NOTES RECEIVABLE FROM AND PAYABLE TO JOHN DEERE AND RELATED PARTIES

12 Months Ended

Nov. 02, 2025

NOTES RECEIVABLE FROM AND PAYABLE TO JOHN DEERE AND RELATED PARTIES

NOTES RECEIVABLE FROM AND PAYABLE TO JOHN DEERE AND RELATED PARTIES

NOTE 7. NOTES RECEIVABLE FROM AND PAYABLE TO JOHN DEERE AND RELATED PARTIES

In February 2025, John Deere completed a transaction with Banco Bradesco S.A. (Bradesco), for Bradesco to invest and become 50% owner of Banco John Deere S.A. (BJD), a former John Deere finance subsidiary in Brazil. We provide loans to BJD, which are reported in “Notes receivable from related parties.” Prior to completion of the transaction, the loans to BJD were reported in “Notes receivable from John Deere.”

Balances due from BJD at November 2, 2025 and October 27, 2024 were as follows:

	2025		2024
Notes receivable from related parties	$	392.0
Notes receivable from John Deere			$	576.3

The loan agreements mature over the next seven years and charge interest at competitive market rates. Interest earned from John Deere and other related parties is recorded in “Other income” and was $37.0, $44.8, and $37.6 in 2025, 2024, and 2023, respectively.

We also obtain funding from affiliated companies which resulted in notes payable to John Deere at November 2, 2025 and October 27, 2024 as follows:

	2025		2024
Notes payable to John Deere	$	4,452.6	$	2,681.5
Weighted average interest rate		3.8%		4.4%

The intercompany borrowings are short-term in nature or contain a due on demand call option. We pay interest to John Deere for these borrowings based on competitive market rates. Interest expense paid to John Deere was $90.2, $163.7, and $199.9 in 2025, 2024, and 2023, respectively, which is recorded in “Fees and interest paid to John Deere.” The decrease in 2025 was primarily attributable to lower average intercompany borrowings and lower average borrowing rates.