Equipment manufacturer Deere temporarily laid off about 2,400 employees last month at its Waterloo, Iowa, tractor plant. Employees were expected to return to work this month after extended holiday shutdowns.
"Our production schedules continue to reflect the continued weakening market demand for tractors in North America," a company spokesman said.
Meanwhile, the Moline, Ill.-based company reported it expects worldwide sales volume to decline 13 percent to 15 percent this year, compared to 1998. Deere reported fiscal 1998 net sales of $11.9 billion (up 8 percent from fiscal 1997) and net income of
$1 billion (up 6 percent), despite a 7 percent drop in fourth-quarter net sales compared to the same period last year.
Deere's Mexico unit recently forecast that sales in Mexico and Central America could fall 20 percent in 1999 due to an economic slowdown and the effects of Hurricane Mitch.
