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JOHN DEERE CAPITAL $200 MILLION 4.625 PCT. NOTES DUE 1996 'A' BY FITCH -- FITCH FINANCIAL WIRE --

 NEW YORK, Aug. 26 /PRNewswire/ -- John Deere Capital Corp.'s $200 million 4.625 percent notes due Sept. 2, 1996, are rated 'A' by Fitch. The credit trend is stable.
 The rating reflects the company's strong position within the agricultural and industrial financing markets, solid balance sheet, as well as its ownership by the "A" rated Deere & Co. The company has leveraged its strong business base to expand into agriculture-related credit products, as well as dealer financing for boats and recreational vehicles. While this expansion offers strategic growth and diversification opportunities, it has slightly increased the risk profile. As more than 75 percent of its receivables base remain Deere- related, John Deere Capital Corp. is still identified as an agricultural credit company.
 All financial ratios remain strong. The company has had consistently high profitability with its returns on assets typically ranging from 1.75-2.25 percent as a result of good asset quality and expense controls. Despite the cyclical and structural issues facing farmers, they still have a very strong credit ethic, which has kept chargeoffs low in that dominant sector of the portfolio. Leverage is used conservatively as debt-to-equity ratios remain well below the ultimate target of 7.5 times. The company made good progress in reducing its historical reliance on short-term debt.
 -0- 8/26/93
 /CONTACT: Valerie L. Gerard of Fitch, 212-908-0577/
 (DE)


CO: John Deere Capital Corp. ST: Illinois IN: FIN SU: RTG

GK -- NY056 -- 6224 08/26/93 14:06 EDT
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Publication:PR Newswire
Date:Aug 26, 1993
Words:246
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