Form 4: Deere CFO Jepsen Reports Equity Grants, Tax Withholding

Deere & Company's Senior VP & CFO, Joshua A. Jepsen, reported the grant of restricted stock units and market-priced options, alongside a disposition of shares for tax obligations.

Summary

• Joshua A. Jepsen, Senior VP & CFO of Deere & Company, acquired 1,919 shares of $1 Par Common Stock on December 10, 2025, as a grant of restricted stock units (RSUs) under the John Deere 2020 Equity and Incentive Plan.
• On December 11, 2025, Jepsen disposed of 340 shares of $1 Par Common Stock at a price of $475.94 per share to satisfy tax withholding obligations upon the settlement of RSUs.
• Following these transactions, Jepsen beneficially owns 9,366 shares of $1 Par Common Stock, which includes 5,816 restricted stock units to be settled solely in shares.
• Jepsen also acquired 7,145 Market Priced Options on December 10, 2025, with an exercise price of $468.9 per option.
• These options become exercisable in three approximately equal installments on December 10, 2026, December 10, 2027, and December 10, 2028, and expire on December 10, 2035.

Sentiment

Score: 5

Explanation: The filing is a routine report of insider transactions related to executive compensation, which is neutral in sentiment as it reflects standard corporate governance and incentive practices rather than operational performance or strategic shifts.

Positives

• The grant of 1,919 restricted stock units and 7,145 market-priced options aligns the Senior VP & CFO's incentives with long-term shareholder value through equity-based compensation.

Negatives

• A disposition of 340 shares of common stock occurred to cover tax withholding obligations, which is a standard practice upon RSU settlement and not indicative of a negative outlook.

Future Outlook

The filing details future exercisability dates for the granted options, with installments becoming exercisable on December 10, 2026, 2027, and 2028, and an expiration date of December 10, 2035.

Industry Context

This filing reflects standard executive compensation practices within large publicly traded companies, where equity grants like restricted stock units and stock options are used to incentivize and retain key management personnel, aligning their interests with long-term company performance.

Comparison to Industry Standards

• The use of restricted stock units and market-priced options for executive compensation is a common practice across major industrial and manufacturing companies, similar to peers like Caterpillar Inc. or CNH Industrial N.V., aiming to link executive performance to shareholder returns.
• The structure of option vesting over several years is typical for long-term incentive plans, promoting sustained performance rather than short-term gains.

Corporate Governance

Stakeholder Impact

• Shareholders: The equity grants align the interests of the Senior VP & CFO with shareholders, potentially fostering long-term value creation.
• Employees: Reflects the company's established compensation framework for executives, which can influence overall compensation philosophy.

Next Steps

• The granted market priced options will become exercisable in three approximately equal installments on December 10, 2026, December 10, 2027, and December 10, 2028.

Key Dates

Keywords

Deere & Company, DE, Form 4, Insider Transaction, Executive Compensation, Restricted Stock Units, Stock Options, Equity Grant, Tax Withholding