21 21 21 Table of ContentsWe may face risks associated with international, national, and regional trade laws, regulations, and policies, and government farm programs and policies which could significantly impair our profitability and growth prospects. International, national, and regional laws, regulations, and policies directly or indirectly related to or restricting the import and export of our products, services, and technology, or those of our customers, or for the benefit of favored industries or sectors, could harm our global business. We are subject to various regulatory risks including, but not limited to, the following: ●Restricted access to global markets could impair our ability to export goods and services from various manufacturing locations around the world. Restricted access could limit the ability to access raw materials and high-quality parts and components at competitive prices on a timely basis. For example, expanding export controls or limits on foreign investment can impact global supply of key materials and components, and actions taken within the US-China trade conflict can impact business in China, as well as sales, import/exports, and/or business engagement with Chinese entities globally.●Trade restrictions, negotiation of new trade agreements, non-tariff trade barriers, local content requirements, and imposition of new or retaliatory tariffs against certain countries or covering certain products, including developments in U.S.-China trade relations, have limited, and could continue to limit, our ability to capitalize on current and future growth opportunities in international markets. These trade restrictions, and changes in, or uncertainty surrounding global trade policies, may affect our competitive position. ●Trade restrictions could impede those in developing countries from achieving a higher standard of living, which could negatively impact our future growth opportunities arising from increasing global demand for food, fuel, and infrastructure. ●Policies impacting exchange rates and commodity prices, or those limiting the export or import of commodities, could have a material adverse effect on the international flow of agricultural and other commodities that may result in a corresponding negative effect on the demand for agricultural and forestry equipment in many areas of the world. Our agricultural equipment sales could be harmed by such policies because farm income influences sales of agricultural equipment around the world. ●Changes in government farm programs and policies can influence demand for agricultural equipment as well as create unequal competition for multinational companies relative to domestic companies. Governmental actions designed to address climate change based on the emergence of new technologies and business models in connection with the transition to a lower-carbon economy could adversely affect John Deere and our customers. There is global scientific consensus that greenhouse gas (GHG) emissions continue to alter the composition of Earth’s atmosphere in ways that are affecting and are expected to continue to affect the global climate. These considerations have led to new international, national, regional, and local legislative and regulatory responses. Various stakeholders, including legislators and regulators, shareholders, and non-governmental organizations, as well as companies in many business sectors, including us, are continuing to look for ways to reduce GHG emissions. The regulation of GHG emissions from certain stationary or mobile sources or the imposition of carbon pricing mechanisms could result in additional costs to us in the form of taxes or emission allowances, required facilities improvements, research and development investments, and increased energy costs. These results would increase our operating costs through higher utility, transportation, and materials cost and could prevent us from selling products into certain markets. Increased input costs, such as fuel and fertilizer, and compliance-related costs could also affect customer operations and demand for our equipment. Regulators in Europe and the U.S. have also focused efforts on increasing disclosures by companies related to climate change and mitigation efforts. These disclosure rules increase compliance burdens and associated regulatory costs. Further, our financial services segment is subject to additional international and national regulations relating to climate and environmental risk, which are continually evolving and could affect the financing operations and climate-risk processes developed by the segment.Legal proceedings, disputes and government inquiries and investigations could harm our business, financial condition, reputation, and brand.We routinely are a party to claims and legal actions and the subject of government inquiries and investigations, the most prevalent of which relate to product liability (including asbestos related liability), employment, patent, trademark, and antitrust matters. The defense of lawsuits and government inquiries and investigations has resulted and may result in expenditures of significant financial resources and the diversion of management’s time and attention away from business operations. We are currently subject to a consolidated multidistrict class action lawsuit in the Northern District of Illinois alleging that we have engaged in attempted monopolization, exclusionary conduct, and restraint of the market for repair services for John Deere brand agricultural equipment by limiting repair resources only to our authorized technicians or independent authorized John Deere dealers. In addition, the Federal Trade Commission (FTC) is investigating whether we have violated laws in connection with the repair of 22 Table of Contents Table of Contents Table of Contents We may face risks associated with international, national, and regional trade laws, regulations, and policies, and government farm programs and policies which could significantly impair our profitability and growth prospects. International, national, and regional laws, regulations, and policies directly or indirectly related to or restricting the import and export of our products, services, and technology, or those of our customers, or for the benefit of favored industries or sectors, could harm our global business. We are subject to various regulatory risks including, but not limited to, the following: ●Restricted access to global markets could impair our ability to export goods and services from various manufacturing locations around the world. Restricted access could limit the ability to access raw materials and high-quality parts and components at competitive prices on a timely basis. For example, expanding export controls or limits on foreign investment can impact global supply of key materials and components, and actions taken within the US-China trade conflict can impact business in China, as well as sales, import/exports, and/or business engagement with Chinese entities globally.●Trade restrictions, negotiation of new trade agreements, non-tariff trade barriers, local content requirements, and imposition of new or retaliatory tariffs against certain countries or covering certain products, including developments in U.S.-China trade relations, have limited, and could continue to limit, our ability to capitalize on current and future growth opportunities in international markets. These trade restrictions, and changes in, or uncertainty surrounding global trade policies, may affect our competitive position. ●Trade restrictions could impede those in developing countries from achieving a higher standard of living, which could negatively impact our future growth opportunities arising from increasing global demand for food, fuel, and infrastructure. ●Policies impacting exchange rates and commodity prices, or those limiting the export or import of commodities, could have a material adverse effect on the international flow of agricultural and other commodities that may result in a corresponding negative effect on the demand for agricultural and forestry equipment in many areas of the world. Our agricultural equipment sales could be harmed by such policies because farm income influences sales of agricultural equipment around the world. ●Changes in government farm programs and policies can influence demand for agricultural equipment as well as create unequal competition for multinational companies relative to domestic companies. Governmental actions designed to address climate change based on the emergence of new technologies and business models in connection with the transition to a lower-carbon economy could adversely affect John Deere and our customers. There is global scientific consensus that greenhouse gas (GHG) emissions continue to alter the composition of Earth’s atmosphere in ways that are affecting and are expected to continue to affect the global climate. These considerations have led to new international, national, regional, and local legislative and regulatory responses. Various stakeholders, including legislators and regulators, shareholders, and non-governmental organizations, as well as companies in many business sectors, including us, are continuing to look for ways to reduce GHG emissions. The regulation of GHG emissions from certain stationary or mobile sources or the imposition of carbon pricing mechanisms could result in additional costs to us in the form of taxes or emission allowances, required facilities improvements, research and development investments, and increased energy costs. These results would increase our operating costs through higher utility, transportation, and materials cost and could prevent us from selling products into certain markets. Increased input costs, such as fuel and fertilizer, and compliance-related costs could also affect customer operations and demand for our equipment. Regulators in Europe and the U.S. have also focused efforts on increasing disclosures by companies related to climate change and mitigation efforts. These disclosure rules increase compliance burdens and associated regulatory costs. Further, our financial services segment is subject to additional international and national regulations relating to climate and environmental risk, which are continually evolving and could affect the financing operations and climate-risk processes developed by the segment.Legal proceedings, disputes and government inquiries and investigations could harm our business, financial condition, reputation, and brand.We routinely are a party to claims and legal actions and the subject of government inquiries and investigations, the most prevalent of which relate to product liability (including asbestos related liability), employment, patent, trademark, and antitrust matters. The defense of lawsuits and government inquiries and investigations has resulted and may result in expenditures of significant financial resources and the diversion of management’s time and attention away from business operations. We are currently subject to a consolidated multidistrict class action lawsuit in the Northern District of Illinois alleging that we have engaged in attempted monopolization, exclusionary conduct, and restraint of the market for repair services for John Deere brand agricultural equipment by limiting repair resources only to our authorized technicians or independent authorized John Deere dealers. In addition, the Federal Trade Commission (FTC) is investigating whether we have violated laws in connection with the repair of We may face risks associated with international, national, and regional trade laws, regulations, and policies, and government farm programs and policies which could significantly impair our profitability and growth prospects. International, national, and regional laws, regulations, and policies directly or indirectly related to or restricting the import and export of our products, services, and technology, or those of our customers, or for the benefit of favored industries or sectors, could harm our global business. We are subject to various regulatory risks including, but not limited to, the following: ●Restricted access to global markets could impair our ability to export goods and services from various manufacturing locations around the world. Restricted access could limit the ability to access raw materials and high-quality parts and components at competitive prices on a timely basis. For example, expanding export controls or limits on foreign investment can impact global supply of key materials and components, and actions taken within the US-China trade conflict can impact business in China, as well as sales, import/exports, and/or business engagement with Chinese entities globally.●Trade restrictions, negotiation of new trade agreements, non-tariff trade barriers, local content requirements, and imposition of new or retaliatory tariffs against certain countries or covering certain products, including developments in U.S.-China trade relations, have limited, and could continue to limit, our ability to capitalize on current and future growth opportunities in international markets. These trade restrictions, and changes in, or uncertainty surrounding global trade policies, may affect our competitive position. ●Trade restrictions could impede those in developing countries from achieving a higher standard of living, which could negatively impact our future growth opportunities arising from increasing global demand for food, fuel, and infrastructure. ●Policies impacting exchange rates and commodity prices, or those limiting the export or import of commodities, could have a material adverse effect on the international flow of agricultural and other commodities that may result in a corresponding negative effect on the demand for agricultural and forestry equipment in many areas of the world. Our agricultural equipment sales could be harmed by such policies because farm income influences sales of agricultural equipment around the world. ●Changes in government farm programs and policies can influence demand for agricultural equipment as well as create unequal competition for multinational companies relative to domestic companies. Governmental actions designed to address climate change based on the emergence of new technologies and business models in connection with the transition to a lower-carbon economy could adversely affect John Deere and our customers. There is global scientific consensus that greenhouse gas (GHG) emissions continue to alter the composition of Earth’s atmosphere in ways that are affecting and are expected to continue to affect the global climate. These considerations have led to new international, national, regional, and local legislative and regulatory responses. Various stakeholders, including legislators and regulators, shareholders, and non-governmental organizations, as well as companies in many business sectors, including us, are continuing to look for ways to reduce GHG emissions. The regulation of GHG emissions from certain stationary or mobile sources or the imposition of carbon pricing mechanisms could result in additional costs to us in the form of taxes or emission allowances, required facilities improvements, research and development investments, and increased energy costs. These results would increase our operating costs through higher utility, transportation, and materials cost and could prevent us from selling products into certain markets. Increased input costs, such as fuel and fertilizer, and compliance-related costs could also affect customer operations and demand for our equipment. Regulators in Europe and the U.S. have also focused efforts on increasing disclosures by companies related to climate change and mitigation efforts. These disclosure rules increase compliance burdens and associated regulatory costs. Further, our financial services segment is subject to additional international and national regulations relating to climate and environmental risk, which are continually evolving and could affect the financing operations and climate-risk processes developed by the segment.Legal proceedings, disputes and government inquiries and investigations could harm our business, financial condition, reputation, and brand.We routinely are a party to claims and legal actions and the subject of government inquiries and investigations, the most prevalent of which relate to product liability (including asbestos related liability), employment, patent, trademark, and antitrust matters. The defense of lawsuits and government inquiries and investigations has resulted and may result in expenditures of significant financial resources and the diversion of management’s time and attention away from business operations. We are currently subject to a consolidated multidistrict class action lawsuit in the Northern District of Illinois alleging that we have engaged in attempted monopolization, exclusionary conduct, and restraint of the market for repair services for John Deere brand agricultural equipment by limiting repair resources only to our authorized technicians or independent authorized John Deere dealers. In addition, the Federal Trade Commission (FTC) is investigating whether we have violated laws in connection with the repair of",
      "prior_body": "We are subject to numerous international, federal, state, and local laws and regulations, many of which are complex, frequently changing, and subject to varying interpretations. These laws and regulations cover a variety of subjects, including advertising, anti-money laundering, antitrust, consumer finance, environmental, climate-related, health and safety, foreign exchange controls and cash repatriation restrictions, foreign ownership and investment, import/export and trade, human rights, labor and employment, product liability reporting, cybersecurity, data privacy, telematics, and connectivity. These laws may vary substantially within the different markets in which we operate. Compliance with these laws and regulations is expensive and may further increase the cost of conducting our global operations. In addition, we must comply with the U.S. Foreign 22 22 22 Table of ContentsCorrupt Practices Act and all applicable foreign anti-corruption laws, including the U.K. Bribery Act. These laws generally prohibit companies and their intermediaries from making improper payments or providing anything of value to improperly influence government officials or private individuals for the purpose of obtaining or retaining a business advantage, regardless of whether those practices are culturally expected in a particular jurisdiction. Although we have a compliance program in place designed to reduce the likelihood of potential violations of these laws and regulations, there can be no assurance that our employees, contractors, or agents will not violate such laws and regulations or our policies and procedures. Violations of these laws and regulations could result in criminal or civil sanctions and have a material adverse effect on our reputation, business, results of operations, and financial condition.Changes to existing laws and regulations, or changes to how they are interpreted, or the implementation of new, more stringent laws or regulations, could adversely affect our business by increasing compliance costs, limiting our ability to offer a product or service, requiring changes to our business practices, or otherwise making our products and services less attractive to customers. Legislative and regulatory changes, and other actions that could potentially affect our business may be announced with little or no advance notice and we may not be able to effectively mitigate all adverse effects from such measures.We are subject to governmental laws, regulations, and other legal obligations related to privacy and data protection. Any inability or perceived inability of addressing these requirements could adversely affect our business.The legislative and regulatory framework for privacy and data protection issues worldwide is rapidly evolving and is likely to remain uncertain for the foreseeable future. We collect personal information and other data as integral parts of our business processes and activities. This data is subject to a variety of U.S. and foreign laws and regulations, including oversight by various regulatory and other governmental bodies. Many foreign countries and governmental bodies, including the EU, China, Canada, and other relevant jurisdictions where we conduct business, have laws and regulations concerning the collection and use of personal information and other data obtained from their residents or by businesses operating within their jurisdictions. The EU General Data Protection Regulation (GDPR), the California Consumer Privacy Act, and the China Personal Information Protection Law, among others, impose stringent data protection requirements and provide significant penalties for noncompliance. New privacy laws will continue to come into effect around the world in the future. Any inability or perceived inability to adequately address privacy and data protection concerns (even if unfounded), or comply with applicable laws, regulations, policies, industry standards, contractual obligations, or other legal obligations (including at newly acquired companies) could result in additional cost and liability to us, damage our reputation, inhibit sales, and otherwise adversely affect our business.Legal proceedings and disputes in which we are, and may in the future be, involved could harm our business, financial condition, reputation, and brand. We routinely are a party to claims and legal actions incidental to our business. These include claims for personal injury or property by users of our equipment, environmental, health, and safety claims, disputes with distributors, vendors and others with respect to commercial matters, and disputes with taxing and other governmental authorities regarding the conduct of our business. The defense of lawsuits and government inquiries or investigations has resulted and may result in expenditures of significant financial resources and the diversion of management’s time and attention away from business operations. We are currently subject to a consolidated multidistrict class action lawsuit in the Northern District of Illinois alleging that we have engaged in attempted monopolization, exclusionary conduct, and restraint of the market for repair services for John Deere brand agricultural equipment by limiting repair resources only to our authorized technicians or independent authorized John Deere dealers. In addition, the Federal Trade Commission (FTC) is investigating whether we have violated laws in connection with the repair of John Deere brand agriculture equipment, as well as our information security practices and statements as they relate to the risk of unauthorized access to our computer systems, products, and services. We are fully cooperating with the FTC. We are currently unable to predict the outcome of these matters. The development and resolution of these matters could have a material adverse effect on our business, operations, and financial results.GENERAL RISKSOur reputation and brand could be damaged by negative publicity. Our brand has worldwide recognition and significantly contributes to the success of our business. Our reputation is critical to growing our customer base. Our brand depends on the ability to maintain a positive customer perception of the business, including the core values of integrity, quality, innovation, and commitment. Negative claims or publicity involving us, our products or services, our culture and values, our stance on environmental, social, and governance topics, customer data, or any of our key employees or suppliers, could damage our reputation and brand image, regardless of whether such claims are accurate. In addition, our stance on environmental, social, and governance topics damage to our reputation could adversely impact the ability to attract new and maintain existing customers, employees, dealers, and business relationships. For example, we have been the subject of negative media articles relating to our customers’ right to maintain and safely repair their equipment. 23 Table of Contents Table of Contents Table of Contents Corrupt Practices Act and all applicable foreign anti-corruption laws, including the U.K. Bribery Act. These laws generally prohibit companies and their intermediaries from making improper payments or providing anything of value to improperly influence government officials or private individuals for the purpose of obtaining or retaining a business advantage, regardless of whether those practices are culturally expected in a particular jurisdiction. Although we have a compliance program in place designed to reduce the likelihood of potential violations of these laws and regulations, there can be no assurance that our employees, contractors, or agents will not violate such laws and regulations or our policies and procedures. Violations of these laws and regulations could result in criminal or civil sanctions and have a material adverse effect on our reputation, business, results of operations, and financial condition.Changes to existing laws and regulations, or changes to how they are interpreted, or the implementation of new, more stringent laws or regulations, could adversely affect our business by increasing compliance costs, limiting our ability to offer a product or service, requiring changes to our business practices, or otherwise making our products and services less attractive to customers. Legislative and regulatory changes, and other actions that could potentially affect our business may be announced with little or no advance notice and we may not be able to effectively mitigate all adverse effects from such measures.We are subject to governmental laws, regulations, and other legal obligations related to privacy and data protection. Any inability or perceived inability of addressing these requirements could adversely affect our business.The legislative and regulatory framework for privacy and data protection issues worldwide is rapidly evolving and is likely to remain uncertain for the foreseeable future. We collect personal information and other data as integral parts of our business processes and activities. This data is subject to a variety of U.S. and foreign laws and regulations, including oversight by various regulatory and other governmental bodies. Many foreign countries and governmental bodies, including the EU, China, Canada, and other relevant jurisdictions where we conduct business, have laws and regulations concerning the collection and use of personal information and other data obtained from their residents or by businesses operating within their jurisdictions. The EU General Data Protection Regulation (GDPR), the California Consumer Privacy Act, and the China Personal Information Protection Law, among others, impose stringent data protection requirements and provide significant penalties for noncompliance. New privacy laws will continue to come into effect around the world in the future. Any inability or perceived inability to adequately address privacy and data protection concerns (even if unfounded), or comply with applicable laws, regulations, policies, industry standards, contractual obligations, or other legal obligations (including at newly acquired companies) could result in additional cost and liability to us, damage our reputation, inhibit sales, and otherwise adversely affect our business.Legal proceedings and disputes in which we are, and may in the future be, involved could harm our business, financial condition, reputation, and brand. We routinely are a party to claims and legal actions incidental to our business. These include claims for personal injury or property by users of our equipment, environmental, health, and safety claims, disputes with distributors, vendors and others with respect to commercial matters, and disputes with taxing and other governmental authorities regarding the conduct of our business. The defense of lawsuits and government inquiries or investigations has resulted and may result in expenditures of significant financial resources and the diversion of management’s time and attention away from business operations. We are currently subject to a consolidated multidistrict class action lawsuit in the Northern District of Illinois alleging that we have engaged in attempted monopolization, exclusionary conduct, and restraint of the market for repair services for John Deere brand agricultural equipment by limiting repair resources only to our authorized technicians or independent authorized John Deere dealers. In addition, the Federal Trade Commission (FTC) is investigating whether we have violated laws in connection with the repair of John Deere brand agriculture equipment, as well as our information security practices and statements as they relate to the risk of unauthorized access to our computer systems, products, and services. We are fully cooperating with the FTC. We are currently unable to predict the outcome of these matters. The development and resolution of these matters could have a material adverse effect on our business, operations, and financial results.GENERAL RISKSOur reputation and brand could be damaged by negative publicity. Our brand has worldwide recognition and significantly contributes to the success of our business. Our reputation is critical to growing our customer base. Our brand depends on the ability to maintain a positive customer perception of the business, including the core values of integrity, quality, innovation, and commitment. Negative claims or publicity involving us, our products or services, our culture and values, our stance on environmental, social, and governance topics, customer data, or any of our key employees or suppliers, could damage our reputation and brand image, regardless of whether such claims are accurate. In addition, our stance on environmental, social, and governance topics damage to our reputation could adversely impact the ability to attract new and maintain existing customers, employees, dealers, and business relationships. For example, we have been the subject of negative media articles relating to our customers’ right to maintain and safely repair their equipment. Corrupt Practices Act and all applicable foreign anti-corruption laws, including the U.K. Bribery Act. These laws generally prohibit companies and their intermediaries from making improper payments or providing anything of value to improperly influence government officials or private individuals for the purpose of obtaining or retaining a business advantage, regardless of whether those practices are culturally expected in a particular jurisdiction. Although we have a compliance program in place designed to reduce the likelihood of potential violations of these laws and regulations, there can be no assurance that our employees, contractors, or agents will not violate such laws and regulations or our policies and procedures. Violations of these laws and regulations could result in criminal or civil sanctions and have a material adverse effect on our reputation, business, results of operations, and financial condition. Changes to existing laws and regulations, or changes to how they are interpreted, or the implementation of new, more stringent laws or regulations, could adversely affect our business by increasing compliance costs, limiting our ability to offer a product or service, requiring changes to our business practices, or otherwise making our products and services less attractive to customers. Legislative and regulatory changes, and other actions that could potentially affect our business may be announced with little or no advance notice and we may not be able to effectively mitigate all adverse effects from such measures."
    },
    {
      "status": "MODIFIED",
      "current_title": "Other Items of Concern and Uncertainties – Other items that could impact our results are:",
      "prior_title": "Other Items of Concern and Uncertainties – Other items that could impact our results are:",
      "similarity_score": 0.551,
      "confidence": "low",
      "key_changes": [
        "Reworded sentence: \"​ 30 30 30 Table of Contents​​​CONSOLIDATED RESULTS2024 compared to 2023Highlights●Net income declined in 2024 compared to 2023, driven by declining market conditions.●We continue to focus on structural profitability and strategically investing in solutions that deliver value to our customers.Net Sales and RevenuesNet Sales (Equipment Operations) ●Net sales decreased in 2024 primarily due to lower sales volumes driven by declining market conditions (see Business Segment Results).Net Income (Attributable to Deere & Company)Diluted Earnings Per Share (EPS) ($ per share)●Net income and diluted EPS decreased driven by lower sales.Other Significant Statement of Consolidated Income Changes An explanation of the cost of sales to net sales ratio and other significant statement of consolidated income changes follows:​​​​​​​​​​​​Deere & Company​2024​2023​% Change​Cost of sales to net sales​​68.8%​​67.9%​+1​(-) Overhead Costs​Unfavorable​+ Price realization​Favorable​+ Material costs​Favorable​Increased mostly due to higher overhead costs from reduced volumes resulting in production inefficiencies partially offset by sales price realization, lower material costs, and lower employee profit-sharing incentives.​​​​​​​​​​​Finance and interest income​$ 5,759​$ 4,683​+23​Increased primarily due to higher average financing receivable portfolios and higher average financing rates.​​​​​​​​​​​Other income​​ 1,198​​ 1,003​+19​Higher primarily due to investment income earned on international marketable securities, legal settlements (see Note 4), and increased revenues from services.​​​​​​​​​​​Deere & Company​2024​2023​% Change​Research and development expenses​$ 2,290​$ 2,177​+5​Higher due to continued focus on developing new technology solutions and product introductions.​​​​​​​​​​​Selling, administrative and general expenses​​ 4,840​​ 4,595​+5​Increased mostly due to higher provision for credit losses, employee separation programs' expenses, and higher employee pay driven by merit increases, partially offset by the effect of a prior year accounting treatment correction (see Note 4).​​​​​​​​​​​Interest expense​​ 3,348​​ 2,453​+36​Increased due to higher average borrowing rates and higher average borrowings.​​​​​​​​​​​Other operating expenses​​ 1,257​​ 1,292​-3​Lower due to foreign exchange, higher pension benefits (see Note 9), and a settlement of an insurance claim recovery at an international location.​​​​​​​​​​​Provision for income taxes​​ 2,094​​ 2,871​-27​Decreased as a result of lower pretax income, adjustments to valuation allowance on deferred tax, and the favorable impact of discrete tax benefits.\""
      ],
      "current_body": "​ 30 30 30 Table of Contents​​​CONSOLIDATED RESULTS2024 compared to 2023Highlights●Net income declined in 2024 compared to 2023, driven by declining market conditions.●We continue to focus on structural profitability and strategically investing in solutions that deliver value to our customers.Net Sales and RevenuesNet Sales (Equipment Operations) ●Net sales decreased in 2024 primarily due to lower sales volumes driven by declining market conditions (see Business Segment Results).Net Income (Attributable to Deere & Company)Diluted Earnings Per Share (EPS) ($ per share)●Net income and diluted EPS decreased driven by lower sales.Other Significant Statement of Consolidated Income Changes An explanation of the cost of sales to net sales ratio and other significant statement of consolidated income changes follows:​​​​​​​​​​​​Deere & Company​2024​2023​% Change​Cost of sales to net sales​​68.8%​​67.9%​+1​(-) Overhead Costs​Unfavorable​+ Price realization​Favorable​+ Material costs​Favorable​Increased mostly due to higher overhead costs from reduced volumes resulting in production inefficiencies partially offset by sales price realization, lower material costs, and lower employee profit-sharing incentives.​​​​​​​​​​​Finance and interest income​$ 5,759​$ 4,683​+23​Increased primarily due to higher average financing receivable portfolios and higher average financing rates.​​​​​​​​​​​Other income​​ 1,198​​ 1,003​+19​Higher primarily due to investment income earned on international marketable securities, legal settlements (see Note 4), and increased revenues from services.​​​​​​​​​​​Deere & Company​2024​2023​% Change​Research and development expenses​$ 2,290​$ 2,177​+5​Higher due to continued focus on developing new technology solutions and product introductions.​​​​​​​​​​​Selling, administrative and general expenses​​ 4,840​​ 4,595​+5​Increased mostly due to higher provision for credit losses, employee separation programs' expenses, and higher employee pay driven by merit increases, partially offset by the effect of a prior year accounting treatment correction (see Note 4).​​​​​​​​​​​Interest expense​​ 3,348​​ 2,453​+36​Increased due to higher average borrowing rates and higher average borrowings.​​​​​​​​​​​Other operating expenses​​ 1,257​​ 1,292​-3​Lower due to foreign exchange, higher pension benefits (see Note 9), and a settlement of an insurance claim recovery at an international location.​​​​​​​​​​​Provision for income taxes​​ 2,094​​ 2,871​-27​Decreased as a result of lower pretax income, adjustments to valuation allowance on deferred tax, and the favorable impact of discrete tax benefits. These items were partially offset by prior years' favorable income tax ruling in Brazil.​​​BUSINESS SEGMENT RESULTS2024 compared to 2023​Each equipment operations segment experienced lower shipment volumes partially offset by price realization during 2024. Rising global grain stocks, lower commodity prices, elevated interest rates, and the effect of inventory management contributed to lower shipment volumes for large and small agriculture. Declines in housing starts, decreases in rental purchases, lower levels of commercial real estate construction, and the effect of inventory management contributed to lower shipment volumes for construction equipment. Production costs were favorable in 2024 due to lower material and employee profit-sharing incentives costs, partially offset by higher manufacturing overhead costs driven by lower volumes and production inefficiencies.Production and Precision Agriculture Operations​​​​​​​​​​​​​​2024​2023​% Change​Net sales​$ 20,834​$ 26,790​-22​Sales volume and other​​​​​​​-24​Price realization​​​​​​​+2​Currency translation​​​​​​​​​Operating profit​​ 4,514​​ 6,996​-35​Operating margin​​21.7%​​26.1%​​​​​Sales volumes decreased 17 percent in the U.S. and Canada, 40 percent in Brazil, and 30 percent in Europe. Price realization in the U.S. and Canada was 3 percent driven by inflation, which was partially offset by an increase in retail and pool funds sales incentives. Price realization was flat outside the U.S. and Canada 31 Table of Contents​ Table of Contents Table of Contents ​ ​​CONSOLIDATED RESULTS2024 compared to 2023Highlights●Net income declined in 2024 compared to 2023, driven by declining market conditions.●We continue to focus on structural profitability and strategically investing in solutions that deliver value to our customers.Net Sales and RevenuesNet Sales (Equipment Operations) ●Net sales decreased in 2024 primarily due to lower sales volumes driven by declining market conditions (see Business Segment Results).Net Income (Attributable to Deere & Company)Diluted Earnings Per Share (EPS) ($ per share)●Net income and diluted EPS decreased driven by lower sales.Other Significant Statement of Consolidated Income Changes An explanation of the cost of sales to net sales ratio and other significant statement of consolidated income changes follows:​​​​​​​​​​​​Deere & Company​2024​2023​% Change​Cost of sales to net sales​​68.8%​​67.9%​+1​(-) Overhead Costs​Unfavorable​+ Price realization​Favorable​+ Material costs​Favorable​Increased mostly due to higher overhead costs from reduced volumes resulting in production inefficiencies partially offset by sales price realization, lower material costs, and lower employee profit-sharing incentives.​​​​​​​​​​​Finance and interest income​$ 5,759​$ 4,683​+23​Increased primarily due to higher average financing receivable portfolios and higher average financing rates.​​​​​​​​​​​Other income​​ 1,198​​ 1,003​+19​Higher primarily due to investment income earned on international marketable securities, legal settlements (see Note 4), and increased revenues from services.​​​​​​​​​​​Deere & Company​2024​2023​% Change​Research and development expenses​$ 2,290​$ 2,177​+5​Higher due to continued focus on developing new technology solutions and product introductions.​​​​​​​​​​​Selling, administrative and general expenses​​ 4,840​​ 4,595​+5​Increased mostly due to higher provision for credit losses, employee separation programs' expenses, and higher employee pay driven by merit increases, partially offset by the effect of a prior year accounting treatment correction (see Note 4).​​​​​​​​​​​Interest expense​​ 3,348​​ 2,453​+36​Increased due to higher average borrowing rates and higher average borrowings.​​​​​​​​​​​Other operating expenses​​ 1,257​​ 1,292​-3​Lower due to foreign exchange, higher pension benefits (see Note 9), and a settlement of an insurance claim recovery at an international location.​​​​​​​​​​​Provision for income taxes​​ 2,094​​ 2,871​-27​Decreased as a result of lower pretax income, adjustments to valuation allowance on deferred tax, and the favorable impact of discrete tax benefits. These items were partially offset by prior years' favorable income tax ruling in Brazil.​​​BUSINESS SEGMENT RESULTS2024 compared to 2023​Each equipment operations segment experienced lower shipment volumes partially offset by price realization during 2024. Rising global grain stocks, lower commodity prices, elevated interest rates, and the effect of inventory management contributed to lower shipment volumes for large and small agriculture. Declines in housing starts, decreases in rental purchases, lower levels of commercial real estate construction, and the effect of inventory management contributed to lower shipment volumes for construction equipment. Production costs were favorable in 2024 due to lower material and employee profit-sharing incentives costs, partially offset by higher manufacturing overhead costs driven by lower volumes and production inefficiencies.Production and Precision Agriculture Operations​​​​​​​​​​​​​​2024​2023​% Change​Net sales​$ 20,834​$ 26,790​-22​Sales volume and other​​​​​​​-24​Price realization​​​​​​​+2​Currency translation​​​​​​​​​Operating profit​​ 4,514​​ 6,996​-35​Operating margin​​21.7%​​26.1%​​​​​Sales volumes decreased 17 percent in the U.S. and Canada, 40 percent in Brazil, and 30 percent in Europe. Price realization in the U.S. and Canada was 3 percent driven by inflation, which was partially offset by an increase in retail and pool funds sales incentives. Price realization was flat outside the U.S. and Canada ​​CONSOLIDATED RESULTS2024 compared to 2023Highlights●Net income declined in 2024 compared to 2023, driven by declining market conditions.●We continue to focus on structural profitability and strategically investing in solutions that deliver value to our customers.Net Sales and RevenuesNet Sales (Equipment Operations) ●Net sales decreased in 2024 primarily due to lower sales volumes driven by declining market conditions (see Business Segment Results).Net Income (Attributable to Deere & Company)Diluted Earnings Per Share (EPS) ($ per share)●Net income and diluted EPS decreased driven by lower sales.Other Significant Statement of Consolidated Income Changes An explanation of the cost of sales to net sales ratio and other significant statement of consolidated income changes follows:​​​​​​​​​​​​Deere & Company​2024​2023​% Change​Cost of sales to net sales​​68.8%​​67.9%​+1​(-) Overhead Costs​Unfavorable​+ Price realization​Favorable​+ Material costs​Favorable​Increased mostly due to higher overhead costs from reduced volumes resulting in production inefficiencies partially offset by sales price realization, lower material costs, and lower employee profit-sharing incentives.​​​​​​​​​​​Finance and interest income​$ 5,759​$ 4,683​+23​Increased primarily due to higher average financing receivable portfolios and higher average financing rates.​​​​​​​​​​​Other income​​ 1,198​​ 1,003​+19​Higher primarily due to investment income earned on international marketable securities, legal settlements (see Note 4), and increased revenues from services.​​​​​​​​​​​Deere & Company​2024​2023​% Change​Research and development expenses​$ 2,290​$ 2,177​+5​Higher due to continued focus on developing new technology solutions and product introductions.​​​​​​​​​​​Selling, administrative and general expenses​​ 4,840​​ 4,595​+5​Increased mostly due to higher provision for credit losses, employee separation programs' expenses, and higher employee pay driven by merit increases, partially offset by the effect of a prior year accounting treatment correction (see Note 4).​​​​​​​​​​​Interest expense​​ 3,348​​ 2,453​+36​Increased due to higher average borrowing rates and higher average borrowings.​​​​​​​​​​​Other operating expenses​​ 1,257​​ 1,292​-3​Lower due to foreign exchange, higher pension benefits (see Note 9), and a settlement of an insurance claim recovery at an international location.​​​​​​​​​​​Provision for income taxes​​ 2,094​​ 2,871​-27​Decreased as a result of lower pretax income, adjustments to valuation allowance on deferred tax, and the favorable impact of discrete tax benefits. These items were partially offset by prior years' favorable income tax ruling in Brazil.​​​BUSINESS SEGMENT RESULTS2024 compared to 2023​Each equipment operations segment experienced lower shipment volumes partially offset by price realization during 2024. Rising global grain stocks, lower commodity prices, elevated interest rates, and the effect of inventory management contributed to lower shipment volumes for large and small agriculture. Declines in housing starts, decreases in rental purchases, lower levels of commercial real estate construction, and the effect of inventory management contributed to lower shipment volumes for construction equipment. Production costs were favorable in 2024 due to lower material and employee profit-sharing incentives costs, partially offset by higher manufacturing overhead costs driven by lower volumes and production inefficiencies.Production and Precision Agriculture Operations​​​​​​​​​​​​​​2024​2023​% Change​Net sales​$ 20,834​$ 26,790​-22​Sales volume and other​​​​​​​-24​Price realization​​​​​​​+2​Currency translation​​​​​​​​​Operating profit​​ 4,514​​ 6,996​-35​Operating margin​​21.7%​​26.1%​​​​​Sales volumes decreased 17 percent in the U.S. and Canada, 40 percent in Brazil, and 30 percent in Europe. Price realization in the U.S. and Canada was 3 percent driven by inflation, which was partially offset by an increase in retail and pool funds sales incentives. Price realization was flat outside the U.S. and Canada ​​CONSOLIDATED RESULTS2024 compared to 2023Highlights●Net income declined in 2024 compared to 2023, driven by declining market conditions.●We continue to focus on structural profitability and strategically investing in solutions that deliver value to our customers.Net Sales and RevenuesNet Sales (Equipment Operations) ●Net sales decreased in 2024 primarily due to lower sales volumes driven by declining market conditions (see Business Segment Results).Net Income (Attributable to Deere & Company)Diluted Earnings Per Share (EPS) ($ per share)●Net income and diluted EPS decreased driven by lower sales.Other Significant Statement of Consolidated Income Changes An explanation of the cost of sales to net sales ratio and other significant statement of consolidated income changes follows:​​​​​​​​​​​​Deere & Company​2024​2023​% Change​Cost of sales to net sales​​68.8%​​67.9%​+1​(-) Overhead Costs​Unfavorable​+ Price realization​Favorable​+ Material costs​Favorable​Increased mostly due to higher overhead costs from reduced volumes resulting in production inefficiencies partially offset by sales price realization, lower material costs, and lower employee profit-sharing incentives.​​​​​​​​​​​Finance and interest income​$ 5,759​$ 4,683​+23​Increased primarily due to higher average financing receivable portfolios and higher average financing rates.​​​​​​​​​​​Other income​​ 1,198​​ 1,003​+19​Higher primarily due to investment income earned on international marketable securities, legal settlements (see Note 4), and increased revenues from services.​​​​​​​​​​​Deere & Company​2024​2023​% Change​Research and development expenses​$ 2,290​$ 2,177​+5​Higher due to continued focus on developing new technology solutions and product introductions.​​​​​​​​​​​Selling, administrative and general expenses​​ 4,840​​ 4,595​+5​Increased mostly due to higher provision for credit losses, employee separation programs' expenses, and higher employee pay driven by merit increases, partially offset by the effect of a prior year accounting treatment correction (see Note 4).​​​​​​​​​​​Interest expense​​ 3,348​​ 2,453​+36​Increased due to higher average borrowing rates and higher average borrowings.​​​​​​​​​​​Other operating expenses​​ 1,257​​ 1,292​-3​Lower due to foreign exchange, higher pension benefits (see Note 9), and a settlement of an insurance claim recovery at an international location.​​​​​​​​​​​Provision for income taxes​​ 2,094​​ 2,871​-27​Decreased as a result of lower pretax income, adjustments to valuation allowance on deferred tax, and the favorable impact of discrete tax benefits. These items were partially offset by prior years' favorable income tax ruling in Brazil.​​​BUSINESS SEGMENT RESULTS2024 compared to 2023​Each equipment operations segment experienced lower shipment volumes partially offset by price realization during 2024. Rising global grain stocks, lower commodity prices, elevated interest rates, and the effect of inventory management contributed to lower shipment volumes for large and small agriculture. Declines in housing starts, decreases in rental purchases, lower levels of commercial real estate construction, and the effect of inventory management contributed to lower shipment volumes for construction equipment. Production costs were favorable in 2024 due to lower material and employee profit-sharing incentives costs, partially offset by higher manufacturing overhead costs driven by lower volumes and production inefficiencies.Production and Precision Agriculture Operations​​​​​​​​​​​​​​2024​2023​% Change​Net sales​$ 20,834​$ 26,790​-22​Sales volume and other​​​​​​​-24​Price realization​​​​​​​+2​Currency translation​​​​​​​​​Operating profit​​ 4,514​​ 6,996​-35​Operating margin​​21.7%​​26.1%​​​​​Sales volumes decreased 17 percent in the U.S. and Canada, 40 percent in Brazil, and 30 percent in Europe. Price realization in the U.S. and Canada was 3 percent driven by inflation, which was partially offset by an increase in retail and pool funds sales incentives. Price realization was flat outside the U.S. and Canada ​​CONSOLIDATED RESULTS2024 compared to 2023Highlights●Net income declined in 2024 compared to 2023, driven by declining market conditions.●We continue to focus on structural profitability and strategically investing in solutions that deliver value to our customers.Net Sales and RevenuesNet Sales (Equipment Operations) ●Net sales decreased in 2024 primarily due to lower sales volumes driven by declining market conditions (see Business Segment Results).Net Income (Attributable to Deere & Company)Diluted Earnings Per Share (EPS) ($ per share)●Net income and diluted EPS decreased driven by lower sales.Other Significant Statement of Consolidated Income Changes An explanation of the cost of sales to net sales ratio and other significant statement of consolidated income changes follows:​​​​​​​​​​​​Deere & Company​2024​2023​% Change​Cost of sales to net sales​​68.8%​​67.9%​+1​(-) Overhead Costs​Unfavorable​+ Price realization​Favorable​+ Material costs​Favorable​Increased mostly due to higher overhead costs from reduced volumes resulting in production inefficiencies partially offset by sales price realization, lower material costs, and lower employee profit-sharing incentives.​​​​​​​​​​​Finance and interest income​$ 5,759​$ 4,683​+23​Increased primarily due to higher average financing receivable portfolios and higher average financing rates.​​​​​​​​​​​Other income​​ 1,198​​ 1,003​+19​Higher primarily due to investment income earned on international marketable securities, legal settlements (see Note 4), and increased revenues from services.​​​​​​​​​​​ ​ ​ ​ ​ ​ ​",
      "prior_body": "​ ​ ​ ​ ​ ​ ​ 30 30 30 Table of Contents​CONSOLIDATED RESULTS2023 compared to 2022Highlights●Net income rose in 2023 compared to 2022, driven by strong market conditions.●We continue to focus on structural profitability and strategically investing in solutions that deliver value to our customers.Net Sales and RevenuesNet Sales (Equipment Operations) ●Favorable industry fundamentals and strong demand for farm and construction equipment drove the sales increases in 2023.Net Income (Attributable to Deere & Company)Diluted Earnings Per Share (EPS) ($ per share)●Net income and diluted EPS grew at a faster rate than sales due to our ability to keep cost increases below price realization.Other Significant Statement of Consolidated Income Changes – An explanation of the cost of sales to net sales ratio and other significant statement of consolidated income changes follows:​​​​​​​​​​​​​Deere & Company​2023​2022​% Change​Cost of sales to net sales​​67.9%​​73.7%​-8​+ Price realization​Favorable​(-) Production costs​Unfavorable​Price realization was 12 percent driven by strong demand. Production costs increased due to a moderate rise in material cost and manufacturing overhead. These factors were partially offset by lower freight costs and production efficiencies generated by easing supply chain disruptions.​​​​​​​​​​​Other income​$ 1,003​$ 1,295​-23​Other income was lower due to a non-cash gain on the remeasurement of the previously held equity investment in the Deere-Hitachi joint venture in 2022.​​​​​​​​​​​Research and development expenses​​ 2,177​​ 1,912​+14​Research and development expenditures were higher due to continued focus on developing new technology solutions and new product introductions.​​​​​​​​​​​Selling, administrative and general expenses​​ 4,595​​ 3,863​+19​Selling, administrative and general expenses rose due to higher salary expenses driven by inflationary conditions, profit-sharing incentives, and an increase in expenses to support the Leap Ambitions framework. Also impacting the current year was a cumulative correction of the accounting treatment for financing incentives offered to John Deere dealers (see Note 4).​​​​​​​​​​​Interest expense​​ 2,453​​ 1,062​+131​Interest expense increased due to higher average borrowing rates and higher average borrowings.​​​​​​​​​​​Other operating expenses​​ 1,292​​ 1,275​+1​See Note 9 for more information.​​​​​​​​​​​Provision for income taxes​​ 2,871​​ 2,007​+43​Consistent with higher pretax income.​​​​​​31 Table of Contents​ Table of Contents Table of Contents ​ CONSOLIDATED RESULTS2023 compared to 2022Highlights●Net income rose in 2023 compared to 2022, driven by strong market conditions.●We continue to focus on structural profitability and strategically investing in solutions that deliver value to our customers.Net Sales and RevenuesNet Sales (Equipment Operations) ●Favorable industry fundamentals and strong demand for farm and construction equipment drove the sales increases in 2023.Net Income (Attributable to Deere & Company)Diluted Earnings Per Share (EPS) ($ per share)●Net income and diluted EPS grew at a faster rate than sales due to our ability to keep cost increases below price realization.Other Significant Statement of Consolidated Income Changes – An explanation of the cost of sales to net sales ratio and other significant statement of consolidated income changes follows:​​​​​​​​​​​​​Deere & Company​2023​2022​% Change​Cost of sales to net sales​​67.9%​​73.7%​-8​+ Price realization​Favorable​(-) Production costs​Unfavorable​Price realization was 12 percent driven by strong demand. Production costs increased due to a moderate rise in material cost and manufacturing overhead. These factors were partially offset by lower freight costs and production efficiencies generated by easing supply chain disruptions.​​​​​​​​​​​Other income​$ 1,003​$ 1,295​-23​Other income was lower due to a non-cash gain on the remeasurement of the previously held equity investment in the Deere-Hitachi joint venture in 2022.​​​​​​​​​​​Research and development expenses​​ 2,177​​ 1,912​+14​Research and development expenditures were higher due to continued focus on developing new technology solutions and new product introductions.​​​​​​​​​​​Selling, administrative and general expenses​​ 4,595​​ 3,863​+19​Selling, administrative and general expenses rose due to higher salary expenses driven by inflationary conditions, profit-sharing incentives, and an increase in expenses to support the Leap Ambitions framework. Also impacting the current year was a cumulative correction of the accounting treatment for financing incentives offered to John Deere dealers (see Note 4).​​​​​​​​​​​Interest expense​​ 2,453​​ 1,062​+131​Interest expense increased due to higher average borrowing rates and higher average borrowings.​​​​​​​​​​​Other operating expenses​​ 1,292​​ 1,275​+1​See Note 9 for more information.​​​​​​​​​​​Provision for income taxes​​ 2,871​​ 2,007​+43​Consistent with higher pretax income.​​​​​​ CONSOLIDATED RESULTS2023 compared to 2022Highlights●Net income rose in 2023 compared to 2022, driven by strong market conditions.●We continue to focus on structural profitability and strategically investing in solutions that deliver value to our customers.Net Sales and RevenuesNet Sales (Equipment Operations) ●Favorable industry fundamentals and strong demand for farm and construction equipment drove the sales increases in 2023.Net Income (Attributable to Deere & Company)Diluted Earnings Per Share (EPS) ($ per share)●Net income and diluted EPS grew at a faster rate than sales due to our ability to keep cost increases below price realization.Other Significant Statement of Consolidated Income Changes – An explanation of the cost of sales to net sales ratio and other significant statement of consolidated income changes follows:​​​​​​​​​​​​​Deere & Company​2023​2022​% Change​Cost of sales to net sales​​67.9%​​73.7%​-8​+ Price realization​Favorable​(-) Production costs​Unfavorable​Price realization was 12 percent driven by strong demand. Production costs increased due to a moderate rise in material cost and manufacturing overhead. These factors were partially offset by lower freight costs and production efficiencies generated by easing supply chain disruptions.​​​​​​​​​​​Other income​$ 1,003​$ 1,295​-23​Other income was lower due to a non-cash gain on the remeasurement of the previously held equity investment in the Deere-Hitachi joint venture in 2022.​​​​​​​​​​​Research and development expenses​​ 2,177​​ 1,912​+14​Research and development expenditures were higher due to continued focus on developing new technology solutions and new product introductions.​​​​​​​​​​​Selling, administrative and general expenses​​ 4,595​​ 3,863​+19​Selling, administrative and general expenses rose due to higher salary expenses driven by inflationary conditions, profit-sharing incentives, and an increase in expenses to support the Leap Ambitions framework. Also impacting the current year was a cumulative correction of the accounting treatment for financing incentives offered to John Deere dealers (see Note 4).​​​​​​​​​​​Interest expense​​ 2,453​​ 1,062​+131​Interest expense increased due to higher average borrowing rates and higher average borrowings.​​​​​​​​​​​Other operating expenses​​ 1,292​​ 1,275​+1​See Note 9 for more information.​​​​​​​​​​​Provision for income taxes​​ 2,871​​ 2,007​+43​Consistent with higher pretax income.​​​​​​ CONSOLIDATED RESULTS2023 compared to 2022Highlights●Net income rose in 2023 compared to 2022, driven by strong market conditions.●We continue to focus on structural profitability and strategically investing in solutions that deliver value to our customers.Net Sales and RevenuesNet Sales (Equipment Operations) ●Favorable industry fundamentals and strong demand for farm and construction equipment drove the sales increases in 2023.Net Income (Attributable to Deere & Company)Diluted Earnings Per Share (EPS) ($ per share)●Net income and diluted EPS grew at a faster rate than sales due to our ability to keep cost increases below price realization."
    },
    {
      "status": "MODIFIED",
      "current_title": "Net Income Attributable to Deere & Company",
      "prior_title": "Net Income Attributable to Deere & Company",
      "similarity_score": 0.527,
      "confidence": "low",
      "key_changes": [
        "Reworded sentence: \"​ $ 6,404 ​ $ 9,547 ​ $ 6,251 ​ $ 696 ​ $ 619 ​ $ 880 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ $ 7,100 ​ $ 10,166 ​ $ 7,131 ​ ​ ​ ​ ​ 1 Elimination of intercompany interest income and expense.\"",
        "Reworded sentence: \"3 Elimination of income and expenses between equipment operations and financial services related to intercompany guarantees of investments in certain international markets.\"",
        "Reworded sentence: \"​ 39 39 39 Table of ContentsSUPPLEMENTAL CONSOLIDATING DATA (continued)​​​​​​​​​​​​​​​​​​​​​​​​​​​​​CONDENSED BALANCE SHEETS​​​As of October 27, 2024 and October 29, 2023​​​Unaudited​​​​​EQUIPMENT​FINANCIAL​​​​​​​​​OPERATIONS​SERVICES​ELIMINATIONS​CONSOLIDATED​​​​ 2024 2023​2024 2023​2024 2023​2024 2023​​​ASSETS​​ ​​ ​​ ​​ ​​​​​​​​​​​​​​​Cash and cash equivalents ​$ 5,615​$ 5,720​$ 1,709​$ 1,738​​ ​​​ ​​$ 7,324​$ 7,458​​​Marketable securities ​ 125​ 104​ 1,029​ 842​ ​​ ​​ 1,154​ 946​​​Receivables from Financial Services ​ 3,043​ 4,516​ ​​ ​​$ (3,043)​$ (4,516)​ ​​ ​​ 6​​Trade accounts and notes receivable – net ​ 1,257​ 1,320​ 6,225​ 8,687​ (2,156)​ (2,268)​ 5,326​ 7,739​ 7​​Financing receivables – net ​ 78​ 64​ 44,231​ 43,609​ ​​ ​​ 44,309​ 43,673​​​Financing receivables securitized – net ​​ 2​​ ​​​ 8,721​​ 7,335​​ ​​​ ​​​ 8,723​​ 7,335​​​Other receivables ​ 2,193​ 1,813​ 427​ 869​ (75)​ (59)​ 2,545​ 2,623​ 7​​Equipment on operating leases – net ​​ ​​​ ​​​ 7,451​​ 6,917​​ ​​​ ​​​ 7,451​​ 6,917​​​Inventories ​ 7,093​ 8,160​ ​​ ​​ ​​ ​​ 7,093​ 8,160​​​Property and equipment – net ​ 7,546​ 6,843​ 34​ 36​ ​​ ​​ 7,580​ 6,879​​​Goodwill ​ 3,959​ 3,900​ ​​ ​​ ​​ ​​ 3,959​ 3,900​​​Other intangible assets – net ​ 999​ 1,133​ ​​ ​​ ​​ ​​ 999​ 1,133​​​Retirement benefits ​ 2,839​ 2,936​ 83​ 72​ (1)​ (1)​ 2,921​ 3,007​ 8​​Deferred income taxes ​ 2,262​ 2,133​ 43​ 68​ (219)​ (387)​ 2,086​ 1,814​ 9​​Other assets ​ 2,194​ 1,948​ 715​ 559​ (3)​ (4)​ 2,906​ 2,503​​​Assets held for sale​ ​​ ​​ 2,944​ ​​ ​​ ​​ 2,944​ ​​​​Total Assets ​$ 39,205​$ 40,590​$ 73,612​$ 70,732​$ (5,497)​$ (7,235)​$ 107,320​$ 104,087​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​LIABILITIES AND STOCKHOLDERS’ EQUITY​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​LIABILITIES​​​​​​​​​​​​​​​​​​​​​​​​​​​Short-term borrowings ​$ 911​$ 1,230​$ 12,622​$ 16,709​​ ​​​ ​​$ 13,533​$ 17,939​​​Short-term securitization borrowings ​​ 2​​ ​​​ 8,429​​ 6,995​​ ​​​ ​​​ 8,431​​ 6,995​​​Payables to Equipment Operations ​ ​​ ​​ 3,043​ 4,516​$ (3,043)​$ (4,516)​ ​​ ​​ 6​​Accounts payable and accrued expenses ​ 13,534​ 14,862​ 3,243​ 3,599​ (2,234)​ (2,331)​ 14,543​ 16,130​ 7​​Deferred income taxes ​ 434​ 452​ 263​ 455​ (219)​ (387)​ 478​ 520​ 9​​Long-term borrowings ​ 6,603​ 7,210​ 36,626​ 31,267​ ​​ ​​ 43,229​ 38,477​​​Retirement benefits and other liabilities ​ 2,250​ 2,032​ 105​ 109​ (1)​ (1)​ 2,354​ 2,140​ 8​​Liabilities held for sale​ ​​ ​​ 1,827​ ​​ ​​ ​​ 1,827​ ​​​​Total liabilities ​ 23,734​ 25,786​ 66,158​ 63,650​ (5,497)​ (7,235)​ 84,395​ 82,201​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Commitments and contingencies (Note 20)​​​​​​​​​​​​​​​​​​​​​​​​​​​Redeemable noncontrolling interest (Note 3)​​ 82​​ 97​​ ​​​ ​​​ ​​​ ​​​ 82​​ 97​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​STOCKHOLDERS’ EQUITY​​​​​​​​​​​​​​​​​​​​​​​​​​​Total Deere & Company stockholders’ equity ​ 22,836​ 21,785​ 7,454​ 7,082​ (7,454)​ (7,082)​ 22,836​ 21,785​ 10​​Noncontrolling interests ​ 7​ 4​ ​​ ​​ ​​ ​​ 7​ 4​​​Financial Services' equity​​ (7,454)​​ (7,082)​​ ​​​ ​​​ 7,454​​ 7,082​​ ​​​ ​​ 10​​Adjusted total stockholders' equity​ 15,389​ 14,707​ 7,454​ 7,082​ ​​ ​​ 22,843​ 21,789​​​Total Liabilities and Stockholders’ Equity ​$ 39,205​$ 40,590​$ 73,612​$ 70,732​$ (5,497)​$ (7,235)​$ 107,320​$ 104,087​​​​​6 Elimination of receivables / payables between equipment operations and financial services.7 Primarily reclassification of sales incentive accruals on receivables sold to financial services.\""
      ],
      "current_body": "​ $ 6,404 ​ $ 9,547 ​ $ 6,251 ​ $ 696 ​ $ 619 ​ $ 880 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ $ 7,100 ​ $ 10,166 ​ $ 7,131 ​ ​ ​ ​ ​ 1 Elimination of intercompany interest income and expense. 2 Elimination of equipment operations’ margin from inventory transferred to equipment on operating leases (see Note 6). 3 Elimination of income and expenses between equipment operations and financial services related to intercompany guarantees of investments in certain international markets. 4 Elimination of intercompany service revenues and fees. 5 Elimination of financial services’ lease depreciation expense related to inventory transferred to equipment on operating leases. ​ 39 39 39 Table of ContentsSUPPLEMENTAL CONSOLIDATING DATA (continued)​​​​​​​​​​​​​​​​​​​​​​​​​​​​​CONDENSED BALANCE SHEETS​​​As of October 27, 2024 and October 29, 2023​​​Unaudited​​​​​EQUIPMENT​FINANCIAL​​​​​​​​​OPERATIONS​SERVICES​ELIMINATIONS​CONSOLIDATED​​​​ 2024 2023​2024 2023​2024 2023​2024 2023​​​ASSETS​​ ​​ ​​ ​​ ​​​​​​​​​​​​​​​Cash and cash equivalents ​$ 5,615​$ 5,720​$ 1,709​$ 1,738​​ ​​​ ​​$ 7,324​$ 7,458​​​Marketable securities ​ 125​ 104​ 1,029​ 842​ ​​ ​​ 1,154​ 946​​​Receivables from Financial Services ​ 3,043​ 4,516​ ​​ ​​$ (3,043)​$ (4,516)​ ​​ ​​ 6​​Trade accounts and notes receivable – net ​ 1,257​ 1,320​ 6,225​ 8,687​ (2,156)​ (2,268)​ 5,326​ 7,739​ 7​​Financing receivables – net ​ 78​ 64​ 44,231​ 43,609​ ​​ ​​ 44,309​ 43,673​​​Financing receivables securitized – net ​​ 2​​ ​​​ 8,721​​ 7,335​​ ​​​ ​​​ 8,723​​ 7,335​​​Other receivables ​ 2,193​ 1,813​ 427​ 869​ (75)​ (59)​ 2,545​ 2,623​ 7​​Equipment on operating leases – net ​​ ​​​ ​​​ 7,451​​ 6,917​​ ​​​ ​​​ 7,451​​ 6,917​​​Inventories ​ 7,093​ 8,160​ ​​ ​​ ​​ ​​ 7,093​ 8,160​​​Property and equipment – net ​ 7,546​ 6,843​ 34​ 36​ ​​ ​​ 7,580​ 6,879​​​Goodwill ​ 3,959​ 3,900​ ​​ ​​ ​​ ​​ 3,959​ 3,900​​​Other intangible assets – net ​ 999​ 1,133​ ​​ ​​ ​​ ​​ 999​ 1,133​​​Retirement benefits ​ 2,839​ 2,936​ 83​ 72​ (1)​ (1)​ 2,921​ 3,007​ 8​​Deferred income taxes ​ 2,262​ 2,133​ 43​ 68​ (219)​ (387)​ 2,086​ 1,814​ 9​​Other assets ​ 2,194​ 1,948​ 715​ 559​ (3)​ (4)​ 2,906​ 2,503​​​Assets held for sale​ ​​ ​​ 2,944​ ​​ ​​ ​​ 2,944​ ​​​​Total Assets ​$ 39,205​$ 40,590​$ 73,612​$ 70,732​$ (5,497)​$ (7,235)​$ 107,320​$ 104,087​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​LIABILITIES AND STOCKHOLDERS’ EQUITY​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​LIABILITIES​​​​​​​​​​​​​​​​​​​​​​​​​​​Short-term borrowings ​$ 911​$ 1,230​$ 12,622​$ 16,709​​ ​​​ ​​$ 13,533​$ 17,939​​​Short-term securitization borrowings ​​ 2​​ ​​​ 8,429​​ 6,995​​ ​​​ ​​​ 8,431​​ 6,995​​​Payables to Equipment Operations ​ ​​ ​​ 3,043​ 4,516​$ (3,043)​$ (4,516)​ ​​ ​​ 6​​Accounts payable and accrued expenses ​ 13,534​ 14,862​ 3,243​ 3,599​ (2,234)​ (2,331)​ 14,543​ 16,130​ 7​​Deferred income taxes ​ 434​ 452​ 263​ 455​ (219)​ (387)​ 478​ 520​ 9​​Long-term borrowings ​ 6,603​ 7,210​ 36,626​ 31,267​ ​​ ​​ 43,229​ 38,477​​​Retirement benefits and other liabilities ​ 2,250​ 2,032​ 105​ 109​ (1)​ (1)​ 2,354​ 2,140​ 8​​Liabilities held for sale​ ​​ ​​ 1,827​ ​​ ​​ ​​ 1,827​ ​​​​Total liabilities ​ 23,734​ 25,786​ 66,158​ 63,650​ (5,497)​ (7,235)​ 84,395​ 82,201​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Commitments and contingencies (Note 20)​​​​​​​​​​​​​​​​​​​​​​​​​​​Redeemable noncontrolling interest (Note 3)​​ 82​​ 97​​ ​​​ ​​​ ​​​ ​​​ 82​​ 97​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​STOCKHOLDERS’ EQUITY​​​​​​​​​​​​​​​​​​​​​​​​​​​Total Deere & Company stockholders’ equity ​ 22,836​ 21,785​ 7,454​ 7,082​ (7,454)​ (7,082)​ 22,836​ 21,785​ 10​​Noncontrolling interests ​ 7​ 4​ ​​ ​​ ​​ ​​ 7​ 4​​​Financial Services' equity​​ (7,454)​​ (7,082)​​ ​​​ ​​​ 7,454​​ 7,082​​ ​​​ ​​ 10​​Adjusted total stockholders' equity​ 15,389​ 14,707​ 7,454​ 7,082​ ​​ ​​ 22,843​ 21,789​​​Total Liabilities and Stockholders’ Equity ​$ 39,205​$ 40,590​$ 73,612​$ 70,732​$ (5,497)​$ (7,235)​$ 107,320​$ 104,087​​​​​6 Elimination of receivables / payables between equipment operations and financial services.7 Primarily reclassification of sales incentive accruals on receivables sold to financial services. 8 Reclassification of net pension assets / liabilities.9 Reclassification of deferred tax assets / liabilities in the same taxing jurisdictions.10 Elimination of financial services’ equity.​40 Table of Contents Table of Contents Table of Contents SUPPLEMENTAL CONSOLIDATING DATA (continued)​​​​​​​​​​​​​​​​​​​​​​​​​​​​​CONDENSED BALANCE SHEETS​​​As of October 27, 2024 and October 29, 2023​​​Unaudited​​​​​EQUIPMENT​FINANCIAL​​​​​​​​​OPERATIONS​SERVICES​ELIMINATIONS​CONSOLIDATED​​​​ 2024 2023​2024 2023​2024 2023​2024 2023​​​ASSETS​​ ​​ ​​ ​​ ​​​​​​​​​​​​​​​Cash and cash equivalents ​$ 5,615​$ 5,720​$ 1,709​$ 1,738​​ ​​​ ​​$ 7,324​$ 7,458​​​Marketable securities ​ 125​ 104​ 1,029​ 842​ ​​ ​​ 1,154​ 946​​​Receivables from Financial Services ​ 3,043​ 4,516​ ​​ ​​$ (3,043)​$ (4,516)​ ​​ ​​ 6​​Trade accounts and notes receivable – net ​ 1,257​ 1,320​ 6,225​ 8,687​ (2,156)​ (2,268)​ 5,326​ 7,739​ 7​​Financing receivables – net ​ 78​ 64​ 44,231​ 43,609​ ​​ ​​ 44,309​ 43,673​​​Financing receivables securitized – net ​​ 2​​ ​​​ 8,721​​ 7,335​​ ​​​ ​​​ 8,723​​ 7,335​​​Other receivables ​ 2,193​ 1,813​ 427​ 869​ (75)​ (59)​ 2,545​ 2,623​ 7​​Equipment on operating leases – net ​​ ​​​ ​​​ 7,451​​ 6,917​​ ​​​ ​​​ 7,451​​ 6,917​​​Inventories ​ 7,093​ 8,160​ ​​ ​​ ​​ ​​ 7,093​ 8,160​​​Property and equipment – net ​ 7,546​ 6,843​ 34​ 36​ ​​ ​​ 7,580​ 6,879​​​Goodwill ​ 3,959​ 3,900​ ​​ ​​ ​​ ​​ 3,959​ 3,900​​​Other intangible assets – net ​ 999​ 1,133​ ​​ ​​ ​​ ​​ 999​ 1,133​​​Retirement benefits ​ 2,839​ 2,936​ 83​ 72​ (1)​ (1)​ 2,921​ 3,007​ 8​​Deferred income taxes ​ 2,262​ 2,133​ 43​ 68​ (219)​ (387)​ 2,086​ 1,814​ 9​​Other assets ​ 2,194​ 1,948​ 715​ 559​ (3)​ (4)​ 2,906​ 2,503​​​Assets held for sale​ ​​ ​​ 2,944​ ​​ ​​ ​​ 2,944​ ​​​​Total Assets ​$ 39,205​$ 40,590​$ 73,612​$ 70,732​$ (5,497)​$ (7,235)​$ 107,320​$ 104,087​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​LIABILITIES AND STOCKHOLDERS’ EQUITY​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​LIABILITIES​​​​​​​​​​​​​​​​​​​​​​​​​​​Short-term borrowings ​$ 911​$ 1,230​$ 12,622​$ 16,709​​ ​​​ ​​$ 13,533​$ 17,939​​​Short-term securitization borrowings ​​ 2​​ ​​​ 8,429​​ 6,995​​ ​​​ ​​​ 8,431​​ 6,995​​​Payables to Equipment Operations ​ ​​ ​​ 3,043​ 4,516​$ (3,043)​$ (4,516)​ ​​ ​​ 6​​Accounts payable and accrued expenses ​ 13,534​ 14,862​ 3,243​ 3,599​ (2,234)​ (2,331)​ 14,543​ 16,130​ 7​​Deferred income taxes ​ 434​ 452​ 263​ 455​ (219)​ (387)​ 478​ 520​ 9​​Long-term borrowings ​ 6,603​ 7,210​ 36,626​ 31,267​ ​​ ​​ 43,229​ 38,477​​​Retirement benefits and other liabilities ​ 2,250​ 2,032​ 105​ 109​ (1)​ (1)​ 2,354​ 2,140​ 8​​Liabilities held for sale​ ​​ ​​ 1,827​ ​​ ​​ ​​ 1,827​ ​​​​Total liabilities ​ 23,734​ 25,786​ 66,158​ 63,650​ (5,497)​ (7,235)​ 84,395​ 82,201​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Commitments and contingencies (Note 20)​​​​​​​​​​​​​​​​​​​​​​​​​​​Redeemable noncontrolling interest (Note 3)​​ 82​​ 97​​ ​​​ ​​​ ​​​ ​​​ 82​​ 97​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​STOCKHOLDERS’ EQUITY​​​​​​​​​​​​​​​​​​​​​​​​​​​Total Deere & Company stockholders’ equity ​ 22,836​ 21,785​ 7,454​ 7,082​ (7,454)​ (7,082)​ 22,836​ 21,785​ 10​​Noncontrolling interests ​ 7​ 4​ ​​ ​​ ​​ ​​ 7​ 4​​​Financial Services' equity​​ (7,454)​​ (7,082)​​ ​​​ ​​​ 7,454​​ 7,082​​ ​​​ ​​ 10​​Adjusted total stockholders' equity​ 15,389​ 14,707​ 7,454​ 7,082​ ​​ ​​ 22,843​ 21,789​​​Total Liabilities and Stockholders’ Equity ​$ 39,205​$ 40,590​$ 73,612​$ 70,732​$ (5,497)​$ (7,235)​$ 107,320​$ 104,087​​​​​6 Elimination of receivables / payables between equipment operations and financial services.7 Primarily reclassification of sales incentive accruals on receivables sold to financial services. 8 Reclassification of net pension assets / liabilities.9 Reclassification of deferred tax assets / liabilities in the same taxing jurisdictions.10 Elimination of financial services’ equity.​ SUPPLEMENTAL CONSOLIDATING DATA (continued)​​​​​​​​​​​​​​​​​​​​​​​​​​​​​CONDENSED BALANCE SHEETS​​​As of October 27, 2024 and October 29, 2023​​​Unaudited​​​​​EQUIPMENT​FINANCIAL​​​​​​​​​OPERATIONS​SERVICES​ELIMINATIONS​CONSOLIDATED​​​​ 2024 2023​2024 2023​2024 2023​2024 2023​​​ASSETS​​ ​​ ​​ ​​ ​​​​​​​​​​​​​​​Cash and cash equivalents ​$ 5,615​$ 5,720​$ 1,709​$ 1,738​​ ​​​ ​​$ 7,324​$ 7,458​​​Marketable securities ​ 125​ 104​ 1,029​ 842​ ​​ ​​ 1,154​ 946​​​Receivables from Financial Services ​ 3,043​ 4,516​ ​​ ​​$ (3,043)​$ (4,516)​ ​​ ​​ 6​​Trade accounts and notes receivable – net ​ 1,257​ 1,320​ 6,225​ 8,687​ (2,156)​ (2,268)​ 5,326​ 7,739​ 7​​Financing receivables – net ​ 78​ 64​ 44,231​ 43,609​ ​​ ​​ 44,309​ 43,673​​​Financing receivables securitized – net ​​ 2​​ ​​​ 8,721​​ 7,335​​ ​​​ ​​​ 8,723​​ 7,335​​​Other receivables ​ 2,193​ 1,813​ 427​ 869​ (75)​ (59)​ 2,545​ 2,623​ 7​​Equipment on operating leases – net ​​ ​​​ ​​​ 7,451​​ 6,917​​ ​​​ ​​​ 7,451​​ 6,917​​​Inventories ​ 7,093​ 8,160​ ​​ ​​ ​​ ​​ 7,093​ 8,160​​​Property and equipment – net ​ 7,546​ 6,843​ 34​ 36​ ​​ ​​ 7,580​ 6,879​​​Goodwill ​ 3,959​ 3,900​ ​​ ​​ ​​ ​​ 3,959​ 3,900​​​Other intangible assets – net ​ 999​ 1,133​ ​​ ​​ ​​ ​​ 999​ 1,133​​​Retirement benefits ​ 2,839​ 2,936​ 83​ 72​ (1)​ (1)​ 2,921​ 3,007​ 8​​Deferred income taxes ​ 2,262​ 2,133​ 43​ 68​ (219)​ (387)​ 2,086​ 1,814​ 9​​Other assets ​ 2,194​ 1,948​ 715​ 559​ (3)​ (4)​ 2,906​ 2,503​​​Assets held for sale​ ​​ ​​ 2,944​ ​​ ​​ ​​ 2,944​ ​​​​Total Assets ​$ 39,205​$ 40,590​$ 73,612​$ 70,732​$ (5,497)​$ (7,235)​$ 107,320​$ 104,087​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​LIABILITIES AND STOCKHOLDERS’ EQUITY​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​LIABILITIES​​​​​​​​​​​​​​​​​​​​​​​​​​​Short-term borrowings ​$ 911​$ 1,230​$ 12,622​$ 16,709​​ ​​​ ​​$ 13,533​$ 17,939​​​Short-term securitization borrowings ​​ 2​​ ​​​ 8,429​​ 6,995​​ ​​​ ​​​ 8,431​​ 6,995​​​Payables to Equipment Operations ​ ​​ ​​ 3,043​ 4,516​$ (3,043)​$ (4,516)​ ​​ ​​ 6​​Accounts payable and accrued expenses ​ 13,534​ 14,862​ 3,243​ 3,599​ (2,234)​ (2,331)​ 14,543​ 16,130​ 7​​Deferred income taxes ​ 434​ 452​ 263​ 455​ (219)​ (387)​ 478​ 520​ 9​​Long-term borrowings ​ 6,603​ 7,210​ 36,626​ 31,267​ ​​ ​​ 43,229​ 38,477​​​Retirement benefits and other liabilities ​ 2,250​ 2,032​ 105​ 109​ (1)​ (1)​ 2,354​ 2,140​ 8​​Liabilities held for sale​ ​​ ​​ 1,827​ ​​ ​​ ​​ 1,827​ ​​​​Total liabilities ​ 23,734​ 25,786​ 66,158​ 63,650​ (5,497)​ (7,235)​ 84,395​ 82,201​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Commitments and contingencies (Note 20)​​​​​​​​​​​​​​​​​​​​​​​​​​​Redeemable noncontrolling interest (Note 3)​​ 82​​ 97​​ ​​​ ​​​ ​​​ ​​​ 82​​ 97​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​STOCKHOLDERS’ EQUITY​​​​​​​​​​​​​​​​​​​​​​​​​​​Total Deere & Company stockholders’ equity ​ 22,836​ 21,785​ 7,454​ 7,082​ (7,454)​ (7,082)​ 22,836​ 21,785​ 10​​Noncontrolling interests ​ 7​ 4​ ​​ ​​ ​​ ​​ 7​ 4​​​Financial Services' equity​​ (7,454)​​ (7,082)​​ ​​​ ​​​ 7,454​​ 7,082​​ ​​​ ​​ 10​​Adjusted total stockholders' equity​ 15,389​ 14,707​ 7,454​ 7,082​ ​​ ​​ 22,843​ 21,789​​​Total Liabilities and Stockholders’ Equity ​$ 39,205​$ 40,590​$ 73,612​$ 70,732​$ (5,497)​$ (7,235)​$ 107,320​$ 104,087​​​​​6 Elimination of receivables / payables between equipment operations and financial services.7 Primarily reclassification of sales incentive accruals on receivables sold to financial services. 8 Reclassification of net pension assets / liabilities.9 Reclassification of deferred tax assets / liabilities in the same taxing jurisdictions.10 Elimination of financial services’ equity.​",
      "prior_body": "​ $ 9,547 ​ $ 6,251 ​ $ 5,082 ​ $ 619 ​ $ 880 ​ $ 881 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ $ 10,166 ​ $ 7,131 ​ $ 5,963 ​ ​ ​ ​ ​ 1 Elimination of intercompany interest income and expense. 2 Elimination of equipment operations’ margin from inventory transferred to equipment on operating leases (see Note 6). 3 Elimination of financial services’ income related to intercompany guarantees of investments in certain international markets and intercompany service revenues. 4 Elimination of intercompany service fees. 5 Elimination of financial services’ lease depreciation expense related to inventory transferred to equipment on operating leases. 6 Elimination of equipment operations’ expense related to intercompany guarantees of investments in certain international markets and intercompany service expenses. ​ 39 39 39 Table of ContentsSUPPLEMENTAL CONSOLIDATING DATA (continued)​​​​​​​​​​​​​​​​​​​​​​​​​​​​​CONDENSED BALANCE SHEETS​​​As of October 29, 2023 and October 30, 2022​​​Unaudited​​​​​EQUIPMENT​FINANCIAL​​​​​​​​​OPERATIONS​SERVICES​ELIMINATIONS​CONSOLIDATED​​​​ 2023 2022​2023 2022​2023 2022​2023 2022​​​ASSETS​​ ​​ ​​ ​​ ​​​​​​​​​​​​​​​Cash and cash equivalents ​$ 5,720​$ 3,767​$ 1,738​$ 1,007​​ ​​​ ​​$ 7,458​$ 4,774​​​Marketable securities ​ 104​ 61​ 842​ 673​ ​​ ​​ 946​ 734​​​Receivables from Financial Services ​ 4,516​ 6,569​ ​​ ​​$ (4,516)​$ (6,569)​ ​​ ​​ 7​​Trade accounts and notes receivable – net ​ 1,320​ 1,273​ 8,687​ 6,434​ (2,268)​ (1,297)​ 7,739​ 6,410​ 8​​Financing receivables – net ​ 64​ 47​ 43,609​ 36,587​ ​​ ​​ 43,673​ 36,634​​​Financing receivables securitized – net ​​ ​​​ ​​​ 7,335​​ 5,936​​ ​​​ ​​​ 7,335​​ 5,936​​​Other receivables ​ 1,813​ 1,670​ 869​ 832​ (59)​ (10)​ 2,623​ 2,492​ 8​​Equipment on operating leases – net ​​ ​​​ ​​​ 6,917​​ 6,623​​ ​​​ ​​​ 6,917​​ 6,623​​​Inventories ​ 8,160​ 8,495​ ​​ ​​ ​​ ​​ 8,160​ 8,495​​​Property and equipment – net ​ 6,843​ 6,021​ 36​ 35​ ​​ ​​ 6,879​ 6,056​​​Goodwill ​ 3,900​ 3,687​ ​​ ​​ ​​ ​​ 3,900​ 3,687​​​Other intangible assets – net ​ 1,133​ 1,218​ ​​ ​​ ​​ ​​ 1,133​ 1,218​​​Retirement benefits ​ 2,936​ 3,666​ 72​ 66​ (1)​ (2)​ 3,007​ 3,730​ 9​​Deferred income taxes ​ 2,133​ 940​ 68​ 45​ (387)​ (161)​ 1,814​ 824​ 10​​Other assets ​ 1,948​ 1,794​ 559​ 626​ (4)​ (3)​ 2,503​ 2,417​​​Total Assets ​$ 40,590​$ 39,208​$ 70,732​$ 58,864​$ (7,235)​$ (8,042)​$ 104,087​$ 90,030​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​LIABILITIES AND STOCKHOLDERS’ EQUITY​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​LIABILITIES​​​​​​​​​​​​​​​​​​​​​​​​​​​Short-term borrowings ​$ 1,230​$ 1,040​$ 16,709​$ 11,552​​ ​​​ ​​$ 17,939​$ 12,592​​​Short-term securitization borrowings ​​ ​​​ ​​​ 6,995​​ 5,711​​ ​​​ ​​​ 6,995​​ 5,711​​​Payables to Equipment Operations ​ ​​ ​​ 4,516​ 6,569​$ (4,516)​$ (6,569)​ ​​ ​​ 7​​Accounts payable and accrued expenses ​ 14,862​ 12,962​ 3,599​ 3,170​ (2,331)​ (1,310)​ 16,130​ 14,822​ 8​​Deferred income taxes ​ 452​ 380​ 455​ 276​ (387)​ (161)​ 520​ 495​ 10​​Long-term borrowings ​ 7,210​ 7,917​ 31,267​ 25,679​ ​​ ​​ 38,477​ 33,596​​​Retirement benefits and other liabilities ​ 2,032​ 2,351​ 109​ 108​ (1)​ (2)​ 2,140​ 2,457​ 9​​Total liabilities ​ 25,786​ 24,650​ 63,650​ 53,065​ (7,235)​ (8,042)​ 82,201​ 69,673​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Commitments and contingencies (Note 20)​​​​​​​​​​​​​​​​​​​​​​​​​​​Redeemable noncontrolling interest (Note 3)​​ 97​​ 92​​ ​​​ ​​​ ​​​​​​ 97​​ 92​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​STOCKHOLDERS’ EQUITY​​​​​​​​​​​​​​​​​​​​​​​​​​​Total Deere & Company stockholders’ equity ​ 21,785​ 20,262​ 7,082​ 5,799​ (7,082)​ (5,799)​ 21,785​ 20,262​ 11​​Noncontrolling interests ​ 4​ 3​ ​​ ​​ ​​ ​​ 4​ 3​​​Financial Services' equity​​ (7,082)​​ (5,799)​​ ​​​ ​​​ 7,082​​ 5,799​​ ​​​ ​​ 11​​Adjusted total stockholders' equity​ 14,707​ 14,466​ 7,082​ 5,799​ ​​ ​​ 21,789​ 20,265​​​Total Liabilities and Stockholders’ Equity ​$ 40,590​$ 39,208​$ 70,732​$ 58,864​$ (7,235)​$ (8,042)​$ 104,087​$ 90,030​​​​​7 Elimination of receivables / payables between equipment operations and financial services.8 Primarily reclassification of sales incentive accruals on receivables sold to financial services. 9 Reclassification of net pension assets / liabilities.10 Reclassification of deferred tax assets / liabilities in the same taxing jurisdictions.11 Elimination of financial services’ equity.​40 Table of Contents Table of Contents Table of Contents SUPPLEMENTAL CONSOLIDATING DATA (continued)​​​​​​​​​​​​​​​​​​​​​​​​​​​​​CONDENSED BALANCE SHEETS​​​As of October 29, 2023 and October 30, 2022​​​Unaudited​​​​​EQUIPMENT​FINANCIAL​​​​​​​​​OPERATIONS​SERVICES​ELIMINATIONS​CONSOLIDATED​​​​ 2023 2022​2023 2022​2023 2022​2023 2022​​​ASSETS​​ ​​ ​​ ​​ ​​​​​​​​​​​​​​​Cash and cash equivalents ​$ 5,720​$ 3,767​$ 1,738​$ 1,007​​ ​​​ ​​$ 7,458​$ 4,774​​​Marketable securities ​ 104​ 61​ 842​ 673​ ​​ ​​ 946​ 734​​​Receivables from Financial Services ​ 4,516​ 6,569​ ​​ ​​$ (4,516)​$ (6,569)​ ​​ ​​ 7​​Trade accounts and notes receivable – net ​ 1,320​ 1,273​ 8,687​ 6,434​ (2,268)​ (1,297)​ 7,739​ 6,410​ 8​​Financing receivables – net ​ 64​ 47​ 43,609​ 36,587​ ​​ ​​ 43,673​ 36,634​​​Financing receivables securitized – net ​​ ​​​ ​​​ 7,335​​ 5,936​​ ​​​ ​​​ 7,335​​ 5,936​​​Other receivables ​ 1,813​ 1,670​ 869​ 832​ (59)​ (10)​ 2,623​ 2,492​ 8​​Equipment on operating leases – net ​​ ​​​ ​​​ 6,917​​ 6,623​​ ​​​ ​​​ 6,917​​ 6,623​​​Inventories ​ 8,160​ 8,495​ ​​ ​​ ​​ ​​ 8,160​ 8,495​​​Property and equipment – net ​ 6,843​ 6,021​ 36​ 35​ ​​ ​​ 6,879​ 6,056​​​Goodwill ​ 3,900​ 3,687​ ​​ ​​ ​​ ​​ 3,900​ 3,687​​​Other intangible assets – net ​ 1,133​ 1,218​ ​​ ​​ ​​ ​​ 1,133​ 1,218​​​Retirement benefits ​ 2,936​ 3,666​ 72​ 66​ (1)​ (2)​ 3,007​ 3,730​ 9​​Deferred income taxes ​ 2,133​ 940​ 68​ 45​ (387)​ (161)​ 1,814​ 824​ 10​​Other assets ​ 1,948​ 1,794​ 559​ 626​ (4)​ (3)​ 2,503​ 2,417​​​Total Assets ​$ 40,590​$ 39,208​$ 70,732​$ 58,864​$ (7,235)​$ (8,042)​$ 104,087​$ 90,030​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​LIABILITIES AND STOCKHOLDERS’ EQUITY​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​LIABILITIES​​​​​​​​​​​​​​​​​​​​​​​​​​​Short-term borrowings ​$ 1,230​$ 1,040​$ 16,709​$ 11,552​​ ​​​ ​​$ 17,939​$ 12,592​​​Short-term securitization borrowings ​​ ​​​ ​​​ 6,995​​ 5,711​​ ​​​ ​​​ 6,995​​ 5,711​​​Payables to Equipment Operations ​ ​​ ​​ 4,516​ 6,569​$ (4,516)​$ (6,569)​ ​​ ​​ 7​​Accounts payable and accrued expenses ​ 14,862​ 12,962​ 3,599​ 3,170​ (2,331)​ (1,310)​ 16,130​ 14,822​ 8​​Deferred income taxes ​ 452​ 380​ 455​ 276​ (387)​ (161)​ 520​ 495​ 10​​Long-term borrowings ​ 7,210​ 7,917​ 31,267​ 25,679​ ​​ ​​ 38,477​ 33,596​​​Retirement benefits and other liabilities ​ 2,032​ 2,351​ 109​ 108​ (1)​ (2)​ 2,140​ 2,457​ 9​​Total liabilities ​ 25,786​ 24,650​ 63,650​ 53,065​ (7,235)​ (8,042)​ 82,201​ 69,673​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​Commitments and contingencies (Note 20)​​​​​​​​​​​​​​​​​​​​​​​​​​​Redeemable noncontrolling interest (Note 3)​​ 97​​ 92​​ ​​​ ​​​ ​​​​​​ 97​​ 92​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​STOCKHOLDERS’ EQUITY​​​​​​​​​​​​​​​​​​​​​​​​​​​Total Deere & Company stockholders’ equity ​ 21,785​ 20,262​ 7,082​ 5,799​ (7,082)​ (5,799)​ 21,785​ 20,262​ 11​​Noncontrolling interests ​ 4​ 3​ ​​ ​​ ​​ ​​ 4​ 3​​​Financial Services' equity​​ (7,082)​​ (5,799)​​ ​​​ ​​​ 7,082​​ 5,799​​ ​​​ ​​ 11​​Adjusted total stockholders' equity​ 14,707​ 14,466​ 7,082​ 5,799​ ​​ ​​ 21,789​ 20,265​​​Total Liabilities and Stockholders’ Equity ​$ 40,590​$ 39,208​$ 70,732​$ 58,864​$ (7,235)​$ (8,042)​$ 104,087​$ 90,030​​​​​7 Elimination of receivables / payables between equipment operations and financial services.8 Primarily reclassification of sales incentive accruals on receivables sold to financial services. 9 Reclassification of net pension assets / liabilities.10 Reclassification of deferred tax assets / liabilities in the same taxing jurisdictions.11 Elimination of financial services’ equity.​"
    },
    {
      "status": "MODIFIED",
      "current_title": "Unexpected events have increased and may in the future increase our cost of doing business or disrupt our operations.",
      "prior_title": "Our reputation and brand could be damaged by negative publicity.",
      "similarity_score": 0.526,
      "confidence": "low",
      "key_changes": [
        "Removed sentence: \"Our brand has worldwide recognition and significantly contributes to the success of our business.\"",
        "Removed sentence: \"Our reputation is critical to growing our customer base.\"",
        "Removed sentence: \"Our brand depends on the ability to maintain a positive customer perception of the business, including the core values of integrity, quality, innovation, and commitment.\"",
        "Removed sentence: \"Negative claims or publicity involving us, our products or services, our culture and values, our stance on environmental, social, and governance topics, customer data, or any of our key employees or suppliers, could damage our reputation and brand image, regardless of whether such claims are accurate.\"",
        "Removed sentence: \"In addition, our stance on environmental, social, and governance topics damage to our reputation could adversely impact the ability to attract new and maintain existing customers, employees, dealers, and business relationships.\""
      ],
      "current_body": "The occurrence of one or more unexpected events, including war, acts of terrorism, epidemics and pandemics (such as the COVID pandemic), civil unrest, fires, tornadoes, tsunamis, hurricanes, earthquakes, floods, and other forms of severe weather in the United States or in other countries in which we operate, or in which our suppliers are located, have adversely affected and could in the future adversely affect our operations and financial performance. Such events have caused and could cause complete or partial closure of one or more of our manufacturing facilities or distribution centers, temporary or long-term disruptions in the supply of component products from some local and international suppliers, and disruption and delay in the transport of products to dealers, end-users, and distribution centers. Most recently, Hurricane Helene in the U.S. closed operations at our Augusta, Georgia and Greenville, Tennessee facilities temporarily. Existing insurance coverage may not provide protection from all the costs that may arise from such events. The potential physical impacts of climate change on our facilities, suppliers, and customers, and therefore on our operations, are highly uncertain and will be particular to the circumstances developing in various geographic regions. These potential physical effects may adversely affect the demand for our products and the cost, production, sales, and financial performance of our operations.",
      "prior_body": "Our brand has worldwide recognition and significantly contributes to the success of our business. Our reputation is critical to growing our customer base. Our brand depends on the ability to maintain a positive customer perception of the business, including the core values of integrity, quality, innovation, and commitment. Negative claims or publicity involving us, our products or services, our culture and values, our stance on environmental, social, and governance topics, customer data, or any of our key employees or suppliers, could damage our reputation and brand image, regardless of whether such claims are accurate. In addition, our stance on environmental, social, and governance topics damage to our reputation could adversely impact the ability to attract new and maintain existing customers, employees, dealers, and business relationships. For example, we have been the subject of negative media articles relating to our customers’ right to maintain and safely repair their equipment. 23 23 23 Table of ContentsAdditionally, negative or inaccurate postings, articles, or comments on social media and the internet about us could generate negative publicity that could damage the reputation of our brand. Further, adverse publicity about regulatory or legal action against us, or legal proceedings initiated by us, could also damage our reputation and brand image, undermine customer confidence, and reduce long-term demand for equipment, even if the regulatory or legal action is unfounded or not material to our operations. If the reputation, culture, or image of our brands are damaged, or we receive negative publicity, then our sales, financial condition, and results of operations could be materially and adversely affected.Unexpected events have increased and may in the future increase our cost of doing business or disrupt our operations. The occurrence of one or more unexpected events, including war, acts of terrorism, epidemics and pandemics (such as the COVID pandemic), civil unrest, fires, tornadoes, tsunamis, hurricanes, earthquakes, floods, and other forms of severe weather in the United States or in other countries in which we operate, or in which our suppliers are located, have adversely affected and could in the future adversely affect our operations and financial performance. Such events have caused and could cause complete or partial closure of one or more of our manufacturing facilities or distribution centers, temporary or long-term disruptions in the supply of component products from some local and international suppliers, and disruption and delay in the transport of products to dealers, end-users, and distribution centers. Existing insurance coverage may not provide protection from all the costs that may arise from such events.The potential physical impacts of climate change on our facilities, suppliers, and customers, and therefore on our operations, are highly uncertain and will be particular to the circumstances developing in various geographic regions. These potential physical effects may adversely affect the demand for our products and the cost, production, sales, and financial performance of our operations. ​ITEM 1B.UNRESOLVED STAFF COMMENTS.None.ITEM 2.PROPERTIES.In the U.S. and Canada, the equipment operations own and operate 23 factory locations and lease and operate another 3 locations. Outside of the U.S. and Canada, the equipment operations own or lease and operate 45 factory locations in Argentina, Austria, Brazil, China, Finland, France, Germany, India, Israel, Italy, Mexico, the Netherlands, New Zealand, and Spain. In addition, the equipment operations own or lease 12 facilities comprised of three locations supporting centralized parts distribution and nine regional parts depots and distribution centers throughout the U.S. and Canada. Outside the U.S. and Canada, the equipment operations also own or lease and occupy 11 total facilities with centralized parts distribution centers in Brazil, Germany, and India and regional parts depots and distribution centers in Argentina, Australia, China, India, Mexico, South Africa, Sweden, and the United Kingdom. We also own or lease eight facilities for the manufacture and distribution of other brands of replacement parts.Our manufacturing facility in Russia was shut down in 2022. Our Eurasian parts distribution center in Russia was also closed, and the leased premises were returned to the landlord in the second quarter of fiscal year 2023. Premises owned by Wirtgen in Russia operating in the roadbuilding business were sold in the fourth quarter of fiscal year 2023.We own or lease 53 administrative offices and research facilities globally as well as many other smaller, miscellaneous facilities.Overall, we own approximately 70.0 million square feet of facilities and lease approximately 13.1 million additional square feet in various locations. These properties are adequate and suitable for our business as presently conducted and are well maintained.ITEM 3.LEGAL PROCEEDINGS.We are subject to various unresolved legal actions that arise in the normal course of business, the most prevalent of which relate to product liability (including asbestos related liability), retail credit, employment, patent, trademark, and antitrust matters. Currently we believe the reasonably possible range of losses for other unresolved legal actions would not have a material effect on our financial statements; however, the outcome of any current or future proceedings, claims, or investigations cannot be predicted with certainty. Adverse decisions in one or more of these proceedings, claims, or investigations could require us to pay substantial damages or fines, undertake service actions, initiate recall campaigns, or take other costly actions. It is therefore possible that legal judgements could give rise to expenses that are not covered, or not fully covered by our insurance programs and could affect our financial position and results.ITEM 4.MINE SAFETY DISCLOSURES.Not applicable.24 Table of Contents Table of Contents Table of Contents Additionally, negative or inaccurate postings, articles, or comments on social media and the internet about us could generate negative publicity that could damage the reputation of our brand. Further, adverse publicity about regulatory or legal action against us, or legal proceedings initiated by us, could also damage our reputation and brand image, undermine customer confidence, and reduce long-term demand for equipment, even if the regulatory or legal action is unfounded or not material to our operations. If the reputation, culture, or image of our brands are damaged, or we receive negative publicity, then our sales, financial condition, and results of operations could be materially and adversely affected.Unexpected events have increased and may in the future increase our cost of doing business or disrupt our operations. The occurrence of one or more unexpected events, including war, acts of terrorism, epidemics and pandemics (such as the COVID pandemic), civil unrest, fires, tornadoes, tsunamis, hurricanes, earthquakes, floods, and other forms of severe weather in the United States or in other countries in which we operate, or in which our suppliers are located, have adversely affected and could in the future adversely affect our operations and financial performance. Such events have caused and could cause complete or partial closure of one or more of our manufacturing facilities or distribution centers, temporary or long-term disruptions in the supply of component products from some local and international suppliers, and disruption and delay in the transport of products to dealers, end-users, and distribution centers. Existing insurance coverage may not provide protection from all the costs that may arise from such events.The potential physical impacts of climate change on our facilities, suppliers, and customers, and therefore on our operations, are highly uncertain and will be particular to the circumstances developing in various geographic regions. These potential physical effects may adversely affect the demand for our products and the cost, production, sales, and financial performance of our operations. ​ITEM 1B.UNRESOLVED STAFF COMMENTS.None.ITEM 2.PROPERTIES.In the U.S. and Canada, the equipment operations own and operate 23 factory locations and lease and operate another 3 locations. Outside of the U.S. and Canada, the equipment operations own or lease and operate 45 factory locations in Argentina, Austria, Brazil, China, Finland, France, Germany, India, Israel, Italy, Mexico, the Netherlands, New Zealand, and Spain. In addition, the equipment operations own or lease 12 facilities comprised of three locations supporting centralized parts distribution and nine regional parts depots and distribution centers throughout the U.S. and Canada. Outside the U.S. and Canada, the equipment operations also own or lease and occupy 11 total facilities with centralized parts distribution centers in Brazil, Germany, and India and regional parts depots and distribution centers in Argentina, Australia, China, India, Mexico, South Africa, Sweden, and the United Kingdom. We also own or lease eight facilities for the manufacture and distribution of other brands of replacement parts.Our manufacturing facility in Russia was shut down in 2022. Our Eurasian parts distribution center in Russia was also closed, and the leased premises were returned to the landlord in the second quarter of fiscal year 2023. Premises owned by Wirtgen in Russia operating in the roadbuilding business were sold in the fourth quarter of fiscal year 2023.We own or lease 53 administrative offices and research facilities globally as well as many other smaller, miscellaneous facilities.Overall, we own approximately 70.0 million square feet of facilities and lease approximately 13.1 million additional square feet in various locations. These properties are adequate and suitable for our business as presently conducted and are well maintained.ITEM 3.LEGAL PROCEEDINGS.We are subject to various unresolved legal actions that arise in the normal course of business, the most prevalent of which relate to product liability (including asbestos related liability), retail credit, employment, patent, trademark, and antitrust matters. Currently we believe the reasonably possible range of losses for other unresolved legal actions would not have a material effect on our financial statements; however, the outcome of any current or future proceedings, claims, or investigations cannot be predicted with certainty. Adverse decisions in one or more of these proceedings, claims, or investigations could require us to pay substantial damages or fines, undertake service actions, initiate recall campaigns, or take other costly actions. It is therefore possible that legal judgements could give rise to expenses that are not covered, or not fully covered by our insurance programs and could affect our financial position and results.ITEM 4.MINE SAFETY DISCLOSURES.Not applicable. Additionally, negative or inaccurate postings, articles, or comments on social media and the internet about us could generate negative publicity that could damage the reputation of our brand. Further, adverse publicity about regulatory or legal action against us, or legal proceedings initiated by us, could also damage our reputation and brand image, undermine customer confidence, and reduce long-term demand for equipment, even if the regulatory or legal action is unfounded or not material to our operations. If the reputation, culture, or image of our brands are damaged, or we receive negative publicity, then our sales, financial condition, and results of operations could be materially and adversely affected."
    },
    {
      "status": "MODIFIED",
      "current_title": "If we are unable to remain competitive and relevant, including by delivering precision technology solutions to our customers, our business, results of operations, and financial condition could be adversely affected.",
      "prior_title": "If we are unable to deliver precision technology and agricultural solutions to our customers, it could affect our business, results of operations, and financial condition.",
      "similarity_score": 0.52,
      "confidence": "low",
      "key_changes": [
        "Reworded sentence: \"We compete on product performance, innovation and quality, distribution, sustainability, customer service, and price.\""
      ],
      "current_body": "We compete on product performance, innovation and quality, distribution, sustainability, customer service, and price. Aggressive pricing or other strategies of competitors, unanticipated product or manufacturing delays, our failure to deliver quality products that meet customer needs, or our failure to price products competitively adversely affects our business, results of operations, and financial condition. To remain competitive, we need to have a thorough understanding of our existing and potential customers on a global basis, particularly in growth markets such as Argentina and Brazil. In addition, if we are unable to remain relevant and effectively develop and deliver technology that customers can easily adopt and utilize, customer adoption rates could reduce, adversely impacting our business operations and future financial performance. Therefore, our ability to deliver precision technology and expand value-driven solutions is critical to our business success. If we fail to stay ahead of both traditional and non-traditional competitors in the technology space, it may hinder our ability to adapt or identify strategic partnerships within our industries in a timely manner. This could result in increased costs and delays in delivering value to our customers, ultimately affecting our competitive position and financial condition. Furthermore, our approach to precision technology involves hardware and software, guidance, connectivity and digital solutions, automation and machine intelligence, and autonomy. We may make significant investments in research and development, connectivity solutions, digital security for precision technology solutions, and conduct dealer and employee training. These investments may not produce solutions that provide the desired results for customers’ profitability or sustainability outcomes, impacting our competitive position.",
      "prior_body": "Our approach to precision technology involves hardware and software, guidance, connectivity and digital solutions, automation and machine intelligence, and autonomy. Customers continue to adopt technology integrated in our portfolio of “smart” machines, systems, and solutions. We expect this trend to persist for the foreseeable future. To create and maintain a competitive differentiation, we need to successfully develop and introduce new precision technology solutions that improve profitability and sustainability for our customers. We may make significant investments in research and development, connectivity solutions, digital security for precision technology solutions, and dealer and employee training. These investments may not produce solutions that provide the desired results for customers’ profitability or sustainability outcomes. We utilize automation and machine learning and intelligence in some of our products. While the use of these emerging technologies can present significant benefits, it also creates risks and challenges. Data sourcing, technology, integration and process issues, program bias into decision-making algorithms, security problems, and the protection of privacy could impair the adoption and acceptance of autonomous machine solutions. If the output from these solutions is deemed to be inaccurate or questionable, our brand and reputation may be harmed and we may be subject to legal liability claims. Automation and machine learning and intelligence may also become the subject of local, state, federal, and foreign regulatory efforts limiting the features and capabilities of the technology. If we are not able to deliver precision technology solutions with differentiated features and functionality, or these solutions are not effective, customers may not adopt technology solutions, which could have a material adverse effect on our reputation and business."
    },
    {
      "status": "MODIFIED",
      "current_title": "STOCKHOLDERS’ EQUITY",
      "prior_title": "STOCKHOLDERS’ EQUITY",
      "similarity_score": 0.515,
      "confidence": "low",
      "key_changes": [
        "Reworded sentence: \"​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Total Deere & Company stockholders’ equity ​ 22,836 ​ 21,785 ​ 7,454 ​ 7,082 ​ (7,454) ​ (7,082) ​ 22,836 ​ 21,785 ​ 10​ ​ Noncontrolling interests ​ 7 ​ 4 ​ ​ ​ ​ ​ ​ ​ ​ ​ 7 ​ 4 ​ ​ ​ Financial Services' equity ​ ​ (7,454) ​ ​ (7,082) ​ ​ ​ ​ ​ ​ ​ ​ 7,454 ​ ​ 7,082 ​ ​ ​ ​ ​ ​ ​ 10​ ​ Adjusted total stockholders' equity ​ 15,389 ​ 14,707 ​ 7,454 ​ 7,082 ​ ​ ​ ​ ​ 22,843 ​ 21,789 ​ ​ ​\""
      ],
      "current_body": "​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Total Deere & Company stockholders’ equity ​ 22,836 ​ 21,785 ​ 7,454 ​ 7,082 ​ (7,454) ​ (7,082) ​ 22,836 ​ 21,785 ​ 10​ ​ Noncontrolling interests ​ 7 ​ 4 ​ ​ ​ ​ ​ ​ ​ ​ ​ 7 ​ 4 ​ ​ ​ Financial Services' equity ​ ​ (7,454) ​ ​ (7,082) ​ ​ ​ ​ ​ ​ ​ ​ 7,454 ​ ​ 7,082 ​ ​ ​ ​ ​ ​ ​ 10​ ​ Adjusted total stockholders' equity ​ 15,389 ​ 14,707 ​ 7,454 ​ 7,082 ​ ​ ​ ​ ​ 22,843 ​ 21,789 ​ ​ ​",
      "prior_body": "​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Total Deere & Company stockholders’ equity ​ 21,785 ​ 20,262 ​ 7,082 ​ 5,799 ​ (7,082) ​ (5,799) ​ 21,785 ​ 20,262 ​ 11​ ​ Noncontrolling interests ​ 4 ​ 3 ​ ​ ​ ​ ​ ​ ​ ​ ​ 4 ​ 3 ​ ​ ​ Financial Services' equity ​ ​ (7,082) ​ ​ (5,799) ​ ​ ​ ​ ​ ​ ​ ​ 7,082 ​ ​ 5,799 ​ ​ ​ ​ ​ ​ ​ 11​ ​ Adjusted total stockholders' equity ​ 14,707 ​ 14,466 ​ 7,082 ​ 5,799 ​ ​ ​ ​ ​ 21,789 ​ 20,265 ​ ​ ​"
    },
    {
      "status": "MODIFIED",
      "current_title": "Company Trends",
      "prior_title": "Industry Sales Outlook for Fiscal 2024",
      "similarity_score": 0.503,
      "confidence": "low",
      "key_changes": [
        "Reworded sentence: \"Customers seek to improve profitability, productivity, and sustainability through integrating technology into their operations.\"",
        "Reworded sentence: \"Our Smart Industrial Operating Model and Leap Ambitions are intended to capitalize on this market trend.\""
      ],
      "current_body": "Customers seek to improve profitability, productivity, and sustainability through integrating technology into their operations. Deeper integration of technology into equipment is a persistent market trend. These technologies are incorporated into products within each of our operating segments. We expect this trend to persist for the foreseeable future. Our Smart Industrial Operating Model and Leap Ambitions are intended to capitalize on this market trend. Engaged acres are an indicator we use to understand customer utilization of our technology. We are investing in a Solutions as a Service business model to increase technology adoption and utilization by our customers. Solutions as a Service products did not represent a significant percentage of our revenues in 2024.",
      "prior_body": "Company Trends – Customers seek to improve profitability, productivity, and sustainability through technology. Integration of technology into equipment is a persistent market trend. Our Smart Industrial Operating Model and Leap Ambitions are intended to capitalize on this market trend. These technologies are incorporated into products within each of our operating segments. We expect this trend to persist for the foreseeable future. The investments in these technologies and in establishing a Solutions as a Service business model might increase our operating costs and may decrease operating margins during the transition period. Most notably in 2023, we introduced See & Spray™ Ultimate and a new model of See & Spray™ Premium. These technologies were introduced on a limited basis and did not represent a significant percentage of our sales in 2023."
    },
    {
      "status": "MODIFIED",
      "current_title": "Because the financial services segment provides financing for a significant portion of our sales worldwide, negative economic conditions in the financial industry could materially impact our operations and financial results.",
      "prior_title": "Changes in interest rates or market liquidity conditions could adversely affect our financials and our earnings and/or cash flows.",
      "similarity_score": 0.493,
      "confidence": "low",
      "key_changes": [
        "Reworded sentence: \"Negative economic conditions have an adverse effect on the financial industry in which the financial services segment operates.\"",
        "Reworded sentence: \"The financial services segment is vulnerable to customers and others defaulting on contractual obligations, and has experienced, and may continue to experience write-offs and credit losses that, in some cases, exceed our expectations and adversely affect our financial condition and results of operations as a result of elevated delinquencies.\"",
        "Reworded sentence: \"The financial services segment may also experience residual value losses that exceed our expectations caused by lower pricing for used equipment and higher-than-expected equipment returns at lease maturity.\"",
        "Reworded sentence: \"Failure to accurately forecast our needs may result in unmet market demand, parts shortages, manufacturing delays or inefficiencies, increased costs, or excess inventory, such as what we experienced in fiscal year 2022 due to supply chain disruptions.\"",
        "Reworded sentence: \"Failure to accurately forecast our needs may result in unmet market demand, parts shortages, manufacturing delays or inefficiencies, increased costs, or excess inventory, such as what we experienced in fiscal year 2022 due to supply chain disruptions.\""
      ],
      "current_body": "Negative economic conditions have an adverse effect on the financial industry in which the financial services segment operates. The financial services segment provides financing for a significant portion of our sales worldwide. The financial services segment is vulnerable to customers and others defaulting on contractual obligations, and has experienced, and may continue to experience write-offs and credit losses that, in some cases, exceed our expectations and adversely affect our financial condition and results of operations as a result of elevated delinquencies. The financial services segment’s inability to access funds at cost-effective rates to support our financing activities could have a material adverse effect on our business. The financial services segment’s liquidity and ongoing profitability depend largely on timely access to capital to meet future cash flow requirements and to fund operations and costs associated with engaging in diversified funding activities. The financial services segment may also experience residual value losses that exceed our expectations caused by lower pricing for used equipment and higher-than-expected equipment returns at lease maturity. 16 16 16 Table of ContentsSTRATEGY RISKSWe may not realize the anticipated benefits of our Smart Industrial Operating Model and Leap Ambitions.Failure to realize the anticipated benefits of our Smart Industrial Operating Model and related business strategies in production systems, precision technologies, and aftermarket support, as well as failure to have selected a business strategy that aligns with our customer needs and market trends, could have an adverse effect on our operational and financial results. Several factors could impact our ability to successfully execute our Smart Industrial Operating Model, including, among other things: ●Failure to accurately assess market opportunities and the technology required to address such opportunities; ●Failure to develop and introduce new technologies or lack of adoption of such technologies by our customers; ●Failure to holistically provide lifecycle solutions;●Failure to optimize our capital allocation in connection with the Smart Industrial Operating Model; and●The adoption of new regulations or policies supporting and/or subsidizing outputs that are inconsistent with our strategy, such as policies that have the effect of encouraging or supporting the use of conventional sources of energy. Similarly, we may not realize the anticipated benefits of our Leap Ambitions and related goals within the expected timelines, or at all. As part of our Leap Ambitions, we adopted various goals we expect to achieve by 2026 or 2030, but these goals and their timelines might be modified or updated. We may modify or not be able to achieve these goals for a variety of reasons, some of which may be beyond our control. Examples include:●Our estimates and assumptions related to efficiency of our products and the adoption of precision technology may not be accurate; ●Certain materials, such as quality battery cells, may become unavailable or too costly;●Customers may not embrace the value proposition of the Solutions as a Service license model; and●The infrastructure required to achieve our goals, such as sufficient charging stations or fuel availability, may become too costly or may not be developed on the expected timelines.If we are unable to remain competitive and relevant, including by delivering precision technology solutions to our customers, our business, results of operations, and financial condition could be adversely affected. We compete on product performance, innovation and quality, distribution, sustainability, customer service, and price. Aggressive pricing or other strategies of competitors, unanticipated product or manufacturing delays, our failure to deliver quality products that meet customer needs, or our failure to price products competitively adversely affects our business, results of operations, and financial condition. To remain competitive, we need to have a thorough understanding of our existing and potential customers on a global basis, particularly in growth markets such as Argentina and Brazil.In addition, if we are unable to remain relevant and effectively develop and deliver technology that customers can easily adopt and utilize, customer adoption rates could reduce, adversely impacting our business operations and future financial performance. Therefore, our ability to deliver precision technology and expand value-driven solutions is critical to our business success. If we fail to stay ahead of both traditional and non-traditional competitors in the technology space, it may hinder our ability to adapt or identify strategic partnerships within our industries in a timely manner. This could result in increased costs and delays in delivering value to our customers, ultimately affecting our competitive position and financial condition. Furthermore, our approach to precision technology involves hardware and software, guidance, connectivity and digital solutions, automation and machine intelligence, and autonomy. We may make significant investments in research and development, connectivity solutions, digital security for precision technology solutions, and conduct dealer and employee training. These investments may not produce solutions that provide the desired results for customers’ profitability or sustainability outcomes, impacting our competitive position.We may be unable to accurately forecast customer demand for products and services, and to adequately manage inventory, which could adversely affect our operating results.To ensure adequate inventory supply, we must forecast inventory needs and expenses and place orders sufficiently in advance with suppliers and contract manufacturers. These forecasts are based on estimates of future demand for products and services. Failure to accurately forecast our needs may result in unmet market demand, parts shortages, manufacturing delays or inefficiencies, increased costs, or excess inventory, such as what we experienced in fiscal year 2022 due to supply chain disruptions. Our ability to accurately forecast demand could be affected by many factors, including changes in customer demand for our products and services, changes in 17 Table of Contents Table of Contents Table of Contents STRATEGY RISKSWe may not realize the anticipated benefits of our Smart Industrial Operating Model and Leap Ambitions.Failure to realize the anticipated benefits of our Smart Industrial Operating Model and related business strategies in production systems, precision technologies, and aftermarket support, as well as failure to have selected a business strategy that aligns with our customer needs and market trends, could have an adverse effect on our operational and financial results. Several factors could impact our ability to successfully execute our Smart Industrial Operating Model, including, among other things: ●Failure to accurately assess market opportunities and the technology required to address such opportunities; ●Failure to develop and introduce new technologies or lack of adoption of such technologies by our customers; ●Failure to holistically provide lifecycle solutions;●Failure to optimize our capital allocation in connection with the Smart Industrial Operating Model; and●The adoption of new regulations or policies supporting and/or subsidizing outputs that are inconsistent with our strategy, such as policies that have the effect of encouraging or supporting the use of conventional sources of energy. Similarly, we may not realize the anticipated benefits of our Leap Ambitions and related goals within the expected timelines, or at all. As part of our Leap Ambitions, we adopted various goals we expect to achieve by 2026 or 2030, but these goals and their timelines might be modified or updated. We may modify or not be able to achieve these goals for a variety of reasons, some of which may be beyond our control. Examples include:●Our estimates and assumptions related to efficiency of our products and the adoption of precision technology may not be accurate; ●Certain materials, such as quality battery cells, may become unavailable or too costly;●Customers may not embrace the value proposition of the Solutions as a Service license model; and●The infrastructure required to achieve our goals, such as sufficient charging stations or fuel availability, may become too costly or may not be developed on the expected timelines.If we are unable to remain competitive and relevant, including by delivering precision technology solutions to our customers, our business, results of operations, and financial condition could be adversely affected. We compete on product performance, innovation and quality, distribution, sustainability, customer service, and price. Aggressive pricing or other strategies of competitors, unanticipated product or manufacturing delays, our failure to deliver quality products that meet customer needs, or our failure to price products competitively adversely affects our business, results of operations, and financial condition. To remain competitive, we need to have a thorough understanding of our existing and potential customers on a global basis, particularly in growth markets such as Argentina and Brazil.In addition, if we are unable to remain relevant and effectively develop and deliver technology that customers can easily adopt and utilize, customer adoption rates could reduce, adversely impacting our business operations and future financial performance. Therefore, our ability to deliver precision technology and expand value-driven solutions is critical to our business success. If we fail to stay ahead of both traditional and non-traditional competitors in the technology space, it may hinder our ability to adapt or identify strategic partnerships within our industries in a timely manner. This could result in increased costs and delays in delivering value to our customers, ultimately affecting our competitive position and financial condition. Furthermore, our approach to precision technology involves hardware and software, guidance, connectivity and digital solutions, automation and machine intelligence, and autonomy. We may make significant investments in research and development, connectivity solutions, digital security for precision technology solutions, and conduct dealer and employee training. These investments may not produce solutions that provide the desired results for customers’ profitability or sustainability outcomes, impacting our competitive position.We may be unable to accurately forecast customer demand for products and services, and to adequately manage inventory, which could adversely affect our operating results.To ensure adequate inventory supply, we must forecast inventory needs and expenses and place orders sufficiently in advance with suppliers and contract manufacturers. These forecasts are based on estimates of future demand for products and services. Failure to accurately forecast our needs may result in unmet market demand, parts shortages, manufacturing delays or inefficiencies, increased costs, or excess inventory, such as what we experienced in fiscal year 2022 due to supply chain disruptions. Our ability to accurately forecast demand could be affected by many factors, including changes in customer demand for our products and services, changes in STRATEGY RISKSWe may not realize the anticipated benefits of our Smart Industrial Operating Model and Leap Ambitions.Failure to realize the anticipated benefits of our Smart Industrial Operating Model and related business strategies in production systems, precision technologies, and aftermarket support, as well as failure to have selected a business strategy that aligns with our customer needs and market trends, could have an adverse effect on our operational and financial results. Several factors could impact our ability to successfully execute our Smart Industrial Operating Model, including, among other things: ●Failure to accurately assess market opportunities and the technology required to address such opportunities; ●Failure to develop and introduce new technologies or lack of adoption of such technologies by our customers; ●Failure to holistically provide lifecycle solutions;●Failure to optimize our capital allocation in connection with the Smart Industrial Operating Model; and●The adoption of new regulations or policies supporting and/or subsidizing outputs that are inconsistent with our strategy, such as policies that have the effect of encouraging or supporting the use of conventional sources of energy. Similarly, we may not realize the anticipated benefits of our Leap Ambitions and related goals within the expected timelines, or at all. As part of our Leap Ambitions, we adopted various goals we expect to achieve by 2026 or 2030, but these goals and their timelines might be modified or updated. We may modify or not be able to achieve these goals for a variety of reasons, some of which may be beyond our control. Examples include:●Our estimates and assumptions related to efficiency of our products and the adoption of precision technology may not be accurate; ●Certain materials, such as quality battery cells, may become unavailable or too costly;●Customers may not embrace the value proposition of the Solutions as a Service license model; and●The infrastructure required to achieve our goals, such as sufficient charging stations or fuel availability, may become too costly or may not be developed on the expected timelines.If we are unable to remain competitive and relevant, including by delivering precision technology solutions to our customers, our business, results of operations, and financial condition could be adversely affected. We compete on product performance, innovation and quality, distribution, sustainability, customer service, and price. Aggressive pricing or other strategies of competitors, unanticipated product or manufacturing delays, our failure to deliver quality products that meet customer needs, or our failure to price products competitively adversely affects our business, results of operations, and financial condition. To remain competitive, we need to have a thorough understanding of our existing and potential customers on a global basis, particularly in growth markets such as Argentina and Brazil.In addition, if we are unable to remain relevant and effectively develop and deliver technology that customers can easily adopt and utilize, customer adoption rates could reduce, adversely impacting our business operations and future financial performance. Therefore, our ability to deliver precision technology and expand value-driven solutions is critical to our business success. If we fail to stay ahead of both traditional and non-traditional competitors in the technology space, it may hinder our ability to adapt or identify strategic partnerships within our industries in a timely manner. This could result in increased costs and delays in delivering value to our customers, ultimately affecting our competitive position and financial condition. Furthermore, our approach to precision technology involves hardware and software, guidance, connectivity and digital solutions, automation and machine intelligence, and autonomy. We may make significant investments in research and development, connectivity solutions, digital security for precision technology solutions, and conduct dealer and employee training. These investments may not produce solutions that provide the desired results for customers’ profitability or sustainability outcomes, impacting our competitive position.We may be unable to accurately forecast customer demand for products and services, and to adequately manage inventory, which could adversely affect our operating results.To ensure adequate inventory supply, we must forecast inventory needs and expenses and place orders sufficiently in advance with suppliers and contract manufacturers. These forecasts are based on estimates of future demand for products and services. Failure to accurately forecast our needs may result in unmet market demand, parts shortages, manufacturing delays or inefficiencies, increased costs, or excess inventory, such as what we experienced in fiscal year 2022 due to supply chain disruptions. Our ability to accurately forecast demand could be affected by many factors, including changes in customer demand for our products and services, changes in",
      "prior_body": "Central bank policy interest rates continued to increase in fiscal year 2023. Rising interest rates could have a dampening effect on overall economic activity and/or the financial condition of our customers, either or both of which could negatively affect customer demand for our equipment and customers’ ability to repay their obligations to us. Rising interest rates may cause credit market 19 19 19 Table of Contentsdislocations, that can impact funding costs, which can affect the financial services segment’s ability to offer customers competitive financing rates. While we strive to match the interest rate characteristics of our financial assets and liabilities, changing interest rates have had an adverse effect on our net interest rate margin—the difference between the yield we earn on our assets and the interest rates we pay for funding, which has affected our net interest income and earnings. In addition, actions by credit rating agencies, such as downgrades or negative changes to ratings outlooks, can affect the availability and cost of funding for us and can increase our costs of capital and hurt our competitive position.Because the financial services segment provides financing for a significant portion of our sales worldwide, negative economic conditions in the financial industry could materially impact our operations and financial results.Negative economic conditions could have an adverse effect on the financial industry in which the financial services segment operates. The financial services segment provides financing for a significant portion of our sales worldwide. The financial services segment is exposed to the risk that customers and others will default on contractual obligations and may experience credit losses that exceed our expectations and adversely affect our financial condition and results of operations. The financial services segment’s inability to access funds at cost-effective rates to support our financing activities could have a material adverse effect on our business. The financial services segment’s liquidity and ongoing profitability depend largely on timely access to capital to meet future cash flow requirements and to fund operations and costs associated with engaging in diversified funding activities. Additionally, negative market conditions could reduce customer confidence levels, resulting in declines in credit applications and increases in delinquencies and default rates, which could materially impact the financial services segment’s write-offs and provision for credit losses. The financial services segment may also experience residual value losses that exceed our expectations caused by lower pricing for used equipment and higher-than-expected equipment returns at lease maturity.We may sustain increases in funding obligations under our pension plans which may impair our liquidity or financial condition.We maintain certain defined benefit pension plans for certain employees, which impose funding obligations. We use various assumptions in calculating our future payment obligations under these plans. Significant adverse changes in credit or market conditions could result in actual rates of return on pension investments being lower than expected. Regulatory changes could cause a deterioration in the statutory funded status of our plans. We may be required to make significant contributions to our pension plans in the future. These factors could significantly increase our payment obligations under the plans and adversely affect our business, results of operations, and financial condition.MANUFACTURING AND OPERATIONAL RISKSWe may be unable to accurately forecast customer demand for products and services, and to adequately manage inventory, which could adversely affect our operating results.To ensure adequate inventory supply, we must forecast inventory needs and expenses and place orders sufficiently in advance with suppliers and contract manufacturers. These forecasts are based on estimates of future demand for products and services. Failure to accurately forecast our needs may result in unmet market demand, parts shortages, manufacturing delays, increased costs, or excess inventory. In fiscal year 2022, supply chain disruptions resulted in higher inventory levels. Although production schedules in fiscal year 2023 were more aligned with the customers’ seasonal use of our products, marking a return to historical seasonal production patterns, our ability to accurately forecast demand in the future could be affected by many factors, including changes in customer demand for our products and services, changes in demand for the products and services of competitors, unanticipated changes in general market conditions, and the weakening of economic conditions or customer confidence in future economic conditions. If the forecasts used to manage inventory are not accurate, we may experience excess inventory levels, shortage of available products, or reduced manufacturing efficiencies.Changes in the availability and price of certain raw materials, components, and whole goods have resulted and could continue to result in disruptions to the supply chain causing production disruptions, increased costs, and lower profits on sales of our products.We require access to various raw materials, components, and whole goods at competitive prices to manufacture and distribute our products. The price and availability of these materials have varied significantly in the last 36 months. For example, in fiscal year 2022, supply chain disruptions impacted many aspects of our business, including receiving past due deliveries from suppliers, parts availability, increased production costs, and higher inventory levels. We experienced supply chain improvements in fiscal year 2023 with a return to normal in the second half of the fiscal year. While we have seen stabilization in the supply chain and some commodity pricing improvements, we anticipate potential fluctuations due to inflation, geopolitical and economic uncertainty, and regulatory and policy instability, including import tariffs and trade agreements. The latter have the potential to significantly increase production and logistics costs and have a material negative effect on the profitability of the business, particularly if we are unable to recover the increased costs due to market considerations or other ​20 Table of Contents Table of Contents Table of Contents dislocations, that can impact funding costs, which can affect the financial services segment’s ability to offer customers competitive financing rates. While we strive to match the interest rate characteristics of our financial assets and liabilities, changing interest rates have had an adverse effect on our net interest rate margin—the difference between the yield we earn on our assets and the interest rates we pay for funding, which has affected our net interest income and earnings. In addition, actions by credit rating agencies, such as downgrades or negative changes to ratings outlooks, can affect the availability and cost of funding for us and can increase our costs of capital and hurt our competitive position.Because the financial services segment provides financing for a significant portion of our sales worldwide, negative economic conditions in the financial industry could materially impact our operations and financial results.Negative economic conditions could have an adverse effect on the financial industry in which the financial services segment operates. The financial services segment provides financing for a significant portion of our sales worldwide. The financial services segment is exposed to the risk that customers and others will default on contractual obligations and may experience credit losses that exceed our expectations and adversely affect our financial condition and results of operations. The financial services segment’s inability to access funds at cost-effective rates to support our financing activities could have a material adverse effect on our business. The financial services segment’s liquidity and ongoing profitability depend largely on timely access to capital to meet future cash flow requirements and to fund operations and costs associated with engaging in diversified funding activities. Additionally, negative market conditions could reduce customer confidence levels, resulting in declines in credit applications and increases in delinquencies and default rates, which could materially impact the financial services segment’s write-offs and provision for credit losses. The financial services segment may also experience residual value losses that exceed our expectations caused by lower pricing for used equipment and higher-than-expected equipment returns at lease maturity.We may sustain increases in funding obligations under our pension plans which may impair our liquidity or financial condition.We maintain certain defined benefit pension plans for certain employees, which impose funding obligations. We use various assumptions in calculating our future payment obligations under these plans. Significant adverse changes in credit or market conditions could result in actual rates of return on pension investments being lower than expected. Regulatory changes could cause a deterioration in the statutory funded status of our plans. We may be required to make significant contributions to our pension plans in the future. These factors could significantly increase our payment obligations under the plans and adversely affect our business, results of operations, and financial condition.MANUFACTURING AND OPERATIONAL RISKSWe may be unable to accurately forecast customer demand for products and services, and to adequately manage inventory, which could adversely affect our operating results.To ensure adequate inventory supply, we must forecast inventory needs and expenses and place orders sufficiently in advance with suppliers and contract manufacturers. These forecasts are based on estimates of future demand for products and services. Failure to accurately forecast our needs may result in unmet market demand, parts shortages, manufacturing delays, increased costs, or excess inventory. In fiscal year 2022, supply chain disruptions resulted in higher inventory levels. Although production schedules in fiscal year 2023 were more aligned with the customers’ seasonal use of our products, marking a return to historical seasonal production patterns, our ability to accurately forecast demand in the future could be affected by many factors, including changes in customer demand for our products and services, changes in demand for the products and services of competitors, unanticipated changes in general market conditions, and the weakening of economic conditions or customer confidence in future economic conditions. If the forecasts used to manage inventory are not accurate, we may experience excess inventory levels, shortage of available products, or reduced manufacturing efficiencies.Changes in the availability and price of certain raw materials, components, and whole goods have resulted and could continue to result in disruptions to the supply chain causing production disruptions, increased costs, and lower profits on sales of our products.We require access to various raw materials, components, and whole goods at competitive prices to manufacture and distribute our products. The price and availability of these materials have varied significantly in the last 36 months. For example, in fiscal year 2022, supply chain disruptions impacted many aspects of our business, including receiving past due deliveries from suppliers, parts availability, increased production costs, and higher inventory levels. We experienced supply chain improvements in fiscal year 2023 with a return to normal in the second half of the fiscal year. While we have seen stabilization in the supply chain and some commodity pricing improvements, we anticipate potential fluctuations due to inflation, geopolitical and economic uncertainty, and regulatory and policy instability, including import tariffs and trade agreements. The latter have the potential to significantly increase production and logistics costs and have a material negative effect on the profitability of the business, particularly if we are unable to recover the increased costs due to market considerations or other ​ dislocations, that can impact funding costs, which can affect the financial services segment’s ability to offer customers competitive financing rates. While we strive to match the interest rate characteristics of our financial assets and liabilities, changing interest rates have had an adverse effect on our net interest rate margin—the difference between the yield we earn on our assets and the interest rates we pay for funding, which has affected our net interest income and earnings. In addition, actions by credit rating agencies, such as downgrades or negative changes to ratings outlooks, can affect the availability and cost of funding for us and can increase our costs of capital and hurt our competitive position."
    },
    {
      "status": "MODIFIED",
      "current_title": "Financial Services Operations",
      "prior_title": "Financial Services Operations",
      "similarity_score": 0.488,
      "confidence": "low",
      "key_changes": [
        "Reworded sentence: \"​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2024 ​ 2023 ​ % Change ​ Revenue (including intercompany) ​ $ 6,493 ​ $ 5,554 ​ +17 ​ Average balance of receivables and leases ​ ​ ​ ​ ​ ​ ​ +12 ​ Interest expense ​ ​ 3,182 ​ ​ 2,362 ​ +35 ​ Average borrowing rates ​ ​ ​ ​ ​ ​ ​ +20 ​ Average borrowings ​ ​ ​ ​ ​ ​ ​ +12 ​ Net income ​ ​ 696 ​ ​ 619 ​ +12 ​ ​ Average wholesale receivables increased 26 percent driven by higher dealer used inventory levels.\"",
        "Reworded sentence: \"Excluding the impact of a one-time correction of the accounting treatment for financing incentives offered to John Deere dealers in 2023 (see Note 4), net income declined as a result of a higher provision for credit losses and less-favorable financing spreads driven primarily by the receivable portfolio mix.\""
      ],
      "current_body": "​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2024 ​ 2023 ​ % Change ​ Revenue (including intercompany) ​ $ 6,493 ​ $ 5,554 ​ +17 ​ Average balance of receivables and leases ​ ​ ​ ​ ​ ​ ​ +12 ​ Interest expense ​ ​ 3,182 ​ ​ 2,362 ​ +35 ​ Average borrowing rates ​ ​ ​ ​ ​ ​ ​ +20 ​ Average borrowings ​ ​ ​ ​ ​ ​ ​ +12 ​ Net income ​ ​ 696 ​ ​ 619 ​ +12 ​ ​ Average wholesale receivables increased 26 percent driven by higher dealer used inventory levels. While new retail note volumes moderated due to reduced retail demand, average retail portfolio levels grew due to higher volumes in recent years resulting in a 9 percent increase. Revenue also increased due to higher average financing rates. Excluding the impact of a one-time correction of the accounting treatment for financing incentives offered to John Deere dealers in 2023 (see Note 4), net income declined as a result of a higher provision for credit losses and less-favorable financing spreads driven primarily by the receivable portfolio mix. These factors were partially offset by income earned on higher average portfolio balances.",
      "prior_body": "​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2023 ​ 2022 ​ % Change ​ Revenue (including intercompany) ​ $ 5,554 ​ $ 4,085 ​ +36 ​ Average balance of receivables and leases ​ ​ ​ ​ ​ ​ ​ +19 ​ Interest expense ​ ​ 2,362 ​ ​ 799 ​ +196 ​ Average borrowings ​ ​ ​ ​ ​ ​ ​ +20 ​ Average borrowing rates ​ ​ ​ ​ ​ ​ ​ +143 ​ Net income ​ ​ 619 ​ ​ 880 ​ -30 ​ ​ Average wholesale receivables increased 72 percent and retail notes increased 13 percent driven by higher equipment sales. Revenue also increased due to higher average financing rates. Net income declined as a result of unfavorable financing spreads and a correction of the accounting treatment for financing incentives offered to John Deere dealers (see Note 4). In 2022, financial services increased the provision for credit losses in Russia and recorded an intercompany benefit from the equipment operations, which guarantees financial services’ investments in certain international markets, including Russia (see Note 4). The Russia-related impacts are displayed in the “Other” bar below. ​ ​ ​ ​ ​ ​"
    },
    {
      "status": "MODIFIED",
      "current_title": "Agriculture and Turf Outlook for 2025",
      "prior_title": "Agriculture and Turf Outlook for 2024",
      "similarity_score": 0.461,
      "confidence": "low",
      "key_changes": [
        "Reworded sentence: \"29 29 29 Table of Contents​levels are expected to keep industry equipment demand at low levels throughout 2025.●Demand in South America is expected to be flat.\""
      ],
      "current_body": "29 29 29 Table of Contents​levels are expected to keep industry equipment demand at low levels throughout 2025.●Demand in South America is expected to be flat. In Brazil, we expect crop prices to decline in 2025 offset by decreasing input costs and improving yields as drought concerns abate. These factors coupled with continued acreage expansion and recent appreciation of the U.S. dollar against the Brazilian real will offer further profitability tailwinds to farmers. Across the rest of South America, strong yields are expected to be offset by low commodity prices and elevated interest rates. Argentina industry sales are forecasted to improve as the currency stabilizes amid agricultural industry recovery.●Industry sales in Asia are forecasted to be down slightly, as foundational technology adoption and improving agriculture fundamentals in India provide moderate demand.Construction and Forestry Outlook for 2025●Construction equipment industry sales are forecasted to be down in the U.S. and Canada from 2024 levels. The decline is due to projected modest growth in single family housing starts and U.S. government infrastructure spending, which is expected to be more than offset by further slowdowns in multi-family housing developments, non-residential buildings, and reduced spending in oil and gas. Historically low levels of earthmoving rental purchases and rising used inventories are expected to further pressure equipment sales as market uncertainty persists. ●Global forestry markets are expected to be flat to down as challenged global markets stabilize at low demand levels.●Global roadbuilding markets are forecasted to be generally flat, as a modest recovery in Europe is expected to compensate for a slight slowdown in other geographies. Financial Services Outlook for 2025​​​​​​​​Net Income​Up​+ Provision for credit losses​Favorable​+ Prior period special items​Favorable​(-) Financing spreads​Unfavorable​Additional TrendsInterest Rates – While interest rates in the U.S. began to decrease in the fourth quarter of 2024, they remained elevated. Increased rates impacted us in several ways, primarily affecting the demand for our products and financing spreads for the financial services operations.The markets for our agriculture, turf, and construction products were negatively impacted in 2024 by elevated interest rates and their effect on borrowing costs for our customers.Rising interest rates have historically impacted our borrowing costs sooner than the benefit is realized from receivable and lease portfolios.Agricultural Market Business Cycle – The agricultural market is affected by various factors including commodity prices, acreage planted, crop yields, and government policies. These factors affect farmers’ income and may result in varying demand for our equipment. In 2024, we experienced unfavorable market conditions which resulted in lower sales volumes, higher sales incentives, higher receivable write-offs, and an increase in expected credit losses.We introduced cost reduction measures to manage our profitability and inventory levels. In the third quarter of 2024, we implemented employee-separation programs for our salaried workforce to help meet our strategic priorities while reducing overlap and redundancy in roles and responsibilities. The programs’ total pretax expenses are estimated to be approximately $165, of which $157 was recorded in 2024 (see Note 4). Annual pretax savings from these programs are estimated to be about $220. Approximately $100 of savings was realized in 2024.Changes in interest rates and the agricultural market business cycle are driven by factors outside of our control, and as a result we cannot reasonably foresee when these conditions will fully subside.Other Items of Concern and Uncertainties – Other items that could impact our results are:●global and regional political conditions, including the ongoing war between Russia and Ukraine and the conflict in the Middle East, ●shifts in energy, economic, tax, and trade policies following the 2024 U.S. presidential and congressional elections, ●new or retaliatory tariffs,●capital market disruptions, ●foreign currency and capital control policies, ●regulations and legislation regarding right to repair or right to modify,●weather conditions,●marketplace adoption and monetization of technologies we have invested in,●our ability to strengthen our digital capabilities, automation, autonomy, and alternative power technologies,●workforce reductions’ impact on employee retention, morale, and institutional knowledge,●changes in demand and pricing for new and used equipment,●delays or disruptions in our supply chain, ●significant fluctuations in foreign currency exchange rates, ●volatility in the prices of many commodities, and ●slower economic growth.​30 Table of Contents​ Table of Contents Table of Contents ​ levels are expected to keep industry equipment demand at low levels throughout 2025.●Demand in South America is expected to be flat. In Brazil, we expect crop prices to decline in 2025 offset by decreasing input costs and improving yields as drought concerns abate. These factors coupled with continued acreage expansion and recent appreciation of the U.S. dollar against the Brazilian real will offer further profitability tailwinds to farmers. Across the rest of South America, strong yields are expected to be offset by low commodity prices and elevated interest rates. Argentina industry sales are forecasted to improve as the currency stabilizes amid agricultural industry recovery.●Industry sales in Asia are forecasted to be down slightly, as foundational technology adoption and improving agriculture fundamentals in India provide moderate demand.Construction and Forestry Outlook for 2025●Construction equipment industry sales are forecasted to be down in the U.S. and Canada from 2024 levels. The decline is due to projected modest growth in single family housing starts and U.S. government infrastructure spending, which is expected to be more than offset by further slowdowns in multi-family housing developments, non-residential buildings, and reduced spending in oil and gas. Historically low levels of earthmoving rental purchases and rising used inventories are expected to further pressure equipment sales as market uncertainty persists. ●Global forestry markets are expected to be flat to down as challenged global markets stabilize at low demand levels.●Global roadbuilding markets are forecasted to be generally flat, as a modest recovery in Europe is expected to compensate for a slight slowdown in other geographies. Financial Services Outlook for 2025​​​​​​​​Net Income​Up​+ Provision for credit losses​Favorable​+ Prior period special items​Favorable​(-) Financing spreads​Unfavorable​Additional TrendsInterest Rates – While interest rates in the U.S. began to decrease in the fourth quarter of 2024, they remained elevated. Increased rates impacted us in several ways, primarily affecting the demand for our products and financing spreads for the financial services operations.The markets for our agriculture, turf, and construction products were negatively impacted in 2024 by elevated interest rates and their effect on borrowing costs for our customers.Rising interest rates have historically impacted our borrowing costs sooner than the benefit is realized from receivable and lease portfolios.Agricultural Market Business Cycle – The agricultural market is affected by various factors including commodity prices, acreage planted, crop yields, and government policies. These factors affect farmers’ income and may result in varying demand for our equipment. In 2024, we experienced unfavorable market conditions which resulted in lower sales volumes, higher sales incentives, higher receivable write-offs, and an increase in expected credit losses.We introduced cost reduction measures to manage our profitability and inventory levels. In the third quarter of 2024, we implemented employee-separation programs for our salaried workforce to help meet our strategic priorities while reducing overlap and redundancy in roles and responsibilities. The programs’ total pretax expenses are estimated to be approximately $165, of which $157 was recorded in 2024 (see Note 4). Annual pretax savings from these programs are estimated to be about $220. Approximately $100 of savings was realized in 2024.Changes in interest rates and the agricultural market business cycle are driven by factors outside of our control, and as a result we cannot reasonably foresee when these conditions will fully subside.Other Items of Concern and Uncertainties – Other items that could impact our results are:●global and regional political conditions, including the ongoing war between Russia and Ukraine and the conflict in the Middle East, ●shifts in energy, economic, tax, and trade policies following the 2024 U.S. presidential and congressional elections, ●new or retaliatory tariffs,●capital market disruptions, ●foreign currency and capital control policies, ●regulations and legislation regarding right to repair or right to modify,●weather conditions,●marketplace adoption and monetization of technologies we have invested in,●our ability to strengthen our digital capabilities, automation, autonomy, and alternative power technologies,●workforce reductions’ impact on employee retention, morale, and institutional knowledge,●changes in demand and pricing for new and used equipment,●delays or disruptions in our supply chain, ●significant fluctuations in foreign currency exchange rates, ●volatility in the prices of many commodities, and ●slower economic growth.​ levels are expected to keep industry equipment demand at low levels throughout 2025.●Demand in South America is expected to be flat. In Brazil, we expect crop prices to decline in 2025 offset by decreasing input costs and improving yields as drought concerns abate. These factors coupled with continued acreage expansion and recent appreciation of the U.S. dollar against the Brazilian real will offer further profitability tailwinds to farmers. Across the rest of South America, strong yields are expected to be offset by low commodity prices and elevated interest rates. Argentina industry sales are forecasted to improve as the currency stabilizes amid agricultural industry recovery.●Industry sales in Asia are forecasted to be down slightly, as foundational technology adoption and improving agriculture fundamentals in India provide moderate demand.Construction and Forestry Outlook for 2025●Construction equipment industry sales are forecasted to be down in the U.S. and Canada from 2024 levels. The decline is due to projected modest growth in single family housing starts and U.S. government infrastructure spending, which is expected to be more than offset by further slowdowns in multi-family housing developments, non-residential buildings, and reduced spending in oil and gas. Historically low levels of earthmoving rental purchases and rising used inventories are expected to further pressure equipment sales as market uncertainty persists. ●Global forestry markets are expected to be flat to down as challenged global markets stabilize at low demand levels.●Global roadbuilding markets are forecasted to be generally flat, as a modest recovery in Europe is expected to compensate for a slight slowdown in other geographies. Financial Services Outlook for 2025​​​​​​​​Net Income​Up​+ Provision for credit losses​Favorable​+ Prior period special items​Favorable​(-) Financing spreads​Unfavorable​Additional TrendsInterest Rates – While interest rates in the U.S. began to decrease in the fourth quarter of 2024, they remained elevated. Increased rates impacted us in several ways, primarily affecting the demand for our products and financing spreads for the financial services operations.The markets for our agriculture, turf, and construction products were negatively impacted in 2024 by elevated interest rates and their effect on borrowing costs for our customers.Rising interest rates have historically impacted our borrowing costs sooner than the benefit is realized from receivable and lease portfolios.Agricultural Market Business Cycle – The agricultural market is affected by various factors including commodity prices, acreage planted, crop yields, and government policies. These factors affect farmers’ income and may result in varying demand for our equipment. In 2024, we experienced unfavorable market conditions which resulted in lower sales volumes, higher sales incentives, higher receivable write-offs, and an increase in expected credit losses.We introduced cost reduction measures to manage our profitability and inventory levels. In the third quarter of 2024, we implemented employee-separation programs for our salaried workforce to help meet our strategic priorities while reducing overlap and redundancy in roles and responsibilities. The programs’ total pretax expenses are estimated to be approximately $165, of which $157 was recorded in 2024 (see Note 4). Annual pretax savings from these programs are estimated to be about $220. Approximately $100 of savings was realized in 2024.Changes in interest rates and the agricultural market business cycle are driven by factors outside of our control, and as a result we cannot reasonably foresee when these conditions will fully subside.Other Items of Concern and Uncertainties – Other items that could impact our results are:●global and regional political conditions, including the ongoing war between Russia and Ukraine and the conflict in the Middle East, ●shifts in energy, economic, tax, and trade policies following the 2024 U.S. presidential and congressional elections, ●new or retaliatory tariffs,●capital market disruptions, ●foreign currency and capital control policies, ●regulations and legislation regarding right to repair or right to modify,●weather conditions,●marketplace adoption and monetization of technologies we have invested in,●our ability to strengthen our digital capabilities, automation, autonomy, and alternative power technologies,●workforce reductions’ impact on employee retention, morale, and institutional knowledge,●changes in demand and pricing for new and used equipment,●delays or disruptions in our supply chain, ●significant fluctuations in foreign currency exchange rates, ●volatility in the prices of many commodities, and ●slower economic growth.​ levels are expected to keep industry equipment demand at low levels throughout 2025.●Demand in South America is expected to be flat. In Brazil, we expect crop prices to decline in 2025 offset by decreasing input costs and improving yields as drought concerns abate. These factors coupled with continued acreage expansion and recent appreciation of the U.S. dollar against the Brazilian real will offer further profitability tailwinds to farmers. Across the rest of South America, strong yields are expected to be offset by low commodity prices and elevated interest rates. Argentina industry sales are forecasted to improve as the currency stabilizes amid agricultural industry recovery.●Industry sales in Asia are forecasted to be down slightly, as foundational technology adoption and improving agriculture fundamentals in India provide moderate demand.Construction and Forestry Outlook for 2025●Construction equipment industry sales are forecasted to be down in the U.S. and Canada from 2024 levels. The decline is due to projected modest growth in single family housing starts and U.S. government infrastructure spending, which is expected to be more than offset by further slowdowns in multi-family housing developments, non-residential buildings, and reduced spending in oil and gas. Historically low levels of earthmoving rental purchases and rising used inventories are expected to further pressure equipment sales as market uncertainty persists. ●Global forestry markets are expected to be flat to down as challenged global markets stabilize at low demand levels.●Global roadbuilding markets are forecasted to be generally flat, as a modest recovery in Europe is expected to compensate for a slight slowdown in other geographies. Financial Services Outlook for 2025​​​​​​​​Net Income​Up​+ Provision for credit losses​Favorable​+ Prior period special items​Favorable​(-) Financing spreads​Unfavorable​Additional TrendsInterest Rates – While interest rates in the U.S. began to decrease in the fourth quarter of 2024, they remained elevated. Increased rates impacted us in several ways, primarily affecting the demand for our products and financing spreads for the financial services operations.The markets for our agriculture, turf, and construction products were negatively impacted in 2024 by elevated interest rates and their effect on borrowing costs for our customers.Rising interest rates have historically impacted our borrowing costs sooner than the benefit is realized from receivable and lease portfolios.Agricultural Market Business Cycle – The agricultural market is affected by various factors including commodity prices, acreage planted, crop yields, and government policies. These factors affect farmers’ income and may result in varying demand for our equipment. In 2024, we experienced unfavorable market conditions which resulted in lower sales volumes, higher sales incentives, higher receivable write-offs, and an increase in expected credit losses.We introduced cost reduction measures to manage our profitability and inventory levels. In the third quarter of 2024, we implemented employee-separation programs for our salaried workforce to help meet our strategic priorities while reducing overlap and redundancy in roles and responsibilities. The programs’ total pretax expenses are estimated to be approximately $165, of which $157 was recorded in 2024 (see Note 4). Annual pretax savings from these programs are estimated to be about $220. Approximately $100 of savings was realized in 2024.Changes in interest rates and the agricultural market business cycle are driven by factors outside of our control, and as a result we cannot reasonably foresee when these conditions will fully subside.Other Items of Concern and Uncertainties – Other items that could impact our results are:●global and regional political conditions, including the ongoing war between Russia and Ukraine and the conflict in the Middle East, ●shifts in energy, economic, tax, and trade policies following the 2024 U.S. presidential and congressional elections, ●new or retaliatory tariffs,●capital market disruptions, ●foreign currency and capital control policies, ●regulations and legislation regarding right to repair or right to modify,●weather conditions,●marketplace adoption and monetization of technologies we have invested in,●our ability to strengthen our digital capabilities, automation, autonomy, and alternative power technologies,●workforce reductions’ impact on employee retention, morale, and institutional knowledge,●changes in demand and pricing for new and used equipment,●delays or disruptions in our supply chain, ●significant fluctuations in foreign currency exchange rates, ●volatility in the prices of many commodities, and ●slower economic growth.​ levels are expected to keep industry equipment demand at low levels throughout 2025.●Demand in South America is expected to be flat. In Brazil, we expect crop prices to decline in 2025 offset by decreasing input costs and improving yields as drought concerns abate. These factors coupled with continued acreage expansion and recent appreciation of the U.S. dollar against the Brazilian real will offer further profitability tailwinds to farmers. Across the rest of South America, strong yields are expected to be offset by low commodity prices and elevated interest rates. Argentina industry sales are forecasted to improve as the currency stabilizes amid agricultural industry recovery.●Industry sales in Asia are forecasted to be down slightly, as foundational technology adoption and improving agriculture fundamentals in India provide moderate demand.Construction and Forestry Outlook for 2025●Construction equipment industry sales are forecasted to be down in the U.S. and Canada from 2024 levels. The decline is due to projected modest growth in single family housing starts and U.S. government infrastructure spending, which is expected to be more than offset by further slowdowns in multi-family housing developments, non-residential buildings, and reduced spending in oil and gas. Historically low levels of earthmoving rental purchases and rising used inventories are expected to further pressure equipment sales as market uncertainty persists. ●Global forestry markets are expected to be flat to down as challenged global markets stabilize at low demand levels.●Global roadbuilding markets are forecasted to be generally flat, as a modest recovery in Europe is expected to compensate for a slight slowdown in other geographies. Financial Services Outlook for 2025​​​​​​​​Net Income​Up​+ Provision for credit losses​Favorable​+ Prior period special items​Favorable​(-) Financing spreads​Unfavorable​Additional TrendsInterest Rates – While interest rates in the U.S. began to decrease in the fourth quarter of 2024, they remained elevated. Increased rates impacted us in several ways, primarily affecting the demand for our products and financing spreads for the financial services operations.The markets for our agriculture, turf, and construction products were negatively impacted in 2024 by elevated interest rates and their effect on borrowing costs for our customers.Rising interest rates have historically impacted our borrowing costs sooner than the benefit is realized from receivable and lease portfolios.Agricultural Market Business Cycle – The agricultural market is affected by various factors including commodity prices, acreage planted, crop yields, and government policies. These factors affect farmers’ income and may result in varying demand for our equipment. In 2024, we experienced unfavorable market levels are expected to keep industry equipment demand at low levels throughout 2025.",
      "prior_body": "Market Conditions: 29 29 29 Table of Contents​●The dairy and livestock sector continues to benefit from elevated protein and hay prices.●Farm input costs in Europe are declining. Grain prices vary from favorable in Western Europe to depressed in Eastern Europe due to the Russia/Ukraine war.●Dealer inventories are elevated in Brazil due to inventory oversupply driven by weakening demand in the second half of 2023.●Industry sales in Asia are impacted by moderating demand in India, the world’s largest tractor market by number of units.●The fleet average age is older than in prior business cycles. Combines are in line with the historical average age, while tractors are slightly older than historical averages.Construction and Forestry Outlook for 2024Market Conditions:●Construction equipment industry sales are forecasted to be down from 2023 levels. ●Benefits from rental fleet replenishment, the energy industry, and U.S. infrastructure spending are expected to partially offset moderation in residential home, office, and retail construction.●Roadbuilding demand remains strong, similar to 2023 in the U.S., largely offset by softening demand in Europe. Financial Services Outlook for 2024​​​​​​​​Net Income​Up moderately​+ Nonrecurring prior period special items​Favorable​+ Higher average portfolio​Favorable​(-) Financing spreads​Unfavorable​(-) Recoveries on operating lease dispositions​Unfavorable​Additional Trends – We experienced supply chain disruptions and inflationary pressures in 2022. While these issues moderated in 2023, the effect on production schedules and central bank policy interest rates continued in 2023. These changes are discussed below. Supply Chain Impact on Production Schedules. We experienced supply chain improvements compared to 2022, with a return to normal in 2023. The ease in supply chain disruptions contributed to higher levels of production compared to prior year. As a result, our production schedules in 2023 were more aligned with the customers’ seasonal use of our products, marking a return to historical seasonal production patterns and on-time product delivery. Additionally, supply chain improvements contributed to reductions in premium freight costs, moderation in material cost increases, and disciplined inventory management in 2023. In 2022, supply chain disruptions impacted many aspects of our business, including receiving past due deliveries from suppliers, parts availability, increased production costs, and higher inventory levels.Interest Rates. Central bank policy interest rates increased in 2022 and 2023. Increased rates impacted us in several ways, primarily affecting the financing spreads for the financial services operations, and may impact future demand for our products.Most retail customer receivables are fixed rate. Wholesale financing receivables generally are variable rate. Both types of receivables are financed with fixed and floating rate borrowings. We manage our exposure to interest rate fluctuations by matching our receivables with our funding sources. We also enter into interest rate swap agreements to match our interest rate exposure. Rising interest rates have historically impacted our borrowings sooner than the benefit is realized from receivable and lease portfolios. As a result, our financial services operations experienced $170 (after-tax) less favorable financing spreads in 2023 compared to 2022. If interest rates continue to rise, we expect to continue experiencing spread compression in 2024.Demand for our products is negatively impacted by rising interest rates. We expect higher borrowing costs for our customers to primarily affect discretionary and residential product sales in 2024.Rising interest rates are driven by factors outside of our control, and as a result, we cannot reasonably foresee when this condition will subside.Agricultural Market Business Cycle. The agricultural market is affected by various factors including commodity prices, acreage planted, crop yields, and government policies. These factors affect farmers’ income and may result in lower demand for equipment. We may experience any of the following effects during unfavorable market conditions: lower net sales, higher sales discounts, higher receivable write-offs, or losses on equipment on operating leases. A potential benefit is that customers may invest in integrated technology solutions and precision agriculture to lower input costs and improve margins.Other Items of Concern and Uncertainties – Other items that could impact our results are:●global and regional political conditions, including the war in Ukraine and the Israel-Hamas war, ●economic, tax, and trade policies, ●new or retaliatory tariffs,●capital market disruptions, ●foreign currency and capital control policies, ●regulations and legislation regarding right to repair,●weather conditions,●marketplace adoption and monetization of technologies we have invested in,●our ability to strengthen our digital capabilities, automation, autonomy, and alternative power technologies,●changes in demand and pricing for new and used equipment, ●significant fluctuations in foreign currency exchange rates, ●volatility in the prices of many commodities, and ●slower economic growth or possible recession. ​​​30 Table of Contents​ Table of Contents Table of Contents ​ ●The dairy and livestock sector continues to benefit from elevated protein and hay prices.●Farm input costs in Europe are declining. Grain prices vary from favorable in Western Europe to depressed in Eastern Europe due to the Russia/Ukraine war.●Dealer inventories are elevated in Brazil due to inventory oversupply driven by weakening demand in the second half of 2023.●Industry sales in Asia are impacted by moderating demand in India, the world’s largest tractor market by number of units.●The fleet average age is older than in prior business cycles. Combines are in line with the historical average age, while tractors are slightly older than historical averages.Construction and Forestry Outlook for 2024Market Conditions:●Construction equipment industry sales are forecasted to be down from 2023 levels. ●Benefits from rental fleet replenishment, the energy industry, and U.S. infrastructure spending are expected to partially offset moderation in residential home, office, and retail construction.●Roadbuilding demand remains strong, similar to 2023 in the U.S., largely offset by softening demand in Europe. Financial Services Outlook for 2024​​​​​​​​Net Income​Up moderately​+ Nonrecurring prior period special items​Favorable​+ Higher average portfolio​Favorable​(-) Financing spreads​Unfavorable​(-) Recoveries on operating lease dispositions​Unfavorable​Additional Trends – We experienced supply chain disruptions and inflationary pressures in 2022. While these issues moderated in 2023, the effect on production schedules and central bank policy interest rates continued in 2023. These changes are discussed below. Supply Chain Impact on Production Schedules. We experienced supply chain improvements compared to 2022, with a return to normal in 2023. The ease in supply chain disruptions contributed to higher levels of production compared to prior year. As a result, our production schedules in 2023 were more aligned with the customers’ seasonal use of our products, marking a return to historical seasonal production patterns and on-time product delivery. Additionally, supply chain improvements contributed to reductions in premium freight costs, moderation in material cost increases, and disciplined inventory management in 2023. In 2022, supply chain disruptions impacted many aspects of our business, including receiving past due deliveries from suppliers, parts availability, increased production costs, and higher inventory levels.Interest Rates. Central bank policy interest rates increased in 2022 and 2023. Increased rates impacted us in several ways, primarily affecting the financing spreads for the financial services operations, and may impact future demand for our products.Most retail customer receivables are fixed rate. Wholesale financing receivables generally are variable rate. Both types of receivables are financed with fixed and floating rate borrowings. We manage our exposure to interest rate fluctuations by matching our receivables with our funding sources. We also enter into interest rate swap agreements to match our interest rate exposure. Rising interest rates have historically impacted our borrowings sooner than the benefit is realized from receivable and lease portfolios. As a result, our financial services operations experienced $170 (after-tax) less favorable financing spreads in 2023 compared to 2022. If interest rates continue to rise, we expect to continue experiencing spread compression in 2024.Demand for our products is negatively impacted by rising interest rates. We expect higher borrowing costs for our customers to primarily affect discretionary and residential product sales in 2024.Rising interest rates are driven by factors outside of our control, and as a result, we cannot reasonably foresee when this condition will subside.Agricultural Market Business Cycle. The agricultural market is affected by various factors including commodity prices, acreage planted, crop yields, and government policies. These factors affect farmers’ income and may result in lower demand for equipment. We may experience any of the following effects during unfavorable market conditions: lower net sales, higher sales discounts, higher receivable write-offs, or losses on equipment on operating leases. A potential benefit is that customers may invest in integrated technology solutions and precision agriculture to lower input costs and improve margins.Other Items of Concern and Uncertainties – Other items that could impact our results are:●global and regional political conditions, including the war in Ukraine and the Israel-Hamas war, ●economic, tax, and trade policies, ●new or retaliatory tariffs,●capital market disruptions, ●foreign currency and capital control policies, ●regulations and legislation regarding right to repair,●weather conditions,●marketplace adoption and monetization of technologies we have invested in,●our ability to strengthen our digital capabilities, automation, autonomy, and alternative power technologies,●changes in demand and pricing for new and used equipment, ●significant fluctuations in foreign currency exchange rates, ●volatility in the prices of many commodities, and ●slower economic growth or possible recession. ​​​ ●The dairy and livestock sector continues to benefit from elevated protein and hay prices.●Farm input costs in Europe are declining. Grain prices vary from favorable in Western Europe to depressed in Eastern Europe due to the Russia/Ukraine war.●Dealer inventories are elevated in Brazil due to inventory oversupply driven by weakening demand in the second half of 2023.●Industry sales in Asia are impacted by moderating demand in India, the world’s largest tractor market by number of units.●The fleet average age is older than in prior business cycles. Combines are in line with the historical average age, while tractors are slightly older than historical averages.Construction and Forestry Outlook for 2024Market Conditions:●Construction equipment industry sales are forecasted to be down from 2023 levels. ●Benefits from rental fleet replenishment, the energy industry, and U.S. infrastructure spending are expected to partially offset moderation in residential home, office, and retail construction.●Roadbuilding demand remains strong, similar to 2023 in the U.S., largely offset by softening demand in Europe. Financial Services Outlook for 2024​​​​​​​​Net Income​Up moderately​+ Nonrecurring prior period special items​Favorable​+ Higher average portfolio​Favorable​(-) Financing spreads​Unfavorable​(-) Recoveries on operating lease dispositions​Unfavorable​Additional Trends – We experienced supply chain disruptions and inflationary pressures in 2022. While these issues moderated in 2023, the effect on production schedules and central bank policy interest rates continued in 2023. These changes are discussed below. Supply Chain Impact on Production Schedules. We experienced supply chain improvements compared to 2022, with a return to normal in 2023. The ease in supply chain disruptions contributed to higher levels of production compared to prior year. As a result, our production schedules in 2023 were more aligned with the customers’ seasonal use of our products, marking a return to historical seasonal production patterns and on-time product delivery. Additionally, supply chain improvements contributed to reductions in premium freight costs, moderation in material cost increases, and disciplined inventory management in 2023. In 2022, supply chain disruptions impacted many aspects of our business, including receiving past due deliveries from suppliers, parts availability, increased production costs, and higher inventory levels.Interest Rates. Central bank policy interest rates increased in 2022 and 2023. Increased rates impacted us in several ways, primarily affecting the financing spreads for the financial services operations, and may impact future demand for our products.Most retail customer receivables are fixed rate. Wholesale financing receivables generally are variable rate. Both types of receivables are financed with fixed and floating rate borrowings. We manage our exposure to interest rate fluctuations by matching our receivables with our funding sources. We also enter into interest rate swap agreements to match our interest rate exposure. Rising interest rates have historically impacted our borrowings sooner than the benefit is realized from receivable and lease portfolios. As a result, our financial services operations experienced $170 (after-tax) less favorable financing spreads in 2023 compared to 2022. If interest rates continue to rise, we expect to continue experiencing spread compression in 2024.Demand for our products is negatively impacted by rising interest rates. We expect higher borrowing costs for our customers to primarily affect discretionary and residential product sales in 2024.Rising interest rates are driven by factors outside of our control, and as a result, we cannot reasonably foresee when this condition will subside.Agricultural Market Business Cycle. The agricultural market is affected by various factors including commodity prices, acreage planted, crop yields, and government policies. These factors affect farmers’ income and may result in lower demand for equipment. We may experience any of the following effects during unfavorable market conditions: lower net sales, higher sales discounts, higher receivable write-offs, or losses on equipment on operating leases. A potential benefit is that customers may invest in integrated technology solutions and precision agriculture to lower input costs and improve margins.Other Items of Concern and Uncertainties – Other items that could impact our results are:●global and regional political conditions, including the war in Ukraine and the Israel-Hamas war, ●economic, tax, and trade policies, ●new or retaliatory tariffs,●capital market disruptions, ●foreign currency and capital control policies, ●regulations and legislation regarding right to repair,●weather conditions,●marketplace adoption and monetization of technologies we have invested in,●our ability to strengthen our digital capabilities, automation, autonomy, and alternative power technologies,●changes in demand and pricing for new and used equipment, ●significant fluctuations in foreign currency exchange rates, ●volatility in the prices of many commodities, and ●slower economic growth or possible recession. ​​​ ●The dairy and livestock sector continues to benefit from elevated protein and hay prices.●Farm input costs in Europe are declining. Grain prices vary from favorable in Western Europe to depressed in Eastern Europe due to the Russia/Ukraine war.●Dealer inventories are elevated in Brazil due to inventory oversupply driven by weakening demand in the second half of 2023.●Industry sales in Asia are impacted by moderating demand in India, the world’s largest tractor market by number of units.●The fleet average age is older than in prior business cycles. Combines are in line with the historical average age, while tractors are slightly older than historical averages.Construction and Forestry Outlook for 2024Market Conditions:●Construction equipment industry sales are forecasted to be down from 2023 levels. ●Benefits from rental fleet replenishment, the energy industry, and U.S. infrastructure spending are expected to partially offset moderation in residential home, office, and retail construction.●Roadbuilding demand remains strong, similar to 2023 in the U.S., largely offset by softening demand in Europe. Financial Services Outlook for 2024​​​​​​​​Net Income​Up moderately​+ Nonrecurring prior period special items​Favorable​+ Higher average portfolio​Favorable​(-) Financing spreads​Unfavorable​(-) Recoveries on operating lease dispositions​Unfavorable​Additional Trends – We experienced supply chain disruptions and inflationary pressures in 2022. While these issues moderated in 2023, the effect on production schedules and central bank policy interest rates continued in 2023. These changes are discussed below. Supply Chain Impact on Production Schedules. We experienced supply chain improvements compared to 2022, with a return to normal in 2023. The ease in supply chain disruptions contributed to higher levels of production compared to prior year. As a result, our production schedules in 2023 were more aligned with the customers’ seasonal use of our products, marking a return to historical seasonal production patterns and on-time product delivery. Additionally, supply chain improvements contributed to reductions in premium freight costs, moderation in material cost increases, and disciplined inventory management in 2023. In 2022, supply chain disruptions impacted many aspects of our business, including receiving past due deliveries from suppliers, parts availability, increased production costs, and higher inventory levels.Interest Rates. Central bank policy interest rates increased in 2022 and 2023. Increased rates impacted us in several ways, primarily affecting the financing spreads for the financial services operations, and may impact future demand for our products.Most retail customer receivables are fixed rate. Wholesale financing receivables generally are variable rate. Both types of"
    },
    {
      "status": "MODIFIED",
      "current_title": "2023 compared to 2022",
      "prior_title": "2022 compared to 2021",
      "similarity_score": 0.459,
      "confidence": "low",
      "key_changes": [
        "Reworded sentence: \"Please refer to the “Management’s Discussion and Analysis” section of our 2023 Form 10-K.\""
      ],
      "current_body": "Please refer to the “Management’s Discussion and Analysis” section of our 2023 Form 10-K. 2023 Form 10-K ​ ​ ​ ​ ​ ​",
      "prior_body": "Please refer to the “Management’s Discussion and Analysis” section of our 2022 Form 10-K. 2022 Form 10-K ​ ​ ​ ​ ​ ​"
    },
    {
      "status": "UNCHANGED",
      "current_title": "Product Warranties",
      "prior_title": "Product Warranties",
      "current_body": "A standard warranty is provided as an assurance that our equipment will function as intended. The standard warranty period varies by product and region. At the time a sale is recognized, we record an estimate of future warranty costs, based on the following calculation: The historical claims rate is determined by a review of five-year claims costs. The estimated population is based on dealer inventories and retail sales. These estimates are reviewed quarterly. Adjustments are also made for current quality developments."
    },
    {
      "status": "UNCHANGED",
      "current_title": "Changes in tax rates, tax legislation, or exposure to additional tax liabilities could have a negative effect on our business.",
      "prior_title": "Changes in tax rates, tax legislation, or exposure to additional tax liabilities could have a negative effect on our business.",
      "current_body": "We are subject to income taxes in the U.S. and numerous foreign jurisdictions. Our domestic and international tax liabilities are dependent upon the location of earnings among these different jurisdictions. Tax rates in various jurisdictions may be subject to significant change. Our effective tax rates could be affected by changes in the mix of earnings in countries with differing statutory tax rates, changes in the valuation of deferred tax assets and liabilities, or changes in tax laws or their interpretations. If our effective tax rates were to increase, or if the ultimate determination of taxes owed is for an amount more than amounts previously accrued, our operating results, cash flows, and financial condition could be adversely affected."
    },
    {
      "status": "UNCHANGED",
      "current_title": "SUPPLEMENTAL CONSOLIDATING DATA (continued)",
      "prior_title": "SUPPLEMENTAL CONSOLIDATING DATA (continued)",
      "current_body": "​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​"
    },
    {
      "status": "UNCHANGED",
      "current_title": "LIABILITIES AND STOCKHOLDERS’ EQUITY",
      "prior_title": "LIABILITIES AND STOCKHOLDERS’ EQUITY",
      "current_body": "​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​"
    },
    {
      "status": "UNCHANGED",
      "current_title": "SUPPLEMENTAL CONSOLIDATING DATA (continued)",
      "prior_title": "SUPPLEMENTAL CONSOLIDATING DATA (continued)",
      "current_body": "​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​"
    },
    {
      "status": "UNCHANGED",
      "current_title": "Sales Incentives",
      "prior_title": "Sales Incentives",
      "current_body": "We provide sales incentives to dealers. These incentives are offered in two forms: The estimated cost of these programs is based on: At the time a sale is recognized, we record an estimate of the sales incentive costs. The final cost is determined at the end of the volume bonus measurement period or at the time of the retail sale. There are numerous programs available at any time, and new programs may be announced after we record the equipment sale to the dealer. Changes in the mix and types of sales incentive programs affect these estimates, which are reviewed quarterly. Actual cost differences from the original cost estimate are recognized in “Net sales.”"
    },
    {
      "status": "UNCHANGED",
      "current_title": "ISSUER PURCHASES OF EQUITY SECURITIES",
      "prior_title": "ISSUER PURCHASES OF EQUITY SECURITIES",
      "current_body": "​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Maximum ​ ​ ​ ​ ​ ​ ​"
    },
    {
      "status": "UNCHANGED",
      "current_title": "Our consolidated financial results are reported in U.S. dollars while certain assets and other reported items are denominated in foreign currencies, creating currency exchange and translation risk.",
      "prior_title": "Our consolidated financial results are reported in U.S. dollars while certain assets and other reported items are denominated in foreign currencies, creating currency exchange and translation risk.",
      "current_body": "We are a global company with transactions denominated in a variety of currencies. We are subject to currency exchange risk to the extent that our costs are denominated in currencies other than those in which we earn our revenues. Additionally, the reporting currency for our consolidated financial statements is the U.S. dollar. Certain of our assets, liabilities, expenses, and revenues are denominated in other countries’ currencies, which are then translated into U.S. dollars at the applicable exchange rates and reported in our consolidated financial statements. Therefore, fluctuations in foreign exchange rates affect the value of those items as reflected in our consolidated financial statements, even if their value remains unchanged in the original currencies. While the use of currency hedging instruments may provide us with some protection from adverse fluctuations in currency exchange rates, by utilizing these instruments we potentially forego any benefits that may result from favorable fluctuations in such rates. In Argentina, we have employed mechanisms to convert Argentine pesos into U.S. dollars to the extent possible. These mechanisms are short-term in nature, leaving us exposed to long-term currency fluctuations."
    },
    {
      "status": "UNCHANGED",
      "current_title": "Our business could be adversely affected by the infringement or loss of intellectual property rights.",
      "prior_title": "Our business could be adversely affected by the infringement or loss of intellectual property rights.",
      "current_body": "We protect our intellectual property with a combination of patents, trademarks, copyrights, trade secret laws, and legal agreements. We heavily rely on certain trademarks to protect our identity and customer recognition of our products and services, including, but not limited to, the “John Deere” mark, the leaping deer logo, the “Nothing Runs Like a Deere” slogan, and the green and yellow color combination. These trademarks, as well as the many patents that protect innovations used in our products, are integral to our business, and their loss could have a material adverse effect on us. Additionally, third parties may initiate legal proceedings to challenge the validity of our intellectual property or allege that we infringe on their intellectual property. We may incur substantial costs if third parties initiate such legal proceedings, or if we initiate legal proceedings to protect or enforce our intellectual property. If the outcome of any such legal proceedings is unfavorable to us, our business could be adversely affected."
    },
    {
      "status": "UNCHANGED",
      "current_title": "We may be affected by changing worldwide demand for food and different forms of renewable energy, which could impact the price of farm commodities and consequently the demand for our equipment. This could result in higher research and development costs related to changing machine fuel requirements.",
      "prior_title": "We may be affected by changing worldwide demand for food and different forms of renewable energy, which could impact the price of farm commodities and consequently the demand for our equipment. This could result in higher research and development costs related to changing machine fuel requirements.",
      "current_body": "Changing worldwide demand for farm outputs to meet the world’s growing food and renewable energy demands, driven in part by government policies, including those related to climate change, and a growing world population, are likely to result in fluctuating agricultural commodity prices, which directly affect sales of agricultural equipment. Lower agricultural commodity prices directly affect farm incomes, which negatively affect sales of agricultural equipment and result in higher credit losses. While higher commodity prices benefit our crop-producing agricultural equipment customers, they could result in greater feed costs for livestock and poultry producers, which in turn may result in lower levels of equipment purchased by these customers. In addition, changing energy demands may cause farmers to change the types or quantities of the crops they raise, with corresponding changes in equipment demands. Finally, changes in governmental policies regulating fuel utilization, including biofuel, affect commodity demand and commodity prices, demand for our diesel-fueled equipment, and result in higher research and development costs related to equipment fuel standards."
    },
    {
      "status": "UNCHANGED",
      "current_title": "Disclosure Controls and Procedures",
      "prior_title": "Disclosure Controls and Procedures",
      "current_body": "Our principal executive officer and our principal financial officer have concluded that our disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) of the Securities Exchange Act of 1934, as amended (the Exchange Act)) were effective as of October 27, 2024, based on the evaluation of these controls and procedures required by Rule 13a-15(b) or 15d-15(b) of the Exchange Act."
    },
    {
      "status": "UNCHANGED",
      "current_title": "Any unauthorized control or manipulation of our products’ systems could result in loss of confidence in us and our products.",
      "prior_title": "Any unauthorized control or manipulation of our products’ systems could result in loss of confidence in us and our products.",
      "current_body": "Some of our products include connectivity hardware and software typically used for remote system updates. While we have implemented security measures intended to protect against unauthorized remote access to these products, malicious threat actors have attempted, and may attempt in the future, to gain unauthorized access to such products in order to gain control of the products, change the products’ functionality, user interface, or performance characteristics, interfere with the products’ operations, or gain access to data stored in or generated by the products or to systems to which they connect. In addition, reports of unauthorized access to our products, systems, and data, regardless of their reliability, may result in the perception that the products, systems, or data are vulnerable to malicious or unauthorized modifications. Any unauthorized access to or control of our products or systems, any loss of data, or any perception that products, systems, or data are vulnerable could result in loss of sales based on customers’ loss of confidence in our products, legal claims or proceedings against us, government investigation, liability, or regulatory penalties, which could adversely affect our business, results of operations, and financial condition."
    },
    {
      "status": "UNCHANGED",
      "current_title": "Unfavorable weather conditions or natural catastrophes that reduce agricultural production and demand for agriculture and turf equipment could directly and indirectly affect our business.",
      "prior_title": "Unfavorable weather conditions or natural catastrophes that reduce agricultural production and demand for agriculture and turf equipment could directly and indirectly affect our business.",
      "current_body": "The purchasing decisions of our customers, particularly the purchasers of agriculture and turf equipment, can be significantly affected by poor or unusual weather conditions. Such conditions include: Each of these conditions could negatively affect demand for agricultural and turf equipment and the financial condition and credit risk of our dealers and customers."
    },
    {
      "status": "UNCHANGED",
      "current_title": "Operating Lease Residual Values",
      "prior_title": "Operating Lease Residual Values",
      "current_body": "Equipment on operating leases is depreciated to the estimated residual value over the lease term. The residual values are based on several factors, including: 36 36 36 Table of Contents​●return experience, ●intended equipment use, ●market dynamics and trends, and ●dealer residual value guarantees. We review residual value estimates during the lease term. Depreciation is adjusted over the remaining lease term if residual estimates are revised. Impairments are recorded when events or circumstances necessitate. At the end of the majority of leases, the equipment is disposed in the following sequence: ●The lessee has the option to purchase the equipment for the contractual residual value. ●The dealer has the option to purchase the equipment.●The equipment is sold to a third party at the equipment’s fair value. In this situation, we may record a gain or a loss for the difference between the residual value and the sale price. Operating Lease Residual ValuesHypothetically, if (a) future market values for this equipment were to decrease 10 percent from our present estimates, and (b) all the equipment on operating leases were returned to us for remarketing at the end of the lease term, the total unfavorable impact after consideration of dealer residual value guarantees would be approximately $75. This amount would be recognized as higher depreciation expense over the remaining term of the operating leases, or potentially as an impairment.Income TaxesWe are subject to federal, state, and foreign income taxes. These tax laws can be complex. Significant judgment and interpretation is required to implement them. Changes in tax laws could materially affect our consolidated financial statements. We record our tax positions in the following categories:●current taxes,●deferred taxes, and●uncertain tax positions.Deferred income taxes represent temporary differences between the tax and the financial reporting basis of assets and liabilities. This will result in taxable or deductible amounts in the future. Loss carryforwards and tax credits are significant components of deferred tax asset balances. These assets are reviewed regularly for the following: ●the likelihood of recoverability from future taxable income, ●reversal of deferred tax liabilities, and ●tax planning strategies. Valuation allowances are established when we determine that the deferred tax benefit may not be realized. The recoverability analysis requires significant judgment and relies on estimates. The valuation allowance as of October 27, 2024 was $1.6 billion. Changes in foreign income tax laws, income for certain jurisdictions, or our tax structure could impact the valuation allowance balance.Some tax positions contain significant uncertainties. These positions may be challenged or disallowed by taxing authorities. If it is likely the position will be disallowed, no tax benefit is recorded. If it is likely the position will be sustained, a tax benefit is recognized. The ultimate resolution could take many years. This may result in a payment that is significantly different from the original estimate.See Note 8 for further information on income taxes.FORWARD-LOOKING STATEMENTSCertain statements contained herein, including in the section entitled “Overview” relating to future events, expectations, and trends constitute “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995 and involve factors that are subject to change, assumptions, risks, and uncertainties that could cause actual results to differ materially. Some of these risks and uncertainties could affect all lines of our operations generally while others could more heavily affect a particular line of business.Forward-looking statements are based on currently available information and current assumptions, expectations, and projections about future events and should not be relied upon. Except as required by law, we expressly disclaim any obligation to update or revise our forward-looking statements. Many factors, risks, and uncertainties could cause actual results to differ materially from these forward-looking statements. Among these factors are risks related to: ●the agricultural business cycle, which can be unpredictable and is affected by factors such as world grain stocks, harvest yields, available farm acres, acreage planted, soil conditions, prices for commodities and livestock, input costs, availability of transport for crops as well as adverse macroeconomic conditions, including unemployment, inflation, interest rate volatility, changes in consumer practices due to slower economic growth, and regional or global liquidity constraints; these constraints may impact our customers and dealers, resulting in higher provisions for credit losses and write-offs;●uncertainty of government policies and actions after recent U.S. elections in respect to global trade, tariffs, trade agreements, and energy, and the uncertainty of our ability to internationally sell products based on these actions and policies;●higher interest rates and currency fluctuations which could adversely affect the U.S. dollar, customer confidence, access to capital, and demand for our products and solutions;●our ability to adapt in highly competitive markets, including understanding and meeting customers’ changing expectations for products and solutions, including delivery and utilization of precision technology;37 Table of Contents​ Table of Contents Table of Contents ​ ●return experience, ●intended equipment use, ●market dynamics and trends, and ●dealer residual value guarantees. We review residual value estimates during the lease term. Depreciation is adjusted over the remaining lease term if residual estimates are revised. Impairments are recorded when events or circumstances necessitate. At the end of the majority of leases, the equipment is disposed in the following sequence: ●The lessee has the option to purchase the equipment for the contractual residual value. ●The dealer has the option to purchase the equipment.●The equipment is sold to a third party at the equipment’s fair value. In this situation, we may record a gain or a loss for the difference between the residual value and the sale price. Operating Lease Residual ValuesHypothetically, if (a) future market values for this equipment were to decrease 10 percent from our present estimates, and (b) all the equipment on operating leases were returned to us for remarketing at the end of the lease term, the total unfavorable impact after consideration of dealer residual value guarantees would be approximately $75. This amount would be recognized as higher depreciation expense over the remaining term of the operating leases, or potentially as an impairment.Income TaxesWe are subject to federal, state, and foreign income taxes. These tax laws can be complex. Significant judgment and interpretation is required to implement them. Changes in tax laws could materially affect our consolidated financial statements. We record our tax positions in the following categories:●current taxes,●deferred taxes, and●uncertain tax positions.Deferred income taxes represent temporary differences between the tax and the financial reporting basis of assets and liabilities. This will result in taxable or deductible amounts in the future. Loss carryforwards and tax credits are significant components of deferred tax asset balances. These assets are reviewed regularly for the following: ●the likelihood of recoverability from future taxable income, ●reversal of deferred tax liabilities, and ●tax planning strategies. Valuation allowances are established when we determine that the deferred tax benefit may not be realized. The recoverability analysis requires significant judgment and relies on estimates. The valuation allowance as of October 27, 2024 was $1.6 billion. Changes in foreign income tax laws, income for certain jurisdictions, or our tax structure could impact the valuation allowance balance.Some tax positions contain significant uncertainties. These positions may be challenged or disallowed by taxing authorities. If it is likely the position will be disallowed, no tax benefit is recorded. If it is likely the position will be sustained, a tax benefit is recognized. The ultimate resolution could take many years. This may result in a payment that is significantly different from the original estimate.See Note 8 for further information on income taxes.FORWARD-LOOKING STATEMENTSCertain statements contained herein, including in the section entitled “Overview” relating to future events, expectations, and trends constitute “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995 and involve factors that are subject to change, assumptions, risks, and uncertainties that could cause actual results to differ materially. Some of these risks and uncertainties could affect all lines of our operations generally while others could more heavily affect a particular line of business.Forward-looking statements are based on currently available information and current assumptions, expectations, and projections about future events and should not be relied upon. Except as required by law, we expressly disclaim any obligation to update or revise our forward-looking statements. Many factors, risks, and uncertainties could cause actual results to differ materially from these forward-looking statements. Among these factors are risks related to: ●the agricultural business cycle, which can be unpredictable and is affected by factors such as world grain stocks, harvest yields, available farm acres, acreage planted, soil conditions, prices for commodities and livestock, input costs, availability of transport for crops as well as adverse macroeconomic conditions, including unemployment, inflation, interest rate volatility, changes in consumer practices due to slower economic growth, and regional or global liquidity constraints; these constraints may impact our customers and dealers, resulting in higher provisions for credit losses and write-offs;●uncertainty of government policies and actions after recent U.S. elections in respect to global trade, tariffs, trade agreements, and energy, and the uncertainty of our ability to internationally sell products based on these actions and policies;●higher interest rates and currency fluctuations which could adversely affect the U.S. dollar, customer confidence, access to capital, and demand for our products and solutions;●our ability to adapt in highly competitive markets, including understanding and meeting customers’ changing expectations for products and solutions, including delivery and utilization of precision technology; ●return experience, ●intended equipment use, ●market dynamics and trends, and ●dealer residual value guarantees. We review residual value estimates during the lease term. Depreciation is adjusted over the remaining lease term if residual estimates are revised. Impairments are recorded when events or circumstances necessitate. At the end of the majority of leases, the equipment is disposed in the following sequence: ●The lessee has the option to purchase the equipment for the contractual residual value. ●The dealer has the option to purchase the equipment.●The equipment is sold to a third party at the equipment’s fair value. In this situation, we may record a gain or a loss for the difference between the residual value and the sale price. Operating Lease Residual ValuesHypothetically, if (a) future market values for this equipment were to decrease 10 percent from our present estimates, and (b) all the equipment on operating leases were returned to us for remarketing at the end of the lease term, the total unfavorable impact after consideration of dealer residual value guarantees would be approximately $75. This amount would be recognized as higher depreciation expense over the remaining term of the operating leases, or potentially as an impairment.Income TaxesWe are subject to federal, state, and foreign income taxes. These tax laws can be complex. Significant judgment and interpretation is required to implement them. Changes in tax laws could materially affect our consolidated financial statements. We record our tax positions in the following categories:●current taxes,●deferred taxes, and●uncertain tax positions.Deferred income taxes represent temporary differences between the tax and the financial reporting basis of assets and liabilities. This will result in taxable or deductible amounts in the future. Loss carryforwards and tax credits are significant components of deferred tax asset balances. These assets are reviewed regularly for the following: ●the likelihood of recoverability from future taxable income, ●reversal of deferred tax liabilities, and ●tax planning strategies. Valuation allowances are established when we determine that the deferred tax benefit may not be realized. The recoverability analysis requires significant judgment and relies on estimates. The valuation allowance as of October 27, 2024 was $1.6 billion. Changes in foreign income tax laws, income for certain jurisdictions, or our tax structure could impact the valuation allowance balance.Some tax positions contain significant uncertainties. These positions may be challenged or disallowed by taxing authorities. If it is likely the position will be disallowed, no tax benefit is recorded. If it is likely the position will be sustained, a tax benefit is recognized. The ultimate resolution could take many years. This may result in a payment that is significantly different from the original estimate.See Note 8 for further information on income taxes.FORWARD-LOOKING STATEMENTSCertain statements contained herein, including in the section entitled “Overview” relating to future events, expectations, and trends constitute “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995 and involve factors that are subject to change, assumptions, risks, and uncertainties that could cause actual results to differ materially. Some of these risks and uncertainties could affect all lines of our operations generally while others could more heavily affect a particular line of business.Forward-looking statements are based on currently available information and current assumptions, expectations, and projections about future events and should not be relied upon. Except as required by law, we expressly disclaim any obligation to update or revise our forward-looking statements. Many factors, risks, and uncertainties could cause actual results to differ materially from these forward-looking statements. Among these factors are risks related to: ●the agricultural business cycle, which can be unpredictable and is affected by factors such as world grain stocks, harvest yields, available farm acres, acreage planted, soil conditions, prices for commodities and livestock, input costs, availability of transport for crops as well as adverse macroeconomic conditions, including unemployment, inflation, interest rate volatility, changes in consumer practices due to slower economic growth, and regional or global liquidity constraints; these constraints may impact our customers and dealers, resulting in higher provisions for credit losses and write-offs;●uncertainty of government policies and actions after recent U.S. elections in respect to global trade, tariffs, trade agreements, and energy, and the uncertainty of our ability to internationally sell products based on these actions and policies;●higher interest rates and currency fluctuations which could adversely affect the U.S. dollar, customer confidence, access to capital, and demand for our products and solutions;●our ability to adapt in highly competitive markets, including understanding and meeting customers’ changing expectations for products and solutions, including delivery and utilization of precision technology; ●return experience, ●intended equipment use, ●market dynamics and trends, and ●dealer residual value guarantees. We review residual value estimates during the lease term. Depreciation is adjusted over the remaining lease term if residual estimates are revised. Impairments are recorded when events or circumstances necessitate. At the end of the majority of leases, the equipment is disposed in the following sequence: ●The lessee has the option to purchase the equipment for the contractual residual value. ●The dealer has the option to purchase the equipment.●The equipment is sold to a third party at the equipment’s fair value. In this situation, we may record a gain or a loss for the difference between the residual value and the sale price. Operating Lease Residual ValuesHypothetically, if (a) future market values for this equipment were to decrease 10 percent from our present estimates, and (b) all the equipment on operating leases were returned to us for remarketing at the end of the lease term, the total unfavorable impact after consideration of dealer residual value guarantees would be approximately $75. This amount would be recognized as higher depreciation expense over the remaining term of the operating leases, or potentially as an impairment.Income TaxesWe are subject to federal, state, and foreign income taxes. These tax laws can be complex. Significant judgment and interpretation is required to implement them. Changes in tax laws could materially affect our consolidated financial statements. We record our tax positions in the following categories:●current taxes,●deferred taxes, and●uncertain tax positions.Deferred income taxes represent temporary differences between the tax and the financial reporting basis of assets and liabilities. This will result in taxable or deductible amounts in the future. Loss carryforwards and tax credits are significant components of deferred tax asset balances. These assets are reviewed regularly for the following: ●the likelihood of recoverability from future taxable income, ●reversal of deferred tax liabilities, and ●tax planning strategies. Valuation allowances are established when we determine that the deferred tax benefit may not be realized. The recoverability analysis requires significant judgment and relies on estimates. The valuation allowance as of October 27, 2024 was $1.6 billion. Changes in foreign income tax laws, income for certain jurisdictions, or our tax structure could impact the valuation allowance balance.Some tax positions contain significant uncertainties. These positions may be challenged or disallowed by taxing authorities. If it is likely the position will be disallowed, no tax benefit is recorded. If it is likely the position will be sustained, a tax benefit is recognized. The ultimate resolution could take many years. This may result in a payment that is significantly different from the original estimate.See Note 8 for further information on income taxes.FORWARD-LOOKING STATEMENTSCertain statements contained herein, including in the section entitled “Overview” relating to future events, expectations, and trends constitute “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995 and involve factors that are subject to change, assumptions, risks, and uncertainties that could cause actual results to differ materially. Some of these risks and uncertainties could affect all lines of our operations generally while others could more heavily affect a particular line of business.Forward-looking statements are based on currently available information and current assumptions, expectations, and projections about future events and should not be relied upon. Except as required by law, we expressly disclaim any obligation to update or revise our forward-looking statements. Many factors, risks, and uncertainties could cause actual results to differ materially from these forward-looking statements. Among these factors are risks related to: ●the agricultural business cycle, which can be unpredictable and is affected by factors such as world grain stocks, harvest yields, available farm acres, acreage planted, soil conditions, prices for commodities and livestock, input costs, availability of transport for crops as well as adverse macroeconomic conditions, including unemployment, inflation, interest rate volatility, changes in consumer practices due to slower economic growth, and regional or global liquidity constraints; these constraints may impact our customers and dealers, resulting in higher provisions for credit losses and write-offs;●uncertainty of government policies and actions after recent U.S. elections in respect to global trade, tariffs, trade agreements, and energy, and the uncertainty of our ability to internationally sell products based on these actions and policies;●higher interest rates and currency fluctuations which could adversely affect the U.S. dollar, customer confidence, access to capital, and demand for our products and solutions;●our ability to adapt in highly competitive markets, including understanding and meeting customers’ changing expectations for products and solutions, including delivery and utilization of precision technology; ●return experience, ●intended equipment use, ●market dynamics and trends, and ●dealer residual value guarantees. We review residual value estimates during the lease term. Depreciation is adjusted over the remaining lease term if residual estimates are revised. Impairments are recorded when events or circumstances necessitate. At the end of the majority of leases, the equipment is disposed in the following sequence: ●The lessee has the option to purchase the equipment for the contractual residual value. ●The dealer has the option to purchase the equipment.●The equipment is sold to a third party at the equipment’s fair value. In this situation, we may record a gain or a loss for the difference between the residual value and the sale price. Operating Lease Residual ValuesHypothetically, if (a) future market values for this equipment were to decrease 10 percent from our present estimates, and (b) all the equipment on operating leases were returned to us for remarketing at the end of the lease term, the total unfavorable impact after consideration of dealer residual value guarantees would be approximately $75. This amount would be recognized as higher depreciation expense over the remaining term of the operating leases, or potentially as an impairment.Income TaxesWe are subject to federal, state, and foreign income taxes. These tax laws can be complex. Significant judgment and interpretation is required to implement them. Changes in tax laws could materially affect our consolidated financial statements. We record our tax positions in the following categories:●current taxes,●deferred taxes, and●uncertain tax positions.Deferred income taxes represent temporary differences between the tax and the financial reporting basis of assets and liabilities. This will result in taxable or deductible amounts in the future. Loss carryforwards and tax credits are significant components of deferred tax asset balances. These assets are reviewed regularly for the following: ●the likelihood of recoverability from future taxable income, ●reversal of deferred tax liabilities, and ●tax planning strategies. Valuation allowances are established when we determine that the deferred tax benefit may not be realized. The recoverability We review residual value estimates during the lease term. Depreciation is adjusted over the remaining lease term if residual estimates are revised. Impairments are recorded when events or circumstances necessitate. At the end of the majority of leases, the equipment is disposed in the following sequence:"
    },
    {
      "status": "UNCHANGED",
      "current_title": "Disputes with labor unions may adversely affect our ability to operate in our facilities as well as impact our financial results.",
      "prior_title": "Disputes with labor unions may adversely affect our ability to operate in our facilities as well as impact our financial results.",
      "current_body": "Many of our production and maintenance employees are represented by labor unions under various collective bargaining agreements with different expiration dates. Our failure to successfully renegotiate labor agreements as they expire has from time to time led, and could in the future lead, to work stoppages or other disputes with labor unions. Certain of our labor agreements expire as early as 2025. Disruptions to our manufacturing and parts-distribution facilities through various forms of labor disputes could adversely affect us. Any strike, work stoppage, or other dispute with a labor union distracts management from operating the business, may displace employees from ordinary job positions to fill in vacant positions, may affect our reputation, and could materially adversely affect our business, results of operations, and financial condition."
    },
    {
      "status": "UNCHANGED",
      "current_title": "Management’s Discussion and Analysis of Financial Condition and Results of Operations (MD&A) is intended to promote understanding of our financial condition and results of operations. The MD&A is provided as a supplement to, and should be read in conjunction with, the consolidated financial statements and the accompanying Notes to Consolidated Financial Statements. All amounts are presented in millions of dollars, unless otherwise specified. For comparison of 2023 to 2022 results, refer to the “Management’s Discussion and Analysis” section of our 2023 Form 10-K.",
      "prior_title": "Management’s Discussion and Analysis of Financial Condition and Results of Operations (MD&A) is intended to promote understanding of our financial condition and results of operations. The MD&A is provided as a supplement to, and should be read in conjunction with, the consolidated financial statements and the accompanying Notes to Consolidated Financial Statements. All amounts are presented in millions of dollars, unless otherwise specified. For comparison of 2022 to 2021 results, refer to the “Management’s Discussion and Analysis” section of our 2022 Form 10-K.",
      "current_body": "​ ​ ​ ​ ​ ​ OVERVIEW ​ Deere & Company is a global leader in the production of agricultural, turf, construction, and forestry equipment and solutions. John Deere Financial provides financing for John Deere equipment, parts, services, and other inputs customers need to run their operations. Our operations are managed through the production and precision agriculture (PPA), small agriculture and turf (SAT), construction and forestry (CF), and financial services operating segments. References to “equipment operations” include PPA, SAT, and CF, while references to “agriculture and turf” include both PPA and SAT."
    },
    {
      "status": "UNCHANGED",
      "current_title": "We could be impacted by changes to or reallocation of radio frequency (RF) bands which could disrupt or degrade the reliability of our high precision augmented Global Positioning System (GPS) or other RF technology, which could impair our ability to develop and market GPS- and RF-based technology solutions, as well as significantly reduce agricultural and construction customers’ profitability.",
      "prior_title": "We could be impacted by changes to or reallocation of radio frequency (RF) bands which could disrupt or degrade the reliability of our high precision augmented Global Positioning System (GPS) or other RF technology, which could impair our ability to develop and market GPS- and RF-based technology solutions, as well as significantly reduce agricultural and construction customers’ profitability.",
      "current_body": "Our current and planned integrated agricultural business and equipment management systems, as well as our fleet management telematics solutions for construction equipment, depend upon the use of RF signals. These signals include, but are not limited to, GPS signals, other GPS-like satellite signals, augmented GPS services, and other RF technologies that link equipment, operations, owners, dealers, and technicians. These radio services depend on frequency allocations governed by international and national government agencies. Any international or national reallocation of frequency bands, including frequency bands segmentation and band spectrum sharing, or other modifications concerning the regulation of frequency bands, could significantly disrupt or degrade the utility and reliability of our GPS-based products, which could negatively affect our ability to develop and market GPS-based technology solutions. In January 2024, we entered into an agreement with SpaceX and its Starlink network to provide satellite communications (SATCOM) service to farmers facing rural connectivity challenges, with an initial focus on Brazil. Most recently, Brazil’s regulators threatened to sanction Starlink’s broadband coverage based on alleged hate speech and misinformation posted on the X platform, which like Starlink, is owned by Elon Musk. If regulators sanction Starlink or Starlink is otherwise subject to other issues that impair its ability to operate its SATCOM solution either in Brazil or elsewhere, our rural connectivity offering would be adversely affected or impaired. In addition, disruptions with GPS signals or the failure of telecommunications network operators to supply the bandwidth we need to support our products could interfere with the speed, availability, and usability of our equipment and services. If these GPS signals or RF signals become unavailable, our customers could be unable to use their equipment indefinitely. For our agricultural customers, this could result in lower crop yields, decreased operational efficiency, and higher equipment maintenance, seed, fertilizer, fuel, and wage costs. For construction customers, this could result in higher fuel and equipment maintenance costs, as well as lower construction design and project management efficiencies. These cost increases could significantly reduce customers’ profitability, sustainability, and demand for our products. As a result, our sales and revenue could significantly decrease, which would have a material adverse effect on our results of operations and our business."
    },
    {
      "status": "UNCHANGED",
      "current_title": "We may not realize anticipated benefits of acquisitions, joint ventures, and divestitures, or these benefits may take longer to realize than expected.",
      "prior_title": "We may not realize all anticipated benefits of acquisitions, joint ventures, and divestitures, or these benefits may take longer to realize than expected.",
      "current_body": "From time to time, we make strategic acquisitions and divestitures and participate in joint ventures. Acquisitions and joint ventures we have entered into, or may enter into in the future, may involve significant challenges and risks, including that the acquisitions or joint ventures do not advance our business strategy, or fail to produce satisfactory returns on investment. Other risks include: We may also decide to divest businesses and terminate joint ventures before their stated expiration. Divestitures of businesses or dissolutions of joint ventures may involve significant challenges and risks, including failure to advance our business strategy, costs and disruptions to us, and negative effects on our product offerings, which may adversely affect our business, results of operations, and financial condition. Divestitures of businesses and dissolutions of joint ventures may result in ongoing financial or legal involvement in the divested business through indemnifications or other financial arrangements, such as retained liabilities, which could affect our future financial results."
    },
    {
      "status": "UNCHANGED",
      "current_title": "SUPPLEMENTAL CONSOLIDATING DATA",
      "prior_title": "SUPPLEMENTAL CONSOLIDATING DATA",
      "current_body": "The supplemental consolidating data presented on the subsequent pages is presented for informational purposes. Equipment operations represent the enterprise without financial services. Equipment operations include production and precision agriculture operations, small agriculture and turf operations, construction and forestry operations, and other corporate assets, liabilities, revenues, and expenses not reflected within financial services. Transactions between the equipment operations and financial services have been eliminated to arrive at the consolidated financial statements. Equipment operations and financial services participate in different industries. Equipment operations primarily generate earnings and cash flows by manufacturing and selling equipment, service parts, and technology solutions to dealers and retail customers. Financial services finance sales and leases by dealers of new and used equipment that is largely manufactured by equipment operations. Those earnings and cash flows generally are the difference between the finance income received from customer payments less interest expense, and depreciation on equipment subject to an operating lease. The two businesses are capitalized differently and have separate performance metrics. The supplemental consolidating data is also used by management due to these differences. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​"
    },
    {
      "status": "UNCHANGED",
      "current_title": "Effect of Exchange Rate Changes on Cash, Cash Equivalents, and Restricted Cash",
      "prior_title": "Effect of Exchange Rate Changes on Cash, Cash Equivalents, and Restricted Cash",
      "current_body": "​ ​ (15) ​ ​ 24 ​ ​ (209) ​ ​ (22) ​ ​ 7 ​ ​ (15) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ (37) ​ ​ 31 ​ ​ (224) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​"
    },
    {
      "status": "UNCHANGED",
      "current_title": "Cash, Cash Equivalents, and Restricted Cash at Beginning of Year",
      "prior_title": "Cash, Cash Equivalents, and Restricted Cash at Beginning of Year",
      "current_body": "​ ​ 5,755 ​ ​ 3,781 ​ ​ 7,200 ​ ​ 1,865 ​ ​ 1,160 ​ ​ 925 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 7,620 ​ ​ 4,941 ​ ​ 8,125 ​ ​ ​"
    },
    {
      "status": "UNCHANGED",
      "current_title": "CRITICAL ACCOUNTING ESTIMATES",
      "prior_title": "2024 and Beyond",
      "current_body": "​ ​ The timely preparation of financial statements requires management to make estimates and assumptions. Those estimates affect reported amounts in these financial statements. Changes in those estimates and assumptions could have a significant effect. The following estimates are the most critical to our financial statements: 34 34 34 Table of Contents​●postretirement benefit obligations,●allowance for credit losses,●operating lease residual values, and●income taxes. These items require the most difficult, subjective, or complex judgments. Our accounting policies are described primarily in Note 2 of our consolidated financial statements.Sales IncentivesWe provide sales incentives to dealers. These incentives are offered in two forms:●volume bonuses – awarded based on a dealer’s sales volume and performance, and●retail sales incentive programs – discounts or financing programs that are due when the dealer sells the equipment to a retail customer. The estimated cost of these programs is based on:●historical data, ●announced and expected incentive programs, ●field inventory levels, and ●forecasted sales volumes. At the time a sale is recognized, we record an estimate of the sales incentive costs. The final cost is determined at the end of the volume bonus measurement period or at the time of the retail sale. There are numerous programs available at any time, and new programs may be announced after we record the equipment sale to the dealer. Changes in the mix and types of sales incentive programs affect these estimates, which are reviewed quarterly. Actual cost differences from the original cost estimate are recognized in “Net sales.”Sales Incentive AccrualsThe accruals recorded against receivables relate to programs where we have the contractual right and the intent to offset against existing receivables. The decrease in 2024 resulted from lower sales. A key assumption of the retail sales incentive accrual is the predictive value of the historical percent of retail sales incentive costs to retail sales. Over the last five fiscal years, this percent has varied by an average of 1.0 percent. Holding other assumptions constant, a 1.0 percent change would have modified the sales incentive accrual by about $135.​Product WarrantiesA standard warranty is provided as an assurance that our equipment will function as intended. The standard warranty period varies by product and region. At the time a sale is recognized, we record an estimate of future warranty costs, based on the following calculation:●historical claims rate experience – multiplied by –●the estimated population. The historical claims rate is determined by a review of five-year claims costs. The estimated population is based on dealer inventories and retail sales. These estimates are reviewed quarterly. Adjustments are also made for current quality developments. Product Warranty AccrualsThe decrease in 2024 is the result of lower sales volumes. Product warranty accrual estimates are affected by the historical percent of warranty claims costs as a percentage of gross sales. Over the last five fiscal years, the percent has varied plus or minus .09 percent. Holding all other assumptions constant, if this estimated cost experience percent would have increased or decreased .09 percent, the warranty accrual at October 27, 2024 would have changed by approximately $50.Postretirement Benefit ObligationsThe pension and OPEB plan obligations (defined benefit) and expenses require the use of estimates. The main estimate is the present value of the projected future benefit payments. These future benefit payments extend several decades.The estimates are based on existing retirement plan provisions. No assumption is made regarding any potential changes to benefit provisions beyond those to which we are presently committed (e.g., in existing labor contracts). The key assumptions used by our actuaries to calculate the estimates include:●discount rates, ●health care cost trend rates, ●expected long-term return on plan assets, ●compensation increases, ●retirement rates, ●mortality rates, and ●expected contributions. Assumptions are set each year-end. These assumptions are not changed during the year unless there is a significant plan event. Actual results that differ from the assumptions affect future expenses and obligations.35 Table of Contents​ Table of Contents Table of Contents ​ ●postretirement benefit obligations,●allowance for credit losses,●operating lease residual values, and●income taxes. These items require the most difficult, subjective, or complex judgments. Our accounting policies are described primarily in Note 2 of our consolidated financial statements.Sales IncentivesWe provide sales incentives to dealers. These incentives are offered in two forms:●volume bonuses – awarded based on a dealer’s sales volume and performance, and●retail sales incentive programs – discounts or financing programs that are due when the dealer sells the equipment to a retail customer. The estimated cost of these programs is based on:●historical data, ●announced and expected incentive programs, ●field inventory levels, and ●forecasted sales volumes. At the time a sale is recognized, we record an estimate of the sales incentive costs. The final cost is determined at the end of the volume bonus measurement period or at the time of the retail sale. There are numerous programs available at any time, and new programs may be announced after we record the equipment sale to the dealer. Changes in the mix and types of sales incentive programs affect these estimates, which are reviewed quarterly. Actual cost differences from the original cost estimate are recognized in “Net sales.”Sales Incentive AccrualsThe accruals recorded against receivables relate to programs where we have the contractual right and the intent to offset against existing receivables. The decrease in 2024 resulted from lower sales. A key assumption of the retail sales incentive accrual is the predictive value of the historical percent of retail sales incentive costs to retail sales. Over the last five fiscal years, this percent has varied by an average of 1.0 percent. Holding other assumptions constant, a 1.0 percent change would have modified the sales incentive accrual by about $135.​Product WarrantiesA standard warranty is provided as an assurance that our equipment will function as intended. The standard warranty period varies by product and region. At the time a sale is recognized, we record an estimate of future warranty costs, based on the following calculation:●historical claims rate experience – multiplied by –●the estimated population. The historical claims rate is determined by a review of five-year claims costs. The estimated population is based on dealer inventories and retail sales. These estimates are reviewed quarterly. Adjustments are also made for current quality developments. Product Warranty AccrualsThe decrease in 2024 is the result of lower sales volumes. Product warranty accrual estimates are affected by the historical percent of warranty claims costs as a percentage of gross sales. Over the last five fiscal years, the percent has varied plus or minus .09 percent. Holding all other assumptions constant, if this estimated cost experience percent would have increased or decreased .09 percent, the warranty accrual at October 27, 2024 would have changed by approximately $50.Postretirement Benefit ObligationsThe pension and OPEB plan obligations (defined benefit) and expenses require the use of estimates. The main estimate is the present value of the projected future benefit payments. These future benefit payments extend several decades.The estimates are based on existing retirement plan provisions. No assumption is made regarding any potential changes to benefit provisions beyond those to which we are presently committed (e.g., in existing labor contracts). The key assumptions used by our actuaries to calculate the estimates include:●discount rates, ●health care cost trend rates, ●expected long-term return on plan assets, ●compensation increases, ●retirement rates, ●mortality rates, and ●expected contributions. Assumptions are set each year-end. These assumptions are not changed during the year unless there is a significant plan event. Actual results that differ from the assumptions affect future expenses and obligations. ●postretirement benefit obligations,●allowance for credit losses,●operating lease residual values, and●income taxes. These items require the most difficult, subjective, or complex judgments. Our accounting policies are described primarily in Note 2 of our consolidated financial statements.Sales IncentivesWe provide sales incentives to dealers. These incentives are offered in two forms:●volume bonuses – awarded based on a dealer’s sales volume and performance, and●retail sales incentive programs – discounts or financing programs that are due when the dealer sells the equipment to a retail customer. The estimated cost of these programs is based on:●historical data, ●announced and expected incentive programs, ●field inventory levels, and ●forecasted sales volumes. At the time a sale is recognized, we record an estimate of the sales incentive costs. The final cost is determined at the end of the volume bonus measurement period or at the time of the retail sale. There are numerous programs available at any time, and new programs may be announced after we record the equipment sale to the dealer. Changes in the mix and types of sales incentive programs affect these estimates, which are reviewed quarterly. Actual cost differences from the original cost estimate are recognized in “Net sales.”Sales Incentive AccrualsThe accruals recorded against receivables relate to programs where we have the contractual right and the intent to offset against existing receivables. The decrease in 2024 resulted from lower sales. A key assumption of the retail sales incentive accrual is the predictive value of the historical percent of retail sales incentive costs to retail sales. Over the last five fiscal years, this percent has varied by an average of 1.0 percent. Holding other assumptions constant, a 1.0 percent change would have modified the sales incentive accrual by about $135.​Product WarrantiesA standard warranty is provided as an assurance that our equipment will function as intended. The standard warranty period varies by product and region. At the time a sale is recognized, we record an estimate of future warranty costs, based on the following calculation:●historical claims rate experience – multiplied by –●the estimated population. The historical claims rate is determined by a review of five-year claims costs. The estimated population is based on dealer inventories and retail sales. These estimates are reviewed quarterly. Adjustments are also made for current quality developments. Product Warranty AccrualsThe decrease in 2024 is the result of lower sales volumes. Product warranty accrual estimates are affected by the historical percent of warranty claims costs as a percentage of gross sales. Over the last five fiscal years, the percent has varied plus or minus .09 percent. Holding all other assumptions constant, if this estimated cost experience percent would have increased or decreased .09 percent, the warranty accrual at October 27, 2024 would have changed by approximately $50.Postretirement Benefit ObligationsThe pension and OPEB plan obligations (defined benefit) and expenses require the use of estimates. The main estimate is the present value of the projected future benefit payments. These future benefit payments extend several decades.The estimates are based on existing retirement plan provisions. No assumption is made regarding any potential changes to benefit provisions beyond those to which we are presently committed (e.g., in existing labor contracts). The key assumptions used by our actuaries to calculate the estimates include:●discount rates, ●health care cost trend rates, ●expected long-term return on plan assets, ●compensation increases, ●retirement rates, ●mortality rates, and ●expected contributions. Assumptions are set each year-end. These assumptions are not changed during the year unless there is a significant plan event. Actual results that differ from the assumptions affect future expenses and obligations. ●postretirement benefit obligations,●allowance for credit losses,●operating lease residual values, and●income taxes. These items require the most difficult, subjective, or complex judgments. Our accounting policies are described primarily in Note 2 of our consolidated financial statements.Sales IncentivesWe provide sales incentives to dealers. These incentives are offered in two forms:●volume bonuses – awarded based on a dealer’s sales volume and performance, and●retail sales incentive programs – discounts or financing programs that are due when the dealer sells the equipment to a retail customer. The estimated cost of these programs is based on:●historical data, ●announced and expected incentive programs, ●field inventory levels, and ●forecasted sales volumes. At the time a sale is recognized, we record an estimate of the sales incentive costs. The final cost is determined at the end of the volume bonus measurement period or at the time of the retail sale. There are numerous programs available at any time, and new programs may be announced after we record the equipment sale to the dealer. Changes in the mix and types of sales incentive programs affect these estimates, which are reviewed quarterly. Actual cost differences from the original cost estimate are recognized in “Net sales.”Sales Incentive AccrualsThe accruals recorded against receivables relate to programs where we have the contractual right and the intent to offset against existing receivables. The decrease in 2024 resulted from lower sales. A key assumption of the retail sales incentive accrual is the predictive value of the historical percent of retail sales incentive costs to retail sales. Over the last five fiscal years, this percent has varied by an average of 1.0 percent. Holding other assumptions constant, a 1.0 percent change would have modified the sales incentive accrual by about $135.​Product WarrantiesA standard warranty is provided as an assurance that our equipment will function as intended. The standard warranty period varies by product and region. At the time a sale is recognized, we record an estimate of future warranty costs, based on the following calculation:●historical claims rate experience – multiplied by –●the estimated population. The historical claims rate is determined by a review of five-year claims costs. The estimated population is based on dealer inventories and retail sales. These estimates are reviewed quarterly. Adjustments are also made for current quality developments. Product Warranty AccrualsThe decrease in 2024 is the result of lower sales volumes. Product warranty accrual estimates are affected by the historical percent of warranty claims costs as a percentage of gross sales. Over the last five fiscal years, the percent has varied plus or minus .09 percent. Holding all other assumptions constant, if this estimated cost experience percent would have increased or decreased .09 percent, the warranty accrual at October 27, 2024 would have changed by approximately $50.Postretirement Benefit ObligationsThe pension and OPEB plan obligations (defined benefit) and expenses require the use of estimates. The main estimate is the present value of the projected future benefit payments. These future benefit payments extend several decades.The estimates are based on existing retirement plan provisions. No assumption is made regarding any potential changes to benefit provisions beyond those to which we are presently committed (e.g., in existing labor contracts). The key assumptions used by our actuaries to calculate the estimates include:●discount rates, ●health care cost trend rates, ●expected long-term return on plan assets, ●compensation increases, ●retirement rates, ●mortality rates, and ●expected contributions. Assumptions are set each year-end. These assumptions are not changed during the year unless there is a significant plan event. Actual results that differ from the assumptions affect future expenses and obligations. ●postretirement benefit obligations,●allowance for credit losses,●operating lease residual values, and●income taxes. These items require the most difficult, subjective, or complex judgments. Our accounting policies are described primarily in Note 2 of our consolidated financial statements.Sales IncentivesWe provide sales incentives to dealers. These incentives are offered in two forms:●volume bonuses – awarded based on a dealer’s sales volume and performance, and●retail sales incentive programs – discounts or financing programs that are due when the dealer sells the equipment to a retail customer. The estimated cost of these programs is based on:●historical data, ●announced and expected incentive programs, ●field inventory levels, and ●forecasted sales volumes. At the time a sale is recognized, we record an estimate of the sales incentive costs. The final cost is determined at the end of the volume bonus measurement period or at the time of the retail sale. There are numerous programs available at any time, and new programs may be announced after we record the equipment sale to the dealer. Changes in the mix and types of sales incentive programs affect these estimates, which are reviewed quarterly. Actual cost differences from the original cost estimate are recognized in “Net sales.”Sales Incentive AccrualsThe accruals recorded against receivables relate to programs where we have the contractual right and the intent to offset against existing receivables. The decrease in 2024 resulted from lower sales. A key assumption of the retail sales incentive accrual is the predictive value of the historical percent of retail sales incentive costs to retail sales. Over the last five fiscal years, this percent has varied by an average of 1.0 percent. Holding other assumptions constant, a 1.0 percent change would have modified the sales incentive accrual by about $135. These items require the most difficult, subjective, or complex judgments. Our accounting policies are described primarily in Note 2 of our consolidated financial statements."
    }
  ]
}