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Extended Warranty for John Deere AG & Turf Equipment and AMS Components Protection You Deserve…Value You Expect!

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Page 1: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

Extended Warranty for

John Deere AG & Turf Equipment

and AMS Components

Protection You Deserve…Value You Expect!

Page 2: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

TRAINING

AGENDA

• PowerGard Programs Available - AG / Turf Equipment & AMS

• Why Sell PowerGard Protection Plans?– Dealer Benefits

– Customer Benefits

– Successful Dealer Profile/Requirements

• Equipment Programs - Overview– AG Equipment (6 Programs = have Engine & Powertrain Coverage available)

(5 Programs = have Full Machine Coverage available)

- “Full Machine” available on tractors, sprayers, combines, SPFHs, & cotton harvesters

– Turf Equip (4 Programs = Eng & Powertrain -or- Full Machine coverage)

– AMS Components (receivers, processors, displays) – full replacement coverage

– Eligibility Parameters – vary by equipment type

– Purchase Order & Contract Processing Procedures

• Marketing/Sales Tips

• PG Inspection & Certification (Used, beyond basic warranty Combines/Tractors)

Page 3: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

POWERGARD PROTECTION PLAN

EXTENDED WARRANTY

COVERAGE

What is PowerGard Protection?Covers Mechanical Breakdown caused by a defective component due to faulty materials, or original workmanship, for John Deere;

AMS Components (receivers, processors, displays)

Tractors, Sprayers, Combines, Cotton Harvesters, Windrowers, SPFHs, Commercial Mowers, Gators, and Golf & Turf equipment

Limited (engine & powertrain) coverage exists for: all AG / Turf Equip. Programs

Comprehensive (full machine) coverage for: Tractors, Sprayers, Combines, SPFH, Cotton Harvesters (AG), Gator/UV’s, Commercial Mowers, Golf & Turf (Turf), and AMS Components

Both “Limited” (AG/Turf) & “Comprehensive” (Turf) contracts always exclude:- Parts or components covered under a separate manufacturer’s warranty (i.e. tires, batteries, etc)

- High wear and maintenance items (i.e. belts, hoses, fuses, paint, decals, etc.)

- Attachments or aftermarket options

See PowerGard Protection contract for details & conditions/limitations

PowerGard is NOT insurance. Dealership employees do not have to be licensed to sell!

Page 4: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

Increase bottom-line margins & profits (via contract mark-up)!

Move used inventory quicker @ higher selling prices!

Ties customer to the JD dealership for future repairs (vs. IRSs)!

Increase future dealership parts/service revenues & profits!

Move genuine John Deere parts – as required in PG contract terms!

Up-front repair costs paid directly to dealership (Parts paid @ List $)

Reduces special allowance exposure/expenses for dealers!

Increase customer satisfaction when failures do occur under the contract!

DEALER

BENEFITS

Page 5: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

CUSTOMER

BENEFITS

Peace of mind (with budgeted payments)

Reduced down time (contracts pay for large repairs)

Increased value at resale or on time of trade-in

No pre-approvals needed on covered repairs

Repair costs (less any deductible) paid directly to dealership (no pre-payments)

Provides protection from catastrophic losses, up to the full value of the unit

Flexible coverage terms to meet customer ownership periods and annual usage

Helps control the owner’s total cost of equipment ownership

Finance through JDC, Farm Plan, etc.

Transferable coverage to next owner with no transfer fees/paperwork

Page 6: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

SUCCESSFUL DEALER

PROFILEPOWERGARD PROGRAMS

For JD Dealerships to be successful and profitable with PowerGard

Protection extended warranty programs, they must:

• Offer the plans to every customer, every time ( be consistent)

• Communicate the coverage clearly (‘Limited’ or ‘Comprehensive’)

• Communicate any deductibles clearly to the customer (‘their risk’)

• Document purchases/rejections at T.O.S. (JD P.O./PG reject form)

• Communicate between departments (sales, service, office/admin)

• Standard process for PG Inspection/Cert - (documents, mail time)

• Process PPP contracts timely, and accurately (standards-weekly)

Page 7: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

AG EQUIPMENT PROGRAMS

PowerGard Protection - Eligible for John Deere:

• Tractors - (New or Used – beyond warranty/certified)

• Combines - (New or Used – beyond warranty/certified)

• Cotton Harvesters (New)

• Self-Propelled Sprayers - (New)

• Self-Propelled Forage Harvesters - (New)

• Windrowers - (New )

Page 8: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

TRACTORS

AVAILABLE PLANS

Plan A Available on all new JD CUTs,

through 9000 4WD tractors

All Coverage Terms are in:

Total Months & Total Hours and include the basic warranty terms.

Must be within Deere Basic Warranty to purchase coverage

Customers can purchase Limited (engine & powertrain) – or -Comprehensive (full machine) coverage.

Plan B Available on all used (out of

warranty) JD tractors & combines

All Coverage Terms are in:

Total Months & Total Hours

– Total Months are from delivery date

– Total Hours are added to current hr

Must be Inspected, Fluid Tested and Certified prior to offering and purchase

Customers can purchase Limited (engine & powertrain) coverage only under Plan B.

Page 9: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

PLAN A

NEW TRACTORS

ELIGIBILITY CHART

12 months /

1000 hrs

24 months

2000 hrs

Basic Warranty

Start Date

Lowest Price Possible

No Inspection/Certification required

“Grace Period” “Delayed Purchase Period”

40% Rate Surcharge Applies

No certification required

Full Machine - 24 months/2000 hoursJohn Deere Basic Warranty:

Deductibles :

$100 deductible for CUT Tractors

$250 deductible for 5000 & 6000 Series

$500 deductible for 6R’s, 7000 & 8000 Series

$750 deductible for 9000 Series (4WDs)

Coverage Forms Available:

Comprehensive (full machine)

Limited (engine & powertrain)

See PowerGard Protection contract for complete details

‘New’ Tractors = still under basic warranty

Page 10: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

PLAN B

USED TRACTORS

ELIGIBILITY CHART

24 months /

2000 hrs

10 yrs old

5000 hrs

Basic Warranty

Start Date

No Inspection/Certification

required

“Basic Warranty “Used, Beyond Warranty”

Units must be held for sale in dealer

inventory. Inspection/Certification

& Approval is required

Full Machine - 24 months/2000 hoursJohn Deere Basic Warranty:

Deductibles :

$100 deductible for CUT Tractors

$250 deductible for 5000 & 6000 Series

$500 deductible for 6R’s, 7000 & 8000 Series

$750 deductible for 9000 Series (4WDs)

Coverage Forms Available:

Limited (engine & powertrain)

See PowerGard Protection contract for complete details

‘Used’ Tractors = beyond basic warranty, in dealer inventory, & Certified

Page 11: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

PLAN A

NEW TRACTORS

TIME/HOUR OPTIONS

Coverage term options include

the John Deere Basic Warranty for tractors.[ Basic Warranty = 24 months / 2000 hours ]

Total Months Available

36 total months

48 total months

60 total months

72 total months

Total Hour Options Available

1500 total hours

2000 total hours

2500 total hours

3000 total hours

3500 total hours

4000 total hours

4500 total hours

5000 total hours

*6000 total hours

*7500 total hours

* These total hours are only available in 36 and 48

total month terms.

Check the program PowerGard web site and contract

forms for complete details of available plan terms.

Page 12: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

PLAN B

USED TRACTORS

TIME/HOUR OPTIONS

Coverage term options (total months) begin upon used delivery receipt date.

Total coverage hours are added to the current hour meter reading upon delivery.

Total Months/Total Hours

6 months / 500 hours

12 months / 500 hours

12 months / 1000 hours

24 months / 500 hours

24 months / 1000 hours

24 months / 1500 hours

24 months / 2000 hours

36 months / 500 hours

36 months / 1000 hours

36 months / 1500 hours

36 months / 2000 hours

*Only Limited (engine &

powertrain) coverage is

available under Plan B

* Tractors must be no more

than 10 years old and have

no more than 5000 engine

hours to be eligible.

* Tractors must be fluid

tested (with normal results)

and also undergo an

inspection (with all

components in good

working condition)Check the program PowerGard web

site and contract forms for complete

details of available plan terms.

Page 13: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

PLAN ANEW TRACTORS

COMMERCIAL APPLICATIONS

Commercial applications must be added if the tractor

has, is, or ever will pull a scraper

Does not apply to tractors under 100 PTO HP

Commercial price is 2.75 X the standard PG rates

If Commercial Applications is not specified, and additional

fee is not paid, contract is invalid (if scraper related loss)

PowerGard is not available on select 8020/9020’s when

scraping (due to no basic warranty- per TT Bulletin #366.)

“Commercial Applications” means land leveling, land

planing, grading, or mining operations, other than mowing or

normal agricultural operations (disking, ripping, tilling, etc.)

Page 14: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

INSPECTION/

CERTIFICATION

1. Order test kit via JD Parts System (# CM23882 (Australia) and

# CM23882NZ (New Zealand)

2. Complete the PG Inspection & Certification form – (or online via MFP)

- Complete and e-mail the forms (Part A & B) to:

[email protected]

3. Pull & submit fluid samples to ALS Labs with copy of Part A of form

4. Complete all mandatory & safety PIPS

5. Review fluid test results & complete any needed corrective actions

6. Once certified, apply PowerGard certified decal or cling.

7. Market/sell PowerGard contract, or promote “Certification”

PG Certification is good for 12 months/250 engine hours

Inspection/Certification is required for:

- All Plan B contracts (on used, out of warranty combines & tractors , held for sale in

dealer inventory):

Procedures:

Page 15: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

PLAN A (New) & PLAN B (Used)

COMBINESELIGIBILITY CHART

Full Machine - 12 months/unlimited hours

Engine - 24 months/2000 hours

95 days /

100 hrs 12 mo. / 1000 hrs

Start Basic

Warranty 6 yrs / 1500 hrs

Certification is Required

for all out-of-warranty units

* Limited PPP coverage only avail

40% SurchargeNo Certification required

Lowest Possible

Price

Plan A

“Delayed Purchase”Plan B

John Deere Basic Warranty:

Plan A

“Grace Period”

See PowerGard Protection contracts for complete details

Limited (engine & powertrain) CoverageEngine and Powertrain Coverage, plus:

Cylinder drive gear case – all components inside, Reverser

gear case – all components inside.

Available for Plan A or Plan B eligible units

$500 deductible per work order

Comprehensive (full machine) Cov.Provides full machine coverage, less high-wear

or maintenance items. Also not covered are

tires, batteries, radios, and AMS components

and/or software.

ONLY available on Plan A (in warranty) units

$250 deductible per work order

Page 16: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

PLAN A (New)

NEW COMBINES

TIME/HOUR OPTIONS

“Total” Time and Hour Plan A OptionsInclude the underlying JD Basic Warranty of 12 months

Total Months Available

*24 total months*

36 total months

48 total months

60 total months

72 total months

Total Hour Options Available

500 total hours

750 total hours

1000 total hours

1250 total hours

1500 total hours

1750 total hours

2000 total hours

2500 total hours

3000 total hours

3500 total hours

4000 total hours

* Engine Coverage provided under

Deere Basic Warranty of 24 month /

2000 hours on all AG products. The 24

month options provide transmissioncoverage.

Check the program PowerGard web

site and contract forms for complete

details of available plan terms.

Page 17: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

PLAN B (Used)

USED COMBINES

TIME/HOUR OPTIONS

“Total” Time and Hour Plan B OptionsTotal Months after the Used Delivery Reciept.

Total Hours purchased are for operation beyond the current hour reading at time of sale.

Plan B Used[Used Combines beyond basic warranty]

Combines must be <6 yrs old/,1500 eng hrs.

12 months / 250 hours12 months / 500 hours

24 months / 500 hours

24 months / 1000 hours

36 months / 750 hours

36 months / 1500 hours

Check the program PowerGard web

site and contract forms for complete

details of available plan terms.

Page 18: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

CERTIFICATION PROCESS

1. Order ALS test kit (# CM23882 (Australia) # CM23882NZ (New Zealand)

2. Certification time with Service Dept. (~1 to 2 hours w/ short form)

3. Perform visual & mechanical inspection and complete the

inspection/certification form

4. Pull samples [coolant, engine oil, & transmission/hydraulic fluids]

5. Submit fluid samples to: ALS Tribology Labs

* Using the pre-paid postal envelopes contained in each kit for each sample.

6. Review results when complete - All have to be “normal”

7. Complete any necessary/corrective actions

Dealers are responsible for certifying all units in the I/C parameters

PRIOR TO quoting, selling and processing PPP contracts!

Page 19: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

PLAN A (New)

COTTON HARVESTERSELIGIBILITY CHART

Full Machine - 12 months/unlimited hours

Engine - 24 months/2000 hours

95 days /

100 hrs 12 mo. / 1000 hrs

Start Basic

Warranty

40% SurchargeNo Certification required

Lowest Possible

Price

Plan A

“Delayed Purchase”

John Deere Basic Warranty:

Plan A

“Grace Period”

See PowerGard Protection contracts for complete details

Limited (engine & powertrain)Engine & Powertrain, plus:

Unit drive hydrostatic pump

Unit drive hydrostatic motor

Available on Plan A units

$500 deductible per work order

Comprehensive (full machine) Cov.Provides full machine coverage, less high-

wear or maintenance items. Also not covered

are tires, batteries, radios, and AMS

components and/or software.

Available on Plan A units

$500 deductible per work order

Used (beyond warranty)

Cotton Harvesters are not eligible

Page 20: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

PLAN A (New)

NEW COTTON HARVESTERS

TIME/HOUR OPTIONS

“Total” Time and Hour Plan A OptionsInclude the underlying JD Basic Warranty of 12 months

Total Months Available

24 total months*

36 total months

48 total months

60 total months

72 total months

Total Hour Options Available

500 total hours

750 total hours

1000 total hours

1250 total hours

1500 total hours

1750 total hours

2000 total hours

2500 total hours

3000 total hours

3500 total hours

4000 total hours

* Engine Coverage provided under

Deere Basic Warranty of 24 month /

2000 hours on all AG products. Theseoptions provide transmission coverage.

Check the program PowerGard web

site and contract forms for complete

details of available plan terms.

Page 21: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

PLAN A – CONTRACT UPGRADES

Plan A contracts can be “upgraded” starting in June

2018. Upgrades are allowing a customer to purchase

more months, more hours (or both). Upgrades are only

available on:

• Tractors - (Plan A plan terms only)

• Combines - (Plan A plan terms only)

• Cotton Harvesters (Plan A plan terms only)

• Self-Propelled Sprayers - (Plan A plan terms only)

Note: Upgrades can only be with the same original coverage type

(Limited or Comp). Coverage type changes or Comp to Limited

“downgrades” are not allowed.

Page 22: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

Limited Coverage

Engine and Powertrain coverage

+ some miscellaneous components

$500 deductible per work order

John Deere Basic Warranty: Full Machine - 12 months/unlimited hours

Engine - 24 months/2000 hours

SELF PROPELLED FORAGE HARVESTERS

SPFH ELIGIBILITY CHART

Comprehensive Coverage

Covers all main components less tires, batteries, radios etc.

Similar coverage to basic warranty.

Excludes wear & maintenance items

$500 deductible per work order

95 days /

100 hrs 12 mo. / 1000 hrs

Start Basic

Warranty

Plan B

40% SurchargeNo Certification required

Lowest Price

No Certification

Not Available

Beyond Basic Warranty

Plan A

“Grace Period”

Plan A

“Delayed Purchase”

See PowerGard contracts for details!

Page 23: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

Engine

Powertrain

Length of cut transmission

Bevel gearbox drive (Right

angle gearbox)

All hydraulic pumps & motors

Reverser motor

Roll spacing adjusting motors

Shear bar adjustment motors

Horizontal and vertical sharpening

stone adjustment motors

Spout flap adjusting motor

Power distribution circuit board

Relay diode circuit board

Electric motors that work only

when the cutter head is engaged

SELF PROPELLED FORAGE HARVESTERSLIMITED (Engine & Powertrain) COVERAGE

MISCELLANEOUS COV. COMPONENTS

See PowerGard contract for details!

Page 24: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

24 months / 500 hours* 48 months / 1000 hours

24 months / 1000 hours* 48 months / 2000 hours

24 months / 2000 hours* 48 months / 3000 hours

36 months / 750 hours 60 months / 1200 hours

36 months / 1500 hours 60 months / 2500 hours

36 months / 3000 hours 60 months / 3000 hours

* Engine Coverage provided under

Deere Basic Warranty of 24 month /

2000 hours on all AG products. Theseoptions provide transmission coverage.

SELF-PROPELLED FORAGE HARVESTERS

TIME/HOUR OPTIONS

Limited (Engine & Powertrain)

“Total” Time and Hour OptionsIncludes the underlying JD Basic Warranty of 12 months

Page 25: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

24 months / 600 hours* 36 months / 900 hours

24 months / 900 hours* 36 months / 1500 hours

24 months / 1200 hours* 36 months / 1800 hours

24 months / 2000 hours* 36 months / 2500 hours

24 months / 2500 hours* 36 months / 3000 hours

* Engine Coverage provided under

Deere Basic Warranty of 24 month /

2000 hours on all AG products. Theseoptions provide transmission coverage.

SELF-PROPELLED FORAGE HARVESTERS

TIME/HOUR OPTIONS

Comprehensive (Full Machine)

“Total” Time and Hour OptionsIncludes the underlying JD Basic Warranty of 12 months

Page 26: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

John Deere Basic Warranty: Full Machine - 12 months/unlimited hours

Engine - 24 months/2000 hours

WINDROWERS

ELIGIBILITY CHART

Limited CoverageEngine and Powertrain Coverage, plus;

Gear case for platform drive pump (not on header)

Platform drive pump

Platform drive motor

$500 deductible per work order

95 days /

100 hrs 12 mo. / 1000 hrs

Start Basic

Warranty

Plan B

40% Surcharge

No Certification

Lowest Price

No Certification

Not Available on units

beyond Basic Warranty

Plan A

“Grace Period”

Plan A

“Delayed Purchase”

See PowerGard contracts for details!

Page 27: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

24 months / 500 hours* 48 months / 1000 hours

24 months / 1000 hours* 48 months / 2000 hours

24 months / 2000 hours* 48 months / 3000 hours

36 months / 750 hours 60 months / 1250 hours

36 months / 1500 hours 60 months / 2500 hours

36 months / 3000 hours 60 months / 3000 hours

* Engine Coverage provided under

Deere Basic Warranty of 24 month /

2000 hours on all AG products. Theseterms provide transmission coverage.

WINDROWERS

TIME/HOUR OPTIONS

Limited (Engine & Powertrain)

“Total” Time and Hour OptionsIncludes the underlying JD Basic Warranty of 12 months

Page 28: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

SPRAYERS

ELIGIBILITY CHART

Full Machine - 12 months/unlimited hours

Engine - 24 months/2000 hours

95 days /

100 hrs 12 mo. / 1000 hrs

Start Basic

Warranty

Not available on units

beyond Basic Warranty

40% SurchargeNo Certification required

Lowest Price

Plan A

“ Grace Period”Plan B

Deere Basic Warranty:

Limited (Engine & Powertrain) Comprehensive (full machine)

$500 deductible per work order $500 deductible per work order

* See Coverage Exclusions & Limitations

Plan A

“Delayed Purchase”

See PowerGard contract for complete details

Page 29: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

NEW SPRAYERS

TIME/HOUR OPTIONS

Plan A “Total” Time & Hour OptionsIncludes the underlying JD Basic Warranty of 12 months

And 24 months/2000 hour engine basic warranty

* Engine Coverage provided under

Deere Basic Warranty of 24 month /

2000 hours on all AG products. Theseterms provide transmission coverage.

Total Months Available

24 total months*

36 total months

48 total months

60 total months

72 total months

Total Hour Options Available

1000 total hours

1500 total hours

2000 total hours

2500 total hours

3000 total hours

3500 total hours

4000 total hours

Check the program PowerGard web

site and contract forms for complete

details of available plan terms.

Page 30: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

POWERGARD ACCEPT/REJECT FORM

Check box if:

“Accepted” – or- “Declined”

If Declined, dealer should have

customer complete this form & file

- Customer thinks twice before rejecting

- Dealer has verification PowerGard was

offered, and outcome

- Provides special allowance documentation

for later reference

XX

Page 31: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

New PPP Web Site - Sales Home Page – Contract Purchase

Key PPP

Links relative

to the specific

dept.

Each main

dealership

department or area

;

• Sales

• Service

• Parts

• Office Admin

• Management

have their own

PPP landing page.

Contract

Purchase link is

on many pages in

new site..

Page 32: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

New PPP Web Site - Contract Purchase App

The PPP Purchase

Contract application has a

totally new look .

This application has been

“sectioned” into the new 6

Primary Steps/Stages of a

PPP contract purchase.:

• PIN Entry,

• Data Validation

• Coverage Selection

• Plan Term Section

• Summary & Purchase

• Confirmation

Some former questions asked

that do not impact PPP

pricing, have been removed

from the Contract Purchase

process/flow.

For each of the 6 steps in the

Contract Purchase flow, the

current step the user is within

will be HIGHLIGHTED in

green (such as PIN Entry tab

above). For the “Actionable”

next steps, the buttons will be

highlighted in yellow (such as

“Next” button above once PIN

is entered).

Page 33: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

New PPP Web Site - Contract Purchase App

Data Validation step is

similar to the current

Purchase Contract app.

Page 34: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

New PPP Web Site - Contract Purchase App

After entering current

engine hours, the Coverage

Selection can be made. [i.e.

Limited or Comprehensive

(if available)].

Page 35: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

New PPP Web Site - Contract Purchase App

For some Tractor units

(only), there are a few extra

questions. (which impact

options and rates).

Page 36: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

New PPP Web Site - Contract Purchase App

In the Plan Term Selection

step, you pick your PPP

total months / total hours

needed for the Coverage

Type that has been chosen..

Page 37: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

New PPP Web Site - Contract Purchase App

In the Summary &

Purpose step, you verify all

of your information and

selections on Coverage, plan

terms, dealer cost, etc..

Once you confirm all is

correct, just click Next to

purchase and process the

PPP conract..

Page 38: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

New PPP Web Site - Contract Purchase App

In the Confirmation step,

you are notified that the

transaction has successfully

been submitted to Deere,

and contracts and PG

Certificate Cards will be

generated and mailed to all

machinery customers within

30 days..

You can also click the Print

Schedule button to generate

a “proof of purchase” sheet

that you can present to your

customer or keep on file.

Page 39: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

New PPP Web Site - Contract Purchase App

Here is the Print Schedule

output PDF form for your

“proof of purchase” . For

each PIN and contract

registered, this Print

Schedule option is only

offered once.

Once generated, printed and

closed, you are ready to

enter the next PIN.

Page 40: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

CLAIMS ADJUSTMENT

John Deere Basic Warranty

Claims entered in JD Warranty

Parts paid @ dealer cost + parts additive*

Labour: Registered labour rate + additive

(includes reasonable diagnostic time)

* Refer to WAM for reimbursement terms

PowerGard Extended Warranty

Claims entered in JD Warranty

Parts paid @ full List Prices

Labour paid based on:

- Dealer’s registered labour rate w/ Deere

- Service Pricing Guide (SPG’s)

- Statistical averages for like-repairs

- Reasonable diagnostic time

reimbursement is also provided

Deductibles apply “per work order” .

PG pays for reasonable diagnostic time.

Pays for “related damage” to non-covered

components if damage originated in a covered

component under PowerGard.

Page 41: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

TURF EQUIPMENT PROGRAMS

PowerGard Protection - Eligible for John Deere:

• Tractors (CUT Series) - (New & Used ) [reviewed in slides 8-11]

• Gator Utility Vehicles - (New)

• Commercial Mowers - (New )

• Golf & Turf Equipment - (New)

Page 42: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

COMMERCIAL MOWERS,

ELIGIBILITY CHART

120 days /

100 hrs

12 months /

300 hrs

Basic Start

Warranty

Available to commercial customers only

“Comprehensive” (full machine) or “Limited” (engine & powertrain only)

$35 transportation allowance

$0 deductible - all plans, all options

50% Surcharge Applies

No Certification

Lowest

Possible

Price

“Grace Period” “Delayed Purchase Period” Beyond 12 mos / 300 hrs

PowerGard

Not Available

See PowerGard Protection contracts for complete details!

Page 43: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

GATOR/UV’s, GOLF & TURF

ELIGIBILITY CHART

95 days /

100 hrs

12 months /

300 hrs

Basic Start

Warranty

Available to commercial customers only

“Comprehensive” (full machine) or “Limited” (engine & powertrain only)

$35 transportation allowance

$0 deductible - all plans, all options

50% Surcharge Applies

No Certification

Lowest

Possible

Price

“Grace Period” “Delayed Purchase Period” Beyond 12 mos / 300 hrs

PowerGard

Not Available

See PowerGard Protection contracts for complete details!

Page 44: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

30 Months/750 Hours 42 Months/1000 Hours

30 Months/1250 Hours 42 Months/1750 Hours

36 Months/1000 Hours 48 Months/1200 Hours

36 Months/1500 Hours 48 Months/1500***

36 Months/2000 Hours* 48 Months/2250*

36 Months/2500 Hours** * Not available on Z-Traks

** Not available on Z-Traks nor F700

*** Available for Z-Traks only

“Total” Time and Hour OptionsIncludes the underlying JD Basic Warranty of 12 months

For New John Deere Commercial Front Mowers,

Commercial Walk Behinds, Z-Traks, Quik-Trak,

and Wide Area Mowers (with hour meters)

COMMERCIAL MOWERS

TIME/HOUR OPTIONS

Options Above Include the Deere Basic Warranty:

Full Machine - 24 months/’unlimited’ hours

Page 45: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

“Total” Time and Hour OptionsIncludes the underlying JD Basic Warranty of 12 months

For New John Deere 1800 UV’s & All Gators

(*except Pro Gators, Military Gators)

GATOR/UTILITY VEHICLE

TIME/HOUR OPTIONS

Options Above Include the Deere Basic Warranty:

Full Machine - 12 months / 1000 hours

• Pro Gators carry separate G&T Basic Warranty and not

eligible for PPP.

• Military Gators are also not eligible for PPP plans.

• E-Gators have special time/hour options.

18 Months / 250 Hours 30 Months / 500 Hours

18 Months / 500 Hours 30 Months / 1000 Hours

24 Months / 300 Hours 36 Months / 600 Hours

24 Months / 600 Hours 36 Months / 1200 Hours

Page 46: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

GOLF EQUIPMENT

TIME/HOUR OPTIONS

“Total” Time and Hour OptionsIncludes the underlying JD Basic Warranty of 12 months

For New Fairway Mowers, Greens Mowers, Utility

Mowers, Bunker Rakes, Wide Area Mowers

Options Above Include the Deere Basic Warranty:

Full Machine - 24 months/”unlimited” hours

36 Months / 1000 Hours 42 Months / 1750 Hours

36 Months / 1800 Hours** 42 Months / 3500 Hours*

36 Months / 3000 Hours* 48 Months / 2500 Hours

48 Months / 3500 Hours*

* Options not available for Bunker Rake

** 70% of G&T equipment leased

Page 47: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

AMS COMPONENTS

COVERAGE TERM OPTIONS

For: Starfire iTC Receivers, Mobile Processors,

Original GS Displays, GS2 Displays

Total Time Options(Includes the underlying JD Basic Warranty of 12 months)

Program Parameters & Features:• Comprehensive Coverage – full unit replacement if failure occurs in coverage term

• $0 customer deductible

• Coverage is transferable to future customers on same component, until PG end date

• Coverage transfers to replacement units when failures occur under the basic warranty

• No fees or paperwork for transfers

• Customers have 95 days to purchase PowerGard after delivery of the unit

• Coverage allows for 1 hour labor (to dealer) to install replacement units

24 Total Months

36 Total Months

Page 48: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

MARKETING TIPS

SALES

Anyone at the Dealership can sell

PowerGard Protection Plans!

Technicians

Controllers

Parts

Personnel

CSRs

Salespersons

Service

Managers

Dealer

Principle

General

Manager

Page 49: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

PG Brochures - available via PDF file only on-line.

PG Certified Decals & Clings– available at NO CHARGE

Contracts - available via PDF file on PG Home Page

PG Manuals - available via PDF file on PG Product Home Pages

Test Kits - ordered via John Deere parts system (DNS)

Part numbers are all listed on PowerGard web site

MARKETING TIPS

PROMOTIONAL ITEMS

Page 50: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

Offer/Sell PowerGard at “Point of Sale”:

Least expensive time to purchase (Due to grace period/no I/C)

Most likely time to purchase (80%+ of contracts sold at POS)

No delayed purchase surcharges or inspections/certification imposed

Simply check Accept/Reject box on PG Form or Proposal Document

Enter PowerGard contracts after delivery receipt is processed!

Reduces special allowances requests/payments!

Include in financing (makes little difference in payments)

Let the customers decide!

MARKETING TIPS

Page 51: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

Offer PowerGard while unit is “in for service/warranty”:

First determine eligibility!

- Example: Tractors must be still within the John Deere

basic warranty coverage of 24 Months/2000 Hours. – Be sure to

check the “Machines Eligible” search function on PPP site.

Catches customer at moment of doubt, but convenient time to buy

Complete Inspection/Certification (if needed) while unit is in shop

Gives customer a second chance to purchase PowerGard

Shows you are looking out for the customer’s risk

Can use JDF, cash, or bank finance to pay for contract

MARKETING TIPS

Page 52: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

MARKETING TIPS

CertifyUsed CombineTractor units

immediately upon trade-in (that meet

age/hour parameters). Place “certified” window

cling/decal on unit.

Increase customer awareness

Test engine, transmission, coolant, hydraulic fluids prior to changing fluids!

Display “PG Certified” window clings or decals to draw customer’s attention

Multi-point Inspection and sample tests build customer confidence

Offering PowerGard on certified units helps turn used inventory quicker

Used unit certification is good for the following period:

* 12 months from “acceptance” and/or 250 engine hours of use.

Alerts salesmen it’s “PowerGard ready”

Page 53: Extended Warranty for John Deere AG & Turf Equipment and ...€¦ · “Basic Warranty “Used, Beyond Warranty” Units must be held for sale in dealer inventory. Inspection/Certification

Protection You Deserve…Value You Expect!

Thank You!