DULUTH, GA - October 2005 - AGCO Corporation (NYSE:AG), a worldwide manufacturer and distributer of agricultural equipment, has reached an agreement with BEELINE Technologies, Inc. to assume responsibility for the assembly and distribution of the company's popular satellite-based steering systems. Today these systems are sold under the Auto-Guide™ brand by AGCO as original equipment (OEM) on high-horsepower agricultural tractors and application equipment, and by BEELINE as an aftermarket installation under the Arro™ brand name.
"The agreement strengthens procuct marketing and customer service by vringing assembly, sales and service under one roof," stated Dexter Schaible, Sr. VP of Product development, AGCO. "This agreement is just the latest step in a partnership that has benefited our customers, our companies and our dealer networks."
Under the agreement, AGCO will provide distribution for bothOriginal Equipent (OEM) and aftermarket sales in North America and on a worldwide basis through AGCO dealers. The two companies will also co-operate closely to enhance the existing Beeline distribution and further develop the best distribution channels for Australia, Europe, South America and the rest of the world as those regions begin to adopt this technology. this will allow AGCO to expand distribution of the patented autosteering system through a broader distribution channel.
BEELINE Technologies will remain the core growth engine behind the Auto-Guide software. the Brisbane, Australia based firm will continue to develop and integrate technologies for the Auto-Guide product line as a preferred strategic partner with AGCO.
"This change allows us to focus on areas that BEELINE handles well - creating the most advanced guidance systems available," says Peter Williams, CEO, BEELINE Technologies. "And it leaves our strategic partner, AGCO, to focus on what they do best - distribution."
BEELINE Technologies was started in Australia by a group of farmers who recognized the potential for enhanced efficiency and productivityif global positioning satellites (GPS) could be used to steer tractors in a straight line. Doing so would eliminate skips and overlaps of from 7 to 15%, often resulting in misapplication of costly fertilizer, seed and other inputs and wasting labor, fuel and equipment. it would also reduce operator fatique and allow equipment to operate as afficiently at night and in lowvisibility situations as it does in daylight hours. BEELINE was the first company to commercially market a GPS-based steering system. theire patented GPS/INS tecnology was another first in the industry, which has been copied, not equaled.
AGCO's Challenger brand wa the first to offer the new technology as a factory-fitted option on its MT700 and MT800 track tractors. Now, Auto-Guide satellite-based steering systems have been introduced on high horsepower FENDT, Massey Ferguson, AGCO and Challenger wheeled tractors, as well as RoGator and TerraGator application equipment.
"AGCO has a vision of high-tech solutions for professional farmers feeding the world," Schaible said. "Our relationship with BEELINE strengthens our vision. BEELINE systems are performing well for us, and we have plans to introduce them on more products in the coming year."
