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MORGAL ACHIEVES JOHN DEERE PARTNER STATUS FOR SECOND STRAIGHT YEAR

On March 9th, 2005 Rodney Hickman General Manager and Sam Jenkins, Manufacturing Manager, represented Morgal Machine Tool Company at John Deere's Achieving Excellence banquet in Davenport Iowa. Morgal was one of 168 suppliers to receive the award, out of John Deere's total worldwide supply base of 30,000 suppliers. Morgal was one of only four suppliers serving the Greenville, Tennessee facility to receive the award. Partner level suppliers are the benchmark for all suppliers at John Deere.

The metrics that Morgal exceeded to achieve the award are:

• Quality Performance less than 400 ppm
• Delivery Performance less than 10,000 ppm
• Cost Management including a 3.5% cost downs
• High marks in Technical Support and Wavelength.

John Deere requested all the participants at the banquet go back to their respective facilities and deliver the simple message: "Thank You" to all of their associates. It requires a tremendous effort to achieve the Partner level at Deere and those efforts are truly appreciated.

John Deere's 2005 motto: "Growing a business as great as our products"