Deere posts 27 pct decline in 3Q profit

Deere & Co. posted a 27% decline in 3rd-Q profit Wed. as the slumping global economy continued to depress sales of its tractors, bulldozers & other products. But results easily beat Wall Street expectations. The world's largest maker of farm equipment said it expected the biggest single-year sales drop in at least 50 years in 2009, but reiterated an annual profit forecast of $1.1B, bolstered by healthier anticipated sales of agricultural equipment in North America. Deere, which also makes construction equipment, faced dwindling demand for products as farmers & other customers rein in spending due to tough economic condition & weaker crop prices. Tight credit markets in some developing countries made it difficult for potential customers to finance purchase of its products. Deere shares fell $1.48 or 3.3% to $43.61 in trade. Sales of its equipment fell 25% worldwide, hurt by lower crop prices -- a key driver of demand for agricultural equipment -- & sagging construction activity. The decline was steepest outside North America, where sales dove 37%. Equipment sales in the U.S. & CN slid 16%. "We