Profits down 6%, some markets strong. Overall economy weaker, layoffs minimal, some in Peoria but no more than a cyclical move, according to Mr. Owens.
Stockholders unfortunately should not expect much value movement for some time to come. Caterpillar share priced dropped another $2 today , down roughly $45 dollars a share. A holder of 1000 shares would have seen a decrease of $45,000 in their stock value in approximately a year.
Not mentioned by Mr. Owens was the higher interest costs Caterpillar paid recently to finance future growth.
My message to Mr. Owens is to forget about the visitors center and museum and use that savings of $70 million dollars to build value in the company for their stockholders. Stockholders own the company. They didn't invest to see their stock slip over 50%.
The economy definitely will sweep the Democrats into overwhelming majorities and power nationwide.
Few people realize that President Bush vetoed none of the excessive spending bills that crossed his desk. He signed many because of pressure by the Democrats on the president to spend more on their legislation. Why? This was "blackmail" to the president and some Republicans for Democrat support of funding of our troops in Iraq.