Decision Aligns With Caterpillar’s Enterprise Strategy
BEIJING, Nov. 21 /Xinhua-PRNewswire/ -- Caterpillar Inc. (NYSE: CAT)
announced today it is moving its Asia Pacific Operations headquarters to
Beijing, China. Caterpillar Vice President Rich Lavin, who has
administrative responsibility for operations in Caterpillar’s Asia Pacific
Division, will relocate from Tokyo, Japan, to Caterpillar’s Beijing offices
as part of this decision.
"Caterpillar is growing in China, and moving our Asia Pacific Operations
headquarters to Beijing will provide a sharper focus for operational
excellence for Team Caterpillar," said Lavin. "Operational and sales success
in China is a critical success factor for the company’s long-term growth and
profitability. This move will help us achieve those goals while contributing
to the growth, development and ever-improving quality of life in China."
The Caterpillar Board of Directors elected Lavin vice president of
operations for the Asia Pacific Division effective July 1, 2004. In this
role Lavin serves as chairman of Shin Caterpillar Mitsubishi Ltd. and has
administrative responsibility for operations in the region, including
manufacturing facilities in China, India, Indonesia and Japan. Lavin’s move
to Beijing is effective immediately. Caterpillar’s Asia Pacific Marketing
Division headquarters will remain based in Singapore.
In October of 2005, Caterpillar Chairman and CEO Jim Owens outlined
Caterpillar’s new enterprise strategy and goals for delivering Caterpillar’
s Vision 2020. As part of that strategy, China was listed as one of seven
critical success factors needed for Caterpillar to achieve its new strategy.
"China is clearly a key element of our future strategy, and we are
rapidly expanding our business in support of the growing number of customers
who are helping to build, develop and modernize China’s infrastructure and
economy," said Stu Levenick, Caterpillar group president with responsibility
for Asia. "The movement of our Asia Pacific Operations headquarters to China
is a clear indication of China’s strategic importance to Caterpillar and our
desire to expand our manufacturing base and enhance support for customers in
this critical market and elsewhere."
Today, Caterpillar operates 13 China-based facilities -- both joint
venture and wholly owned businesses -- which, together with its network of
independent Caterpillar dealers, offer customers in China the best-in-class
products, services and support that have made Caterpillar a global leader.
The world’s most populous nation has undergone an economic growth and
expansion that is unprecedented in modern times, and expected future growth
in China makes it the single largest opportunity for potential future sales
for many Caterpillar products.
Caterpillar has a long history in China. The company sold its first
products there in 1975 and opened an office in Beijing in 1978. Beijing is
home to Caterpillar’s marketing headquarters for China, and it is also the
headquarters for Cat China Financial Leasing.
In the 1980s, Caterpillar launched technology transfer agreements with
Chinese manufacturers who began building Caterpillar licensed products.
Caterpillar’s expansion in China accelerated in the early 1990s with the
establishment of a more significant local production strategy.
For more than 80 years, Caterpillar Inc. has been making progress
possible and driving positive and sustainable change on every continent.
With 2005 sales and revenues of $36.339 billion, Caterpillar is the world’s
leading manufacturer of construction and mining equipment, diesel and natural
gas engines and industrial gas turbines. More information is available at
http://www.CAT.com/ .
SAFE HARBOR
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expectations and as such constitute forward-looking statements involving
known and unknown factors that may cause actual results of Caterpillar Inc.
to be different from those expressed or implied in the forward-looking
statements. In this context, words such
as "expects," "anticipates," "intends," "plans," "believes," "seeks," "will,"
or other similar words and phrases often identify forward-looking statements
made on behalf of Caterpillar. It is important to note that actual results
of the company may differ materially from those described or implied in such
forward looking statements based on a number of factors and uncertainties,
including, but not limited to, changes in economic conditions, currency
exchange rates or political stability; market acceptance of the company’s
products and services; significant changes in the competitive environment;
changes in law, regulations and tax rates; and other general economic,
business and financing conditions and factors described in more detail in the
company’s filings with the Securities and Exchange Commission, including the
quarterly report filed on Form 10-Q with the Securities and Exchange
Commission on November 2, 2006. We do not undertake to update our forward-
looking statements.