Program and Processes (US & Canada) Introducing John Deere Certified Pre-Owned Used Equipment Programs! [ A Used Equipment Game Changer ]

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1 Introducing John Deere Certified Pre-Owned Used Equipment Programs! [ A Used Equipment Game Changer ]

2 Equipment Eligible (as of Feb 2015): Tractors [7R, 8R & 4WD Series Only] Must be 3 model years old (or newer) Must have under 1500 engine hours (maximum) Sprayers & Combines Must be 2 model years old (or newer) Must have under 1000 engine hours (maximum) How CPO Eligible Machines Are Determined: Dealers must be using Machine Finder Pro Machine Finder Pro will display both CPO eligible units/pins (based on age/hours) and also PG Certified eligible units/pins (based on PPP age/hour rules) for all used units in dealer inventory. Once units are SELECTED for inspection/fluid testing and seeking CPO (or standard PPP coverage for standard Comp or Limited coverage), Dealers must conduct the appropriate type of inspection ( long form for CPO and PG Comp-standard, or short form for PG Limited coverage). Machine Finder Pro provides the applicable inspection forms (on-line)

3 CPO Program Benefits Tractors (7R, 8R & 4WD), Combines & Sprayers ONLY CPO Certified & Approved Machines: Have the ability to get Plan B - Comprehensive PowerGard Protection Plan coverage put on the used, out of warranty machines! Have the ability to UPGRADE Limited Coverage PPP to Comprehensive Coverage PPP [whether in Plan A (in warranty) or in Plan B (beyond warranty)]! Have the ability to Stack Comprehensive (12 month) PPP coverage on top of existing or upgraded Limited PPP coverage (that stays in place with longer end dates/higher end hours). Have Advertising and Promotional support from Deere & Company for special branding of CPO units along with any special financing, pool fund programs, or incentives that may exist or CPO program units. CPO Approvals are good for 12 months, and up to 50 hours of use before needing to be re-certified.

4 ALL CPO units MUST: Be rolled units (going to used/next customer via used delivery receipt) Be in dealer inventory, held for sale Have 4 Fluid Tests conducted with ALL Normal results on; Engine Oil Coolant Hydraulics Transmission Fluid CPO/PG Certified Test kits (DKGA2019/DKGA2019CAN) are to be used Have the comprehensive CPO Inspection completed 170 point inspection-tractors / 200 point inspection combines & sprayers Have ALL Like New or Good condition inspection results Be Submitted to the PG Dept. for review/audit and Approvals via Machine Finder Pro system (via Submit Button) Be an Approved PIN (by the PG Dept. using the PG_IC_Request table) fed directly by Machine Finder Pro. Come with at least 12 months/500 hours of comprehensive coverage This coverage can come from basic warranty (i.e. tractors 1 st yr roll) or from PPP (i.e. tractors 2 nd year roll, and/or all rolled sprayers/combines ).

5 CPO Program Flow High Level Dealer Used Inventory Listed on Machine Finder Pro Machine Finder Pro Identifies which used PINs are CPO eligible/ PG eligible

6 CPO Program Flow High Level (cont d) Dealer decides which eligible units to target for CPO Dealer ensures all fluid test results are Normal condition via Fluid Testing! Dealer takes the time to complete the Comprehensive Inspection checklist and all conditions are Like New / Good and. [CPO units should be Field Ready ] prior to submission to PG Dept. for approval. Dealer takes photos and posts quality pictures on MFP (7 minimum). Dealer submits the CPO PIN via Machine Finder Pro to PowerGard Dept. PIN Data Passed to PG_IC_Request Table in PG Dept.

7 CPO Program Flow High Level (cont d) Dealer submits the CPO PIN via Machine Finder Pro to submit for Audit/Approval. View Inspection Forms completed See all Fluid Test Results here * CSR checks all fluid test results (all should be Normal to submit) * CSR checks for proper I/C form completion & condition/grade - (Long form) for CPO and PG Comp-standard (all Like New/Good ) - (Short form) for PG Limited - standard (all Good or better) * CSR will Approve all PINs that meet all conditions, or Reject - Automated s sent to dealers on all Approved or Rejected PINs. - Approved PINs are ready for PPP contract entry by the resp. dealers - Approved CPO units are good for 12 months or up to 50 hours of use before needing any re-certification - Rejected PINs will be given reason why (Forms, condition issues, fluid tests)

8 How PowerGard Protection Contracts are Processed on CPO: PPP Purchase Contract application: Has been modified with a new dual flow choice for either CPO PPP Contract Purchases (with CPO rules) or Standard PPP Contract Purchase (with regular/current embedded PPP rules). New CPO - PPP Contract Purchase Only Accepts CPO eligible Models All CPO business rules are built in Only Approved PINs can get contracts registered Contract Registration steps are similar to Standard PPP

9 Processing PowerGard Protection Contracts on CPO units: PPP Purchase Contract application RULES for processing CPO units/pins include: ONLY Approved PINs (by the PG Dept.) on all CPO units (as well as PG Comp and PG Limited Certified machines) can SUCCESSFULLY get a PPP contract to go through the application (for registration and billing)! Dealers are in complete control of CPO & PG Certification on eligible units (choosing which units to go through the processes) and sending to the CSRs for quick audit and approval on units that passed all conditions/requirements. Dealers will be informed by PG Dept. (via ) on all Approvals (ready for PPP contract entry) or Rejected PINs (& reason) for on-going corrective action/future processing. Take corrective action on all Rejected PINs and resubmit to PG Dept via the MFP application OR CPO PPP Contract Purchase. Also, CPO units MUST FIRST HAVE a USED DELIVERY RECEIPT PROCESSED to the next customer in the past 30 days before PPP CPO Contracts (and all Standard PPP Plan B Contracts) can be successfully purchased! This applies to CPO units whether in basic warranty, or beyond basic warranty (due to the rolled unit requirement). CPO is not eligible on existing customer units.

10 CPO Program Flow High Level (cont d) Machine Finder Pro Receives the Approved CPO (and PG Certified) PINs for indicating which units in your inventory have CPO or PG Certified approved status, & can get extended warranty protection. or Dealer knows which units are CPO Certified (or PG Certified; for PG Comprehensive or PG Limited Standard as well) & ready for registering the PPP contracts by viewing list in MFP. Don t forget to settle for & do a delivery receipt PRIOR TO, any PPP Contract Reg. Dealer goes to web site to both QUOTE & PURCHASE the CPO (or PG Standard) PPP contract needed to satisfy CPO.

11 CPO - PPP Contract Purchase Once in the PowerGard Protection Purchase Contract application, and have selected the Certified Pre-Owned PPP Purchase Contract option, proceed through the regular 6-step PPP contract purchase. EXAMPLE: Used Tractor In-Warranty Plan A PPP contract needed for CPO Enter your valid and APPROVED CPO PIN.

12 If all info is correct, hit Next

13 Put in CURRENT engine hours CPO Max Hours displayed: (Tractor = 1500, Combines = 1000 Sprayers = 1000) To proceed. Coverage defaults to Comprehensive (CPO requirement)

14 Tractors used in scraper applications are NOT eligible for CPO program. System will ask if CPO Certified. Has to be Approved to proceed.

15 Available PPP Plan Term Options and PPP Prices for selection (whether Plan A or Pan B.) *Only PPP Plan Terms that meet CPO rules will be shown (12 mo / 500 hr min Comp coverage) *NOTE: The tractor PIN in this example, already had 1455 hours, so a PPP Plan A of 1500 total hours would not meet the 500 hours of Comp coverage requirement in CPO, thus 2000 total hours is the first option/choice, but more can be sold. All DPP surcharges will be at +25% (and on upgrades) starting Aug 4, 2014 (CPO & Standard PPP)

16 Summarizes your choices for PPP Contract.

17 One last reminder that you are about to official register the PPP contract and will be billed on your If month-end all info is correct, statement. hit Click Next Purchase to finish.

18 You can also click Print Schedule for a proof of purchase document (for dealer records or for sharing with customers) Final confirmation, acknowledging the contract was successful and the PPP Contract Terms & PG Certificate Cards will be mailed to Customer.

19 Once you click Print Schedule the PDF document is generated. Just click the Print button to produce one or more copies. All PPP data has been transferred to the PPP Contract Table and JD Warranty System.

20 CPO - PPP Contract Purchase Once in the PowerGard Protection Purchase Contract application, and have selected the Certified Pre-Owned PPP Purchase Contract option, proceed through the regular 6-step PPP contract purchase. EXAMPLE: Used Combine Beyond Warranty Plan B PPP contract needed for CPO (Note: A used Sprayer would follow a similar flow) Enter your valid and APPROVED CPO PIN.

21 Beyond basic warranty now If all info is correct, hit Next

22 CPO Max Hours displayed: (Tractor = 1500, Combines = 1000) Put in CURRENT engine hours To proceed. Coverage defaults to Comprehensive (CPO requirement)

23 System will ask if CPO Certified. Has to be Approved to proceed!

24 *NOTE: Whether a Tractor, Sprayer or Combine, under Plan B, 12 months/500 hours of PPP Comp coverage is the MINIMUM required to be a CPO branded unit and to satisfy CPO rules. Available PPP Plan Term Options and PPP Prices for selection (whether Plan A or Pan B.) *Only PPP Plan Terms that meet or exceed CPO rules will be shown (12 mo / 500 hr min Comp coverage)

25 Summarizes your choices for PPP Contract.

26 One last reminder that you are about to official register the PPP contract and will be billed on your month-end statement. Click Purchase to finish.

27 You can also click Print Schedule for a proof of purchase document (for dealer records or for sharing with customers) Final confirmation, acknowledging the contract was successful and the PPP Contract Terms & PG Certificate Cards will be mailed to Customer.

28 Once you click Print Schedule the PDF document is generated. Just click the Print button to produce one or more copies. All PPP data has been transferred to the PPP Contract Table and JD Warranty System.

29 Thank You! For Supporting the CPO and PPP Programs! Good Luck with your Used Equipment Marketing Programs!

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