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News Release from Caterpiller


Caterpillar Update on Impact of Tornado-Damaged Oxford, Mississippi Manufacturing Facility

Company is focusing global resources on business resumption for component operation struck by tornado

     PEORIA, Ill.— Caterpillar Inc. (NYSE: CAT) is focusing the full scope of its global business and network of suppliers on resuming operations at the company’s Oxford, Mississippi facility that manufactures hose couplings for most Caterpillar machinery.  As Caterpillar moves forward with the comprehensive business resumption plan for Oxford, the company is also leveraging internal and external resources from around the world to supply hose couplings to affected Caterpillar manufacturing plants.

     To date, the disruption of operations in Oxford has not stopped production at other Caterpillar facilities.  However, for the next few months, assembly operations covering a broad range of machinery will be sporadically impacted as a result of the tornado damage.  It’s too early to estimate an impact on company results due to the tornado.

     “The most important thing is that our employees in Oxford were able to walk out of that facility with only a few minor injuries,” said Steve Wunning, Caterpillar group president.  “In the face of this disaster, Team Caterpillar is working around the clock to bring Oxford

 back on-line and to make sure our customers will continue to be served with as little disruption as possible.  It is a challenge, but I am confident our employees, our dealers and our suppliers will work together to succeed.”

     In Oxford, work is already under way to repair part of the existing facility where the tornado damage was less significant.  We hope to have machines in this area of the facility operational soon.  In addition, the company is leasing manufacturing space in the Oxford area with plans to move some production operations to the leased space.

     Caterpillar is also identifying qualified alternative suppliers, working to utilize other Caterpillar facilities and identifying inventory that may be used in the short-term to assist in maintaining supplies to Caterpillar manufacturing plants.

     “We have had a tremendous response from a number of our key suppliers who have stepped up to provide us with resources and components in the wake of this disaster,” said Chris Schena, Caterpillar vice president with responsibility for the Motion and Power Control Division.  “On behalf of our customers and all of Team Caterpillar, I want to thank those who are helping us during this challenging period.”

     For more than 80 years, Caterpillar Inc. has been making progress possible and driving positive and sustainable change on every continent. With 2007 sales and revenues of $44.958 billion, Caterpillar is the world’s leading manufacturer of construction and mining equipment, diesel and natural gas engines and industrial gas turbines. The company also is a leading services provider through Caterpillar Financial Services, Caterpillar Remanufacturing Services, Caterpillar Logistics Services and Progress Rail Services. More information is available at

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