# Deere & Co. to lay off 120 at Illinois plant



## Grateful11 (Apr 5, 2009)

Bummer, I hate to see people get laid off. With corn, soybeans and small grains being off I'm not really surprised though.

http://www.progressiveforage.com/news/industry-news/deere-co-to-lay-off-120-at-illinois-plant?utm_source=E-newsletters&utm_campaign=e7fbcc1449-031814_FG_Extra&utm_medium=email&utm_term=0_ce73e33a7d-e7fbcc1449-87184801


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## Guest (Mar 19, 2014)

Low grain markets affect a lot of people. Not just farmers


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## mlappin (Jun 25, 2009)

Not just "low" grain markets (anybody remember when it paid best to put it under gov loan at $2.02 and pray it went up to $2.05 by spring?) but have you actually priced a brand new combine with a new grain platform and 8 row corn head? Something had to give sooner or later. Sure all the bells and whistles are nice but even the big guys feel the squeeze sooner or later when inputs, cash rent and fuel keep doing nothing but going up.

I'd like to have a new combine as well, but when a new one is more than my house thats been in the family for three generations is worth, something has to give.


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## swmnhay (Jun 13, 2008)

I was just talking with a friend that works as a JD mechanic.He said the shop work is drying up also.Guys are putting off overhauls,etc for another yr because $$ are tight.He mainly works on the older stuff,so it's usually not the farmers main tractors that he is working on but there shit haulin,hay makin tractors.The farmers got to save $$ to make the payments on the shiney new combine sitting in the shed!!

He was telling of a guy that had updated 3 bigger tractors,traded 16 row planter for 24 row and traded combines who was whineing he couldn't afford to overhaul his auger tractor.


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## mlappin (Jun 25, 2009)

swmnhay said:


> I was just talking with a friend that works as a JD mechanic.He said the shop work is drying up also.Guys are putting off overhauls,etc for another yr because $$ are tight.He mainly works on the older stuff,so it's usually not the farmers main tractors that he is working on but there shit haulin,hay makin tractors.The farmers got to save $$ to make the payments on the shiney new combine sitting in the shed!!
> 
> He was telling of a guy that had updated 3 bigger tractors,traded 16 row planter for 24 row and traded combines who was whineing he couldn't afford to overhaul his auger tractor.


Milk is finally up, most of these guys if smart still aren't spending any of it as they need it to get dug out of the hole they are in from years of low milk prices.

I don't plan on any major purchases or upgrades any time soon. Any profit is being invested in either my IRA or other savings.

Possibly a lot of guys got hurt a lot worse in 2012 than being admitted. No point in $7-8 corn if you barely had enough bushels to break even.


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## swmnhay (Jun 13, 2008)

mlappin said:


> Possibly a lot of guys got hurt a lot worse in 2012 than being admitted. No point in $7-8 corn if you barely had enough bushels to break even.


We were in a highly variable yield area in 2012.So huge differences in farm incomes.You get west of here 6 miles and some farms have a lot of sand and had yields below 30 bpa.Heavier soils here and scattered thunder showers some fields were 200+.


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## hog987 (Apr 5, 2011)

Some of the problem in North America is not many guys want plane jane stuff. All the bells and whistles in ag are like cars and trucks. The options sell. Around here it is hard to find a basic tractor on a dealers lot. Just go on the build your own websites for cars trucks tractors etc. Sometimes it surprising how cheap the stuff can be, but you wont find one anywhere. It will have to be special ordered. Than if something is brought in that is a cheaper price a lot of guys are scared of it. Why is it so cheap, the quality must not be there.

I had an honest saleman(yes there are a few around) tell me about the 5000e series JD tractors. Guys are scared of them cause they are made in India. But he said we have less problems with those tractors than the others simply because there is less to go wrong.


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## mlappin (Jun 25, 2009)

hog987 said:


> I had an honest saleman(yes there are a few around) tell me about the 5000e series JD tractors. Guys are scared of them cause they are made in India. But he said we have less problems with those tractors than the others simply because there is less to go wrong.


KISS.

Keep it simple stupid.

If the old tractors didn't want to start (Oliver 88, Oliver 1600) roll em down a hill or drag em till they ran, would run all day with no electrical at all. Mechanical gauges, mechanical three point, mechanical transmission. Ever have a huge EMP from a solar flare or what not and the only stuff working will be old school.


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## Guest (Mar 20, 2014)

Farming has been good and for a few years now. Even during the drought insurance helped with good cash flow. I think some might have gottin in over there heads. Payin high cash rent hogging up the land maybe only making maybe 10 an acre. Doesnt take long till ur loosing 10 an acre or more. Its good to stay versitle and make smart conservaive choices. Dad told me not to get over extended and prepare for those tight years because they will always come and hopefully always go. He said goin through tight times now will be kind of a good thing to make u appreciate the good times. And so you remember it when times are good. I am lucky to have such a great mentor!


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## barnrope (Mar 22, 2010)

Last year sucked! Never seen anything like it before and hope to never see it again! Also developed a strong dislike for the term "prevented planting".


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## Bgriffin856 (Nov 13, 2013)

mlappin said:


> KISS.
> 
> Keep it simple stupid.
> 
> If the old tractors didn't want to start (Oliver 88, Oliver 1600) roll em down a hill or drag em till they ran, would run all day with no electrical at all. Mechanical gauges, mechanical three point, mechanical transmission. Ever have a huge EMP from a solar flare or what not and the only stuff working will be old school.


That's why i like my old tractors. Been many times the 574 and 856 have been used with out a battery. Simple and we do most repairs ourselves. Even the 7405 is a simple built tractor i think that is the last simple plain tractor. Never had a cab tractor either. Plus they last longer than these new ones


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## Bgriffin856 (Nov 13, 2013)

barnrope said:


> Last year sucked! Never seen anything like it before and hope to never see it again! Also developed a strong dislike for the term "prevented planting".





barnrope said:


> Last year sucked! Never seen anything like it before and hope to never see it again! Also developed a strong dislike for the term "prevented planting".


I have a feeling this year might be like last year


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## mlappin (Jun 25, 2009)

swmnhay said:


> We were in a highly variable yield area in 2012.So huge differences in farm incomes.You get west of here 6 miles and some farms have a lot of sand and had yields below 30 bpa.Heavier soils here and scattered thunder showers some fields were 200+.


Sounds just like here. Tillage or lack of it played a huge part here as well as planting date. Guys that worked ground and planted early got hurt bad, some corn barely went 60bpa a mile and a half away. That was the spring Dad was laid up with the new artificial hip. WE planted on time, but not near as early as some. Second field of corn I planted was no-tilled and went 260 in spots.


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## hog987 (Apr 5, 2011)

I wonder with the down turn in grain prices and the increase in fertilizer prices if the machinery companies will have good deals and fiancing just to sell.


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## mlappin (Jun 25, 2009)

I wouldn't rule it out. On the other hand I'm in lock down mode. 2016 is a long ways off and a lot can happen before then.

I have two land lords that are talking about selling their land, just 22 acres and 20 respectively, if they would do a land contract I might jump on em both but I don't think now would be a good time to take on a mortgage. If land continues to rise I would consider it part of my retirement investments, or it doesn't rise I'd still own it to farm. Somewhat less risky than the stock market.


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