Machinery Pete offers his insight into values of used combines, tractors, combine headers, balers, planters and more. He visits tons of auctions each year for this information.

1. Machinery Pete “Used Value Index”
Machinery Pete: covering the used
* 4th Quarter 2012 * farm equipment market since 1989

2. Machinery Pete:
“The Auction Price Guy”
• Sale Price Data Machinery Pete has
compiled over 500,000 auction sale prices on
ALL types of used farm & construction
equipment sold throughout North America
since 1989
• Sources Pete has built a network of
800+ regional auctioneers, 600+ ag lenders,
400+ implement dealers and thousands of
farmers throughout the U.S. & Canada
• Trusted Commentator
Machinery Pete has written a popular
monthly column in national farm magazines
since 1992 on current & historical trends with
used equipment values (2001-present
Successful Farming; late 1990’s to present
Implement & Tractor). Pete writes a weekly
online column for Agriculture.com
• Cable TV Pete appears each week on
the “Machinery Show” on RFD-TV cable
channel, talking about auction prices &
trends in used equipment values

3. MachineryPete.com

4. 4th Qtr. 2012 “Used Value Index”
(Overall Index Rating: includes all types of farm equipment)
10
9
8
7
6
5
4
3
2
1
0
2
2
2
2
2
2
2
2
2
2
2
2

5. 4th Qtr. 2012 “Used Value Index”
Overall Used Equipment Market
Last Decade Qtr. By Qtr.
Qtr 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
.
1st 4.5 4.5 4.5 5.5 7.3 7.3 7.7 9.5 9.5 9.0 9.3 9.4
2nd 4.5 4.5 4.4 6.6 6.8 7.2 7.5 9.2 9.1 8.3 8.8 9.0
3rd 4.4 4.4 4.6 7.1 6.7 7.0 7.5 9.3 8.7 8.6 9.3 8.7
4th 4.2 4.2 5.9 7.2 7.3 7.5 9.3 9.5 9.2 9.3 9.4 9.1
• Index rating shoots HIGHER 4th Qtr. each of past 10 years

6. The results:
4th Qtr. 2012 market conditions
Overall Index rating: 9.1
Big jump from 8.7 Index rating 3rd Qtr. ‘12
Factors Driving Used Equipment Values 4th Qtr. 2012
• TAX motivated buyers. Extremely strong push to maximize Sec 179 IRS tax write off limit. Big
fear of dropping write off limits that were in place for 2013, fear write off could go away
• Used Tractor values push towards all time HIGHS. Extremely TIGHT used market
• Used Combine values stabilized 4th Qtr. after significant drop in value 3rd Qtr. ‘12
Look Ahead to 1st Qtr ‘13: Used Values Remain High
MachineryPete.com

7. Used Equipment Categories
• Tractors: 4WD
• Tractors: 200+ HP
• Tractors: 130-200 HP
• Tractors: 100 HP
• Combines
• Grain Handling Equipment
• Hay/Forage
• Tillage
• Planting/Seeding Equipment
• Garden Tractors
• Construction Equipment
• Skid Steers
• ATVS
• Pickup Trucks

8. Used 4WD Tractor Values
Tractors: 4WD 10
9
Results: Used values near
8
all time High
7
Strong buyer demand for nice 6
condition used 4WD tractors no
matter how old they 5
are…3, 5, 10, 15, 20, 30+ years Used 4WD
old, all UP in value 4th Qtr. 2012 4 Tractor Values
3
Outlook for 1st Qtr. 2013 2
Pete’s Take: “Used 4WD Tractor 1
values should remain at this
elevated level.” 0
2007
2010
MachineryPete.com

9. 1999 CaseIH 9350 with
4,755 hours, sold: $82,500
12/29/12 farm auction in west-central
Illinois
Tied 2nd highest auction price in
past 10+ years
12/12/12 farm sale in southeast
Minnesota…record auction price on
1994 Ford-NH 9880 with 1826 hours:
$98,000…previous high price: $83,500.
Same auction…1998 CaseIH 9380 with
3484 hours sold: $100,000…highest
sale price in 11 ½ years

10. Used Tractor Values 200+ HP
Tractors: 200 HP+ 10
9
Results: Used values 8
Push Higher
7
• Used values spike higher year 6
end after having dipped just
below super high 9.0 Index rating 5 Used Tractor
for 1st time in 2 years 3rd Qtr. ‘12 Values 200+
4
HP
3
Outlook for 1st Qtr. 2013
2
Pete’s Take: “I don’t see a change
here early 2013…used values in 1
this HP Class will remain very
strong.” 0
2007
2010
MachineryPete.com

11. 2000 JD 8310 with 1,209
hours, sold: $151,000
12/12/12 farm estate auction north-
central Illinois
New record auction sale price
Shattered previous record high auction
sale price by $46,000!

12. 2000 JD 8410 with 2,836
hours, sold $130,000
11/17/12 farm auction northwest Ohio
2nd highest auction price ever
Only JD 8410 to sell higher at
auction…9/11/10 farm auction
northwest Illinois, 2000 model 8410
with only 584 hours on it, sold
$136,000….now look how close the
8410 on 11/17/12 Ohio auction came
on price despite having 2,200+ more
hours on it….this speaks to growing
buyer demand

13. Used Tractor Values 130-200 HP
Tractors: 130-200 HP 10
9
Results: Blistering Buyer 8
Demand
7
Off the charts buyer demand
6
continues for good condition
used Tractors in this 130-200 HP 5 Used Tractor
segment. Fevered auction Values 130-
bidding late in 2012 4 200 HP
3
Outlook for 1st Qtr. 2013
Pete’s Take: “Absolutely no slow 2
down in sight early in 2013. Very
low number of machinery 1
auctions (Jan. ‘13 one of slowest
months I’ve ever seen) works to 0
keep buyer demand focused.” 07 10
MachineryPete.com

14. 1990 CaseIH 7130 with
3,886 hours, sold: $68,000
12/7/12 farm auction southeast
Nebraska
New record auction price
This was 3rd time record price was
broken since August ‘12. Record had
been $56,000 since September 1996:
• $62,000: 8/23/12 southeast MN
• $66,000: 11/24/12/ southeast IA
• $68,000: 12/7/12 southeast NE

15. 1998 CaseIH 8930 with
2,990 hours, sold: $84,500
11/10/12 farm auction northwest Iowa
New record sale price by $10,500
Perspective…..previous record sale
price was $74,000, all the way back on
12/21/98 auction in southeast
Missouri for a 1-year old CaseIH 8930
with only 5 hours on it!

16. 1999 JD 7810 2WD with
2,200 hours, sold: $87,500
11/3/12 farm auction north-central
Iowa
New record auction price (2WD)
Noticeable bump in buyer demand for
good condition 2WD used Tractors

17. JD 4440 with 5,333
hours, sold: $42,000
10/25/12 farm sale south-central
Wisconsin
4th Highest Auction Price Ever
Real nice JD 4440…but 5,333 hours! I
have seen 1,145 JD 4440’s sell at
auction going back 17 years…only (3)
I’ve seen sold higher at auction all sold
on famous 3/6/09 farm auction in
west-central Illinois….those (3) 4440’s
had 1,843, 692 & 47 hours on them

18. Tractors: 100 HP & Used Tractor Values (100 HP &
Under Under)
10
Results: Used values inch higher 9
8
• Used values began climb from long-
held stagnant/flat position late in 7
2010, continued higher late 2011 and
steadily rose throughout 2012 6
5 Used Tractor
4 Values (100
OUTLOOK FOR 1st Qtr. 2013 HP & Under)
Pete’s Take: “I see pretty much the
3
same thing here as for other segments 2
of the used Tractor market early in
2013…continued strength.” 1
0
2007
2010

19. Combines
Used Combine Values
10
9
8
7
6
5
4 Used Combine Values
3
2
1
0

20. Machinery Pete “Used Value Index”
Combine Ratings
‘07 ’08 09 ‘1 ‘1 ’1
1st 2nd 3rd 4th 1st 2nd 3rd 4th 1st 2nd 3rd 4th 0 2n 3rd 4th 1 2n 3rd 4th 2 2n 3rd 4th
Qt Qt Qt Qt Qt Qt Qt Qt Qtr Qtr Qt Qt 1st d Qt Qt 1st d Qt Qt 1st d Qt Qt
r. r. r. r. r. r. r. r. . r. r. Qt Qt r. r. Qt Qt r. r Qt Qt r. r.
r. r. r. r. r. r.
7.2 7.2 7.1 8.5 8.7 8.7 8.6 8.8 8.7 8.3 8. 8. 8. 7. 7. 7. 7. 6. 6. 7. 7. 7. 6. 6.
3 4 1 0 0 5 1 7 9 5 5 0 5 7

21. Combines:
Used Values in 4th Qtr.
Used Values Holding – But Over Supply Issue Still There
• Factors that helped used Combine values 4th Qtr. 2012:
– Very strong year end tax buyer push
– Commodity prices shot higher mid August…more buyer optimism followed
– Drought/Insurance: much brighter buyer outlook end of year vs. mid year
• Lingering issue of Over Supply of Late Model Used Combines on Dealer Lots
– Mfg. gets proactive, offer dealers $$ incentive for each used Combine sold at auction late ’12
• Uptick in No. of large Dealer/Consignment auctions late ‘12 - high No. of late model used units
1st Qtr. 2013 Outlook:
• “Hold Steady”……for now. Used values likely to dip 2nd & 3rd Qtr. ’13, just like 2010 & 2012
• SAME AS I SAID LAST QTR: Finding homes for the “off roll” program late-model used units will
continue to be a challenge on into 2013. Tough task to goose the absorption rate
MachineryPete.com

22. 67.6% More JD 9870 STS
Combines Sold at Auction
in 2012 vs. 2011
JD 9870 STS Combine Values
• Ave. Auction Price 2012: $173,007
• Ave. Auction Price 2011: $188,071
----------------
• Ave. Dealer Ad Price ‘12: $256,768
• Ave. Dealer Ad Price ‘11: $257,350
Ratio Ave. Auction Price/Ave. Dealer
Advertised Price:
2012: 67.4%
2011: 73.1%
This falling ratio % speaks to the
continuing over supply issue of late
model used Combines on dealer lots.
Many very large dealer/consignment
auctions June – December 2012….more
will follow in 2013

23. 2011 JD 9770 STS Combine
with 0 Hours, sold $269K
11/16/12 farm auction east-central
Minnesota
Strong Sale Price
$269,000 auction sale price was quite
a bit off retail value, but higher than I
was expecting going into the sale.
Evidence of “firming used values” 4th
Qtr. 2012

24. 2000 CaseIH 2366 with
1,120 engine hours, sold
$135,000
12/12/12 farm auction north-central
Illinois
2nd Highest Auction Price Ever
Example of still strong buyer
demand for slightly older/smaller
used Combines in very good
condition. Bidders from as far
away as Kansas drove to this
Illinois auction for this combine

25. Recap: Trends in Used Tractor/Combine values
Market action
4th Quarter 1st Qtr. 2013
Tractors: 4WD Strong/Rising Stay Strong
Tractors: 200 HP+ Strong/Rising Stay Strong
Tractors: 130-200 HP Red Hot Stay Strong
Tractors: 100 HP Inching Higher Hold to Slow
Rise Continues
Combines Stabilized Hold…for now

26. Used Grain Handling Equipment
Used Grain Handling Values
Equip. Values Very Strong 10
9
Category includes: Grain carts, gravity 8
wagons, grain trailers, grain
vacs, augers 7
6
5 Used Grain
Values Up in 4th Qtr. 2012
Handling
4 Equipment
3 Values
OUTLOOK FOR 1st Qtr. 2013
Pete’s take: “Used Grain Handling 2
Equipment values shot up 4th Qtr. 2007
and have remained high, between 8.5 1
– 9.0 Index Rating since. I’m looking for
used values to remain in this range 0
early in ‘13.”
2007
2010

27. Walinga 614 Grain
Vac, sold: $13,500
11/16/12 farm auction east-central
Minnesota
Record auction price
$3,000 above previous record high
auction sale price of $10,500 on
11/28/07 farm auction west-central
Iowa

28. Used Hay/Forage Equipment
Hay/Forage Equipment Values
Used Values Hold Even 10
9
Category includes: Hay balers, Hay
Stacking Equipment, Hay 8
Racks, Rakes, Mower/Conditioners, Te
dders, Inverters, Haybines, Forage 7
Choppers, Forage Boxes, Forage
Blowers 6
5 Used
Spotty Buyer Demand Hay/Forage
4 Equipment
3 Values
OUTLOOK FOR 1st Qtr. 2013
Pete’s Take: “I’m looking for some 2
continuing “softness” with used Round
Baler values, but for most other areas 1
of this equipment sector I’d say we’ll
see continued slightly/slowly rising
0
2007
used values.” 2010

29. JD 336 square baler, sold
for $4,900
11/24/12 farm auction southeast
Minnesota
New record auction price
Also on this 11/24/12 farm auction in
southeast MN, a New Holland 28
Forage Blower sold for $1,200…highest
sale price I’ve seen in 13 years

30. Used Tillage Equipment
Tillage Equipment 10
Used Values Dip Slightly 9
Category includes: 8
Cultivators, Disks, Disc
Chisels, Drags, Finishers, Mulchers, Plo 7
ws, Rotary Hoes, V Rippers, Vertical
Tillage Tools 6
5
Used Tillage
High Used Values for 5 Years 4 Equipment
3
2
OUTLOOK FOR 1st Qtr. 2013
Pete’s Take: “A mini glut of late model 1
used Tillage (Disc Chisels) sold on late
2012 big dealer/consignment auctions 0
dragged own values a bit in this
2007
category. I look for values to hold or 2010
bounce slightly higher early ‘13.”

31. Used Construction Equipment
Construction Equipment: Values
Used Values Creep Higher 10
9
Category includes:
Dozers, Crawlers, Backhoes, Payloader 8
s, Road
Graders, Forklifts, Tractor/Loader/Back 7
hoes, Cranes, Trenchers, Telehandlers
6
5 Used
• Strong Rebound Continues Construction
4 Equipment
3 Values
2
•OUTLOOK FOR 1st Qtr. 2013
•Pete’s Take: “Used values been 1
working their way slowly up since 4th
Qtr. 2010. I see more of the same for 0
early 2013.”
2007
2010

32. 1977 Fiat-Allis 11B
Dozer, overhauled, sold:
$25,000
12/1/12 farm auction north-central
Missouri
Record Auction Price
$25,000 was WAY above what the
auctioneer expected on this good used
Dozer. Just shows the increased buyer
demand for farmer use heavy
Construction Equipment

33. Used Skid Steer Values
Skid Steers: 10
Used Values Rise Slowly 9
8
7
Premiums Paid for Good Ones 6
5
Used Skid
4 Steer Values
OUTLOOK FOR 1st Qtr. 2013 3
Pete’s Take: “My take is used Skid Steer
values will remain in this 7.0 2
range, possibly inch bit higher early in
2013..” 1
0
2007
2010

34. 2000 Bobcat 873 with
1,830 hours, sold: $18,250
12/22/12 farm sale northeast
Nebraska
2nd Highest Price Since March ‘07
Topped by 2002 Bobcat 873 with 1,761
hours sold for $22,500 on 11/28/12
consignment auction in east-central
North Dakota….sure sign of a RISING
market when you see premium price
on a consignment auction

35. Used Planting/Seeding Equipment
Planting/Seeding Equip: Values
Used Values Fall Slightly 10
9
Category includes: Planters, Drills, Air
Drills 8
7
6
Higher Volume Sold Late 2012 Used
5
Planting/Seedi
4 ng Equipment
3 Values
OUTLOOK FOR 1st Qtr. 2013
Pete’s Take: “The big increase in No. of 2
very large dealer/consignment
auctions in December 2012 did bring 1
more late model larger used Planters
into play, dropping values slightly, but 0
no nosedive. My guess is values will
2007
2010
stabilize early in 2013.”

36. CaseIH 1250 24-
Row, 3,987 acres, sold
$140,000
12/27/12 dealer auction north-central
Iowa
Highest of (5) Sold on This Sale
The other (4) CaseIH 1250 24-Row
models sold on this 12/27/12 dealer
auction in north-central Iowa went for
between $72,500 - $101,000

37. Garden Tractors: Used Garden Tractor Values
10
Used Values Continue
Climb Higher 9
8
7
Strengthening Used Values 6
5
Used Garden
4 Tractor Values
OUTLOOK FOR 1st Qtr. 2013
Pete’s Take: “Rising home 3
values, rising 401K accounts helping
conditions in this segment in metro 2
areas, used values bumping bit higher
from lows back 2nd Qtr. 2010. I think 1
used values will hold in their current
range early in 2013.” 0
2007
2010

38. Used ATV/Utility Vehicle Values
ATVS/Utility Vehicles: 10
Used Values Healthy 9
8
Category includes: ATVS, utility
vehicles 7
6
Steady as She Goes 5
Used ATV
4 Values
3
OUTLOOK FOR 1st Qtr. 2013
Pete’s Take: “Early 2013 should look 2
much like late 2012…used values hold
to inch higher.” 1
0
2007
2010

39. Used Pickup Values
Pickup Trucks: 10
Used Values Bump Up 9
8
7
Strong Demand for Good Used 6
5
Used Pickup
4 Values
OUTLOOK FOR 1st Qtr. 2013 3
Pete’s Take: “I continue to see very
high demand for nice condition, mid to 2
lower mileage used Pickups when
available on farm auctions. Strong 1
buyer demand should continue in early
2013..” 0
2007
2010

42. How Machinery Pete
Used Value Index is made
Quarterly Index ratings are assigned on
a scale of 1 to 10 to show relative
strength of current and historical used
equipment values. 6.0 =
“stable/normal” used values. There are
two levels...
• Comprehensive Index rating for
overall used farm equipment values
• Index ratings broken down by
equipment sectors
MachineryPete.com

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