Cat considering major layoffs
Oct 16, 2002 12:00 PM
Despite posting solid third-quarter numbers, Caterpillar Inc. said it may temporarily lay off up to 3,270 workers due to lower industry demand for heavy trucks. The estimate includes the 470 full-time employees whose layoffs were announced last month. Pre-ordering of Class 8 trucks earlier this year helped engine makers and OEMs as fleets made purchases ahead of the October 1 EPA deadline for cleaner heavy-duty diesel engines. Cat reported sales and revenues of $5.08 billion, $19 million more than the previous year and profit of $213 million, a rise of $8 million, for the third quarter. "There is no doubt we are in an extended downturn and uncertainty about a recovery continues, yet we are delivering a solid profit," said CEO Glenn Barton. "We have been putting into place the building blocks that will allow us to remain profitable at the bottom of the business cycle. And it is working."
