Deere to Cut 125 in Iowa

Deere & Co. said it is laying off roughly 125 employees across two plants in Iowa, marking the latest in a series of job cuts as the farming machinery giant struggles with weak demand.

The Moline, Ill., company last month trimmed its 2016 revenue and earnings forecasts, underscoring the continued unraveling of demand for Deere's green-and-yellow farm machinery, suggesting a downturn that began in 2014 could extend into 2017. Its construction and forestry unit—which generates roughly one-quarter of Deere's annual equipment sales—also is struggling amid lower demand from the energy industry.

The latest job cuts include 75 employees at Deere's Dubuque, Iowa, factory, part of the company's construction and forestry division. An additional 50 workers will be affected at its Ankeny, Iowa, operation, part of the agricultural and turf business.

Last month, Deere announced roughly 100 layoffs at factories in its construction and forestry division at plants in Dubuque and Davenport, Iowa. In December, the company unveiled plans to lay off about 220 workers at John Deere Seeding and Cylinder in Moline, Ill.

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(END) Dow Jones Newswires

March 10, 2016 17:15 ET (22:15 GMT)

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