Group4 CAT model by p4tPzt8

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									Company:                 Caterpillar, Inc.                                DATES
Ticker:                  CAT
Shares Outstanding: 0.60                                                10-K Filed 2/22/09
Current Price: (USD) 37.26                                              close 5/1/09
(In Billions)            1000
Currency:                USD                              1



Cost of Debt
Tax Rate                                21.00% Caterpillar 10-K p. 176
Last debt Issued                         6.50% NPR.news.com
Cost of Debt                            5.14%


Cost of Equity
Risk-Free Rate                           2.03% Accessed Bloomberg 4/27/09
Market Risk Premium                          10%
Beta                                         1.7 Morningstar.com
Implied Cost of Equity                 19.03%



Capital Structure        Weight                    Cost
Equity                                  38.68%                 19.03%
Debt                                    61.32%                  5.14%
                         WACC                                 10.51%
September 16, 2012
Caterpillar, Inc.
Recommendation: BUY

Ticker                                  CAT
Current Price (USD)                    $37.26
Target Price
Total enterprise value (M)
Market Cap (M)

Relative Ratios
                                 CAT          Comps
2009 Forward P/E
2009 TEV/EBITDA
Gross Margin (%)
Profit Margin (%)
EBITDA Margin (%)
ROIC (%)

Note: All figures calculated using price as of market
close on May 1, 2009. Information for forward mean
estimates for comparables accessed from Thomson One
Analytics for fiscal year 2010. All margins, return, and
growth are based on year ending December 2008 results.
Companies included in comparable averages are: Terex
Corp., Astec Industries, Inc., and Cummins, Inc.

                                                                              Key Forecast Assump
                                                                               2008
                                                           Revenues           $51,324
                                                              Growth          14.16%
                                                           Gross Profit        11,756
                                                              Margin          22.91%
                                                           Operating Profit     4,448
                                                              Margin           8.67%
                                                           Net Income         $ 3,557

                                                           EPS                $ 5.66
                                                              Growth            5.52%

                                                           FFCF per Share     $ 1.63
Note: All figures are in millions of USD with the ex




                        Forcasted Free Cash
                          2008
Operating Profit         $ 4,448
    Add: DD&A              1,980
EBITDA                     6,428
    Less: Taxes             (948)
    NWC                   (2,274)
    CapEx                 (1,580)
FFCF                     $ 1,626

Present Value FCF $           -
Note: All figures are in millions of USD with the ex
Key Forecast Assumptions
         E2009       E2010     E2011     E2012
         ######      ######    ######    ######
             -30%        0%      20%       18%
             6,467    6,826     9,054    11,192
              18%      19%       21%       22%
             1,078    1,437     4,311     5,494
             3.0%      4.0%     10.0%     10.8%
         $     795   $ 1,189   $ 3,496   $ 4,453

         $ 1.27      $ 1.89    $ 5.57    $ 7.09
        -77.66%      49.68% 193.94%      27.35%

        $ 1.18 $ 2.56          $ 4.33    $ 4.46
n millions of USD with the exception of per share data.




  Forcasted Free Cash Flows
               E2009      E2010       E2011       E2012
               $ 1,078    $ 1,437     $ 4,311     $ 5,494
                1,532       1,616       1,831       1,951
                2,609       3,053       6,143       7,445
                 (226)       (302)       (905)     (1,154)
                  229         711         169        (557)
               (1,437)       (898)     (1,078)     (1,272)
               $ 1,175     $ 2,565    $ 4,328     $ 4,463

               $ 1,063     $ 2,100    $ 3,207     $ 2,992
n millions of USD with the exception of per share data.




                                                                                                        Relative Valua
                                                                              2011 P/E

                                                                 CAT             6.69
                                                               MEDIAN           14.56
                                                                TEX             16.56
                                                                ASTE            12.41
                                                                CMI             14.72
                                                             Note: Forward numbers for comparbales are accessed from Th
                                                             numbers are from our valuation. All margin and return figures
                                                             calculated from each company's 10-K for the period. Outliers
                                                             averages.
                          Relative Valuation
                 2011    Gross Margin EBITDA Profit Margin
                                                                              ROIC (%)
              TEV/EBITDA     (%)      Margin (%)  (%)
                   9.00            22.91          12.52           6.93           10.40
                   7.94            21.31          8.70            4.16           13.73
                   8.08            19.49           5.24           0.73           12.74
                     -             24.05          11.92           6.49           14.15
                   7.80            20.41           8.93           5.26           14.30
mbers for comparbales are accessed from Thomson One Analytics. Caterpillar forward
our valuation. All margin and return figures are for the year ending December 2008 and
ch company's 10-K for the period. Outliers and negative numbers were not included in
Company:                                          Caterpillar, Inc.                 DATES
Ticker:                                           CAT
Shares Outstanding:                               0.60                            10-K Filed 2/22/09
Current Price: (USD)                              37.26                           close 5/1/09
(In Billions)                                     1000000.00
Currency:                                         USD                    1



                                      2003            2004             2005          2006
                                       FY0             FY1              FY2           FY3
Revenues                               22.76          30.31            36.34         41.52
Costs of Goods Sold                   (16.95)        (22.50)          (26.56)       (29.55)
Gross Profit                           5.82           7.81             9.78          11.97

Operating Costs                       (4.13)          (5.13)           (6.00)       (7.05)
Operating Profit                       1.69            2.68             3.78         4.92

Other Income (Expense)                (0.21)          0.02             0.12         (0.06)
Income Before Taxes                    1.48           2.71             3.90          4.86

Income Tax                            (0.40)          (0.73)          (1.12)        (1.41)
Equity Profit (Loss) Affiliated Co.    0.02            0.06            0.07          0.08
Net Income                             1.10            2.04           2.854          3.54

Equity Profit (Loss) Affiliated Co.    0.02           0.06             0.07          0.08

Shares Outstanding                     0.35           0.35             0.71          0.68

Diluted EPS                           $3.13           $5.75             $4.04        $5.17
Growth                                               83.96%           -29.72%       27.92%

Backlog Orders                                         9.1             12.2          14.5
Carry Forward from Previous Year                      0.32             0.61          1.70

Free Cash Flow
Operating Profit                          1.69             2.68           3.78          4.92
Add: DD&A                                 0.40             1.40           1.48          1.60
EBITDA                                    2.09             4.08           5.26          6.52
Less: Cash Taxes                         (0.45)           (0.72)         (1.09)        (1.42)
NWC                                                                      (0.63)        (0.51)
CapEx                                    (0.44)           (0.44)         (0.05)        (1.53)
FFCF                                      1.19             2.92           3.50          3.06

FFCF per Share                            $3.39            $8.24          $4.95         $4.47
Key Assumptions & Drivers
Revenue Growth                                33.14%   19.91%   14.25%

Gross Margin                         25.56%   25.77%   26.92%   28.83%

Operating Margin                     7.42%    8.86%    10.41%   11.85%

Profit Margin                        4.83%    6.71%    7.85%    8.52%

Income Taxes/ Pre-Tax Income         26.95%   27.00%   28.71%   28.90%

Other Income (Exp) / Revenue         -0.93%   0.08%    0.32%    -0.14%

DD&A / Net PP&E, Goodwill, Intang.            14.79%   14.98%   14.38%

CapEx                                         (0.44)   (0.05)   (1.53)
CapEx / Revenues                              1.45%    0.13%    3.69%

Dividends                                                          1.15
Payout Ratio                          0.00%    0.00%    0.00%   22.23%
-K Filed 2/22/09




              2007          2008         2009       2010        2011       2012
               FY4           FY5         EFY1       EFY2        EFY3       EFY4
              44.96          51.32       35.93       35.93      43.11       50.87
             (32.63)        (39.57)     (29.46)     (29.10)    (34.06)     (39.68)
              12.33          11.76       6.47        6.83       9.05        11.19

              (7.41)        (7.31)       (5.39)     (5.39)      (4.74)     (5.70)
               4.92          4.45         1.08       1.44        4.31       5.49

              0.03           0.03        (0.07)      0.02       0.03        0.04
              4.95           4.47         1.01       1.46       4.34        5.53

              (1.49)        (0.95)       (0.21)     (0.31)      (0.91)     (1.16)
               0.07          0.04        0.00       0.04        0.07       0.08
               3.54          3.56         0.79       1.19        3.50       4.45

              0.07           0.04        0.00       0.04        0.07       0.08

              0.66           0.63        0.63       0.63        0.63       0.63

             $5.37          $5.66         $1.27      $1.89      $5.57       $7.09
             3.79%          5.52%       -77.66%     49.68%     193.94%     27.35%

              17.8           14.7
              1.90           2.50           2.20


                    4.92        4.45        1.08       1.44        4.31       5.49
                    1.80        1.98        1.53       1.62        1.83       1.95
                    6.72        6.43        2.61       3.05        6.14       7.45
                   (1.48)      (0.95)      (0.23)     (0.30)      (0.91)     (1.15)
                    0.53       (2.27)       0.23       0.71        0.17      (0.56)
                   (1.23)      (1.58)      (1.44)     (0.90)      (1.08)     (1.27)
                    4.54        1.63        1.18       2.56        4.33       4.46

                    $6.89       $2.59       $1.87      $4.08       $6.89      $7.11
8.29%     14.16%    -30.0%     0.0%     20.0%     18.0%

27.43%    22.91%    18.0%     19.0%     21.0%     22.0%

10.95%    8.67%      3.0%      4.0%     10.0%     10.8%

7.88%     6.93%        2%         3%        8%        9%

29.98%    21.31%    21.0%       21%       21%       21%

0.07%     0.05%     -0.20%    0.05%     0.06%     0.08%

14.45%    12.94%    14.5%     15.3%     14.4%     13.0%

(1.23)    (1.58)     (1.44)    (0.90)    (1.08)    (1.27)
2.74%     3.08%     4.00%     2.50%     2.50%     2.50%

   1.38      1.62     $0.51     $0.57     $1.67     $1.67
25.71%    28.60%      40%     30.00%    30.00%    23.60%
Company:                    Caterpillar, Inc.               DATES
Ticker:                     CAT
Shares Outstanding:         0.60                          10-K Filed 2/22/09
Current Price: (USD)        37.26                         close 5/1/09
(In Billions)               #######
Currency:                   USD                  1



                               2004             2005         2006         2007
Assets                          FY0              FY1          FY2          FY3
Current Assets
Cash & Short-Term                 0.45            1.11          0.53            1.12
Receivables                      12.65           13.97         15.41           15.75
Prepaid Exp & Other               1.70            2.40          1.37            1.40
Inventories                       4.68            5.22          6.35            7.20
Total Current Assets             19.46           22.70         23.66           25.48

Net PP&E                          7.68            7.99          8.85           10.00
Long-Term Receivables            10.67           11.34         12.39           14.15
Investments                       0.52            0.57          0.56            0.60
Intangible Assets                 0.32            0.42          0.39            0.48
Goodwill                          1.45            1.45          1.90            1.96
Other Assets                      3.00            2.60          3.69            3.48
Total Assets                     43.10           47.07         51.45           56.13

Liabilities
Current Liabilities
Short-Term Borrowings             4.16            5.57          5.16            5.47
Accts Payable                     3.52            3.41          4.09            4.72
Accrued Exp                       2.26            2.62          2.92            3.18
Accrued Wages                     1.54            1.60          0.94            1.13
Customer Advances                 0.50            0.45          0.92            1.44
Dividends Payable                 0.14            0.17          0.19            0.23
Other Current Liabilities         0.26            0.53          1.15            0.95
LT Debt Due                       3.53            4.50          4.46            5.13
Total Current Liabilities        15.92           18.85         19.82           22.25

Long Term Debt                   15.84           15.68         17.68           17.83
Other Liabilities                 3.87            4.11          7.09            7.18
Total Liabilities                35.63           38.64         44.59           47.25

Shareholders Equity
Common Stock                       1.23           1.86          2.47            2.74
Treasury Stock                    (3.28)         (4.64)        (7.35)          (9.45)
Profit Employed                       9.94    11.81    14.59    17.40
Other Comp. Income                   (0.42)   (0.60)   (2.85)   (1.81)
Total Shareholders' Equity            7.47     8.43     6.86     8.88

Total Liabilities & Equity          43.10     47.07    51.45    56.13


Key Drivers & Assumptions

Working Capital                      6.63       7.26     7.77     7.24
Operating Cash                       0.45       1.09     0.53     1.12
WC / Revenues                      21.88%     19.98%   18.72%   16.11%

Cash & ST / Revenues                1.47%      3.05%    1.28%    2.50%
Receivables / Revenues             41.72%     38.44%   37.12%   35.04%
Prepaid Exp & Other / Revenues      5.61%      6.61%    3.30%    3.11%
Inventories / Revenues             15.43%     14.38%   15.30%   16.02%


ST Borrowings / Revenues             13.72%   15.33%   12.42%   12.16%
Accts Payable / Revenues             11.63%    9.39%    9.84%   10.51%
Accrued Exp / Revenues                7.46%    7.20%    7.04%    7.07%
Accrued Wages / Revenues              5.09%    4.41%    2.26%    2.50%
Customer Advances / Revenues          1.66%    1.25%    2.22%    3.21%
Dividends Payable / Revenues          0.47%    0.46%    0.47%    0.50%
Other Current Liabilities / Revenues  0.85%    1.45%    2.76%    2.12%
LT Debt Due / Revenues               11.65%   12.38%   10.74%   11.42%

Net PP&E / Revenues                25.35%     21.98%   21.32%   22.24%
Intangibles / Revenues              1.04%      1.17%    0.93%    1.06%
Goodwill / Revenues                 4.78%      3.99%    4.59%    4.37%
2008      2009     2010     2011     2012
 FY4      EFY1     EFY2     EFY3     EFY4

  2.74      2.87     2.69     2.16     2.03
 18.13     15.09    14.37    16.38    18.21
  1.99      1.37     1.37     1.64     1.83
  8.78      5.39     5.57     6.90     8.65
 31.63     24.72    24.00    27.07    30.73

 12.52      8.62     8.62    10.35    12.21
 15.74
  0.09
  0.51      0.36     0.36     0.43     0.51
  2.26      1.58     1.58     1.94     2.29
  5.02
 67.78




  7.21      5.03     5.03     6.04     6.87
  4.83      3.41     3.41     4.10     4.83
  4.12      2.87     2.87     3.45     4.07
  1.24      0.72     0.72     1.03     1.27
  1.90      1.44     1.44     1.72     1.93
  0.25      0.16     0.15     0.17     0.24
  1.03      0.72     0.72     0.86     1.02
  5.49      3.95     3.88     4.61     5.44
 26.07     18.30    18.23    21.99    25.68

 22.83
 12.27
 61.17


  3.06
(11.22)
19.83
(5.58)
 6.09     6.65     7.37     9.82     12.93

67.78




  9.52     9.29     8.58     8.41     8.96
  1.54     1.08     1.08     1.29     1.53
18.54%   25.85%   23.87%   19.50%   17.62%

 5.33%    8.00%    7.50%    5.00%    4.00%
35.32%   42.00%   40.00%   38.00%   35.80%
 3.87%    3.80%    3.80%    3.80%    3.60%
17.11%   15.00%   15.50%   16.00%   17.00%



14.05%   14.00%   14.00%   14.00%   13.50%
 9.40%    9.50%    9.50%    9.50%    9.50%
 8.03%    8.00%    8.00%    8.00%    8.00%
 2.42%    2.00%    2.00%    2.40%    2.50%
 3.70%    4.00%    4.00%    4.00%    3.80%
 0.49%    0.45%    0.43%    0.40%    0.48%
 2.00%    2.00%    2.00%    2.00%    2.00%
10.70%   11.00%   10.80%   10.70%   10.70%

24.40%   24.00%   24.00%   24.00%   24.00%
 1.00%    1.00%    1.00%    1.00%    1.00%
 4.41%    4.40%    4.40%    4.50%    4.50%
Company:            Caterpillar, Inc.                DATES
Ticker:             CAT
Shares Outstanding:0.60                            10-K Filed 2/22/09
Current Price: (USD)37.26                          close 5/1/09
(In Billions)       #######
Currency:           USD                  1




                                                                      FY 2011 Forward Estimates

                                  Market Cap           TEV        TEV/EBITDA Forward P/E

Caterpillar, Inc.        CAT        22.41            55.27              9.00       6.69
Terex Corp.              TEX            1.42           2.37             8.08      16.56
Astec Industries, Inc.   ASTE           0.67           0.67       -               12.41
Cummins, Inc.            CMI            6.85           7.04             7.80      14.72
                                               0              0
                     AVERAGE                                            7.94      13.57




       Target Price Calculations
2011 Avg. Comparable P/E*                 13.57
x Caterpillar 2011 EPS                    5.57
P*                                      $75.54
% Over/Undervalued                 -102.75%


2011 Avg. Comparable TEV/EBITDA    7.94
x 2011 EBITDA                     6.14
PV Enterprise Value               36.13
Add: Cash                          2.74
Less: Debt                      (12.70)
Implied Equity Value              26.16
Shares Outstanding                0.60
P*                                      $43.49
% Over/Undervalued                      -16.72%
Forward Estimates                                      Year Ending December 2008
                       Gross                  EBITDA
         Forward P/S             Net Margin                 ROA        ROE
                       Margin                 Margin
                       22.91%       6.93%     12.52%        5.25%     58.44%
                        19.49%       0.73%      5.24%        1.34%      4.18%
                        24.05%       6.49%     11.92%       10.30%     14.37%
                        20.41%       5.26%      8.93%        9.40%     23.37%

            #DIV/0!     21.31%       4.16%      8.70%        7.01%     13.98%      #DIV/0!
          ROIC

          10.40%
          12.74%
          14.15%
          14.30%

#DIV/0!   13.73%
Company:             Caterpillar, Inc.               DATES
Ticker:              CAT
Shares Outstanding: 0.60                           10-K Filed 2/22/09
Current Price: (USD) 37.26                         close 5/1/09
(In Billions)        #######
Currency:            USD                  1



                                         2005         2006         2007       2008
Free Cash Flow                            FY1          FY2          FY3        FY4
Operating Profit                      3.78            4.92          4.92       4.45
Add: DD&A                             1.48            1.60          1.80       1.98
EBITDA                                5.26            6.52          6.72       6.43
Less: Cash Taxes                     (1.09)          (1.42)        (1.48)     (0.95)
NWC                                  (0.63)          (0.51)         0.53      (2.27)
CapEx                                (0.05)          (1.53)        (1.23)     (1.58)
FFCF                                     3.50         3.06         4.54       1.63


Present Value FFCF
Sum of PV FFCF                             9.36

Terminal Growth Rate                        3%          3.5%           4%
Terminal Value                            41.04         44.19        47.81
Present Value TV                          27.52         29.63        32.06
Enterprise Value                          36.88         38.99        41.42
Less: Debt                               (12.70)       (12.70)      (12.70)
Add: Cash                                  2.74          2.74         2.74
Implied Equity Value                      26.92         29.02        31.45
Shares Outstanding                         0.63          0.63         0.63
P*                                       $42.87        $46.22       $50.09
% Over/Undervalued                       -15.06%       -24.06%      -34.45%
          1             2             3             4
2009          2010          2011          2012
EFY1          EFY2          EFY3          EFY4
 1.08          1.44          4.31          5.49
 1.53          1.62          1.83          1.95
 2.61          3.05          6.14          7.45
(0.23)        (0.30)        (0.91)        (1.15)
 0.23          0.71          0.17         (0.56)
(1.44)        (0.90)        (1.08)        (1.27)
1.18          2.56          4.33          4.46


   1.06          2.10          3.21          2.99
Company:             Caterpillar, Inc.                DATES
Ticker:              CAT
Shares Outstanding: 0.60                         10-K Filed 2/22/09
Current Price: (USD) 37.26                       close 5/1/09
(In Billions)        #######
Currency:            USD                  1




                                                                                             INCOME STATE
                                    Revenue        Gross Profit         EBIT      Net Income
Caterpillar, Inc.        CAT         51.32            11.76             4.45         3.56
Terex Corp.              TEX             9.89          1.93             0.42          0.07
Astec Industries, Inc.   ASTE            0.97          0.23             0.10          0.06
Cummins, Inc.            CMI             14.34         2.93             0.97          0.76




                 Forecast Figures for Comparables for FY 2011

                                                 Net Income FY'11     EPS FY'11   EBITDA FY'11
Terex Corp.              TEX                           0.02             0.90         0.29
Astec Industries, Inc.   ASTE                          0.04             2.41           -
Cummins, Inc.            CMI                           0.43             2.31         0.90
       INCOME STATEMENT FIGURES
             Shares OutstandingShareholders EquityNon-Interest CL Total Debt Total Assets
                    0.60              6.09            12.34         35.54       67.78
                    0.10              1.72             0.98          1.44        5.36
                    0.02              0.44             0.05          0.00        0.61
                    0.20              3.23             1.01          0.70        8.03




ITDA FY'11
                       BALANCE SHEET FIGURES              OTHER FIGURES
                     C
Cash, Equiv. & ST Inv. urrent Price Cash Taxes   EBITDA
        2.74            37.26        0.95         6.43
        0.48             14.90        0.02        0.52
        0.01             29.92        0.04        0.12
        0.50             34.00        0.35        1.28
OTHER FIGURES
                                 2004       2005       2006      2007
                                  FY0        FY1        FY2       FY3
Building Construction Products
External Sales                                           3.201     3.219
Inter-segment Sales                                       0.59     0.039
Total Sales                             0          0     3.791     3.258

DD&A                                                     0.023     0.031
Int. Exp                                                 0.017     0.018
Profit (Loss)                                            0.318     0.187

Assets                                                   0.557     0.648
CapEx                                                    0.038     0.034

EAME Operations
External Sales                                4.397      0.928     0.942
Inter-segment Sales                           0.005      2.071     2.519
Total Sales                             0     4.402      2.999     3.461

DD&A                                          0.001      0.079     0.093
Int. Exp                                      0.003      0.044     0.044
Profit (Loss)                                 1.452      0.415     0.362

Assets                                        1.579      1.409     1.553
CapEx                                         0.172      0.141      0.18

Electric Power
External Sales                                2.136      2.562     3.125
Inter-segment Sales                           0.188      0.125     0.023
Total Sales                             0     2.324      2.687     3.148

DD&A                                          0.018      0.022     0.023
Int. Exp                                      0.018      0.019     0.023
Profit (Loss)                                 0.109       0.22     0.377

Assets                                        0.595       0.72     0.826
CapEx                                         0.027      0.052     0.034

Heavy Construction & Mining
External Sales                                0.003      7.989     8.853
Inter-segment Sales                           9.925      0.167     0.056
Total Sales                             0     9.928      8.156     8.909

DD&A                                          0.089          0     0.003
Int. Exp                                      0.044      0.001     0.011
Profit (Loss)                                 1.452      1.825     1.766
Assets                           1.579    0.257   0.494
CapEx                            0.172    0.001       0

Indsutrial Power Systems
External Sales                   -0.128   1.605   1.818
Inter-segment Sales               7.259   0.557   0.721
Total Sales                  0    7.131   2.162   2.539

DD&A                             0.154    0.067   0.068
Int. Exp                         0.048    0.018     0.2
Profit (Loss)                    0.464    0.115   0.158

Assets                           1.675     0.62   0.715
CapEx                            0.186    0.066   0.075

Infrastructure Development
External Sales                            8.151   8.466
Inter-segment Sales                       1.517   0.045
Total Sales                  0       0    9.668   8.511

DD&A                                      0.001   0.003
Int. Exp                                  0.004   0.014
Profit (Loss)                             1.194   1.053

Assets                                     0.28   0.476
CapEx                                         0       0

Large Power Systems
External Sales                            4.498   2.909
Inter-segment Sales                       3.568   4.417
Total Sales                  0       0    8.066   7.326

DD&A                                      0.147   0.176
Int. Exp                                  0.042   0.054
Profit (Loss)                             1.144   0.732

Assets                                    1.733    1.74
CapEx                                     0.261   0.221

Marine & Petroleum Power
External Sales                            2.159   2.934
Inter-segment Sales                       0.545    0.07
Total Sales                  0       0    2.704   3.004

DD&A                                      0.016   0.013
Int. Exp                                  0.012   0.014
Profit (Loss)                             0.149   0.259

Assets                                    0.381   0.397
CapEx                          0.023    0.035

All Other
External Sales                  7.53    9.417
Inter-segment Sales            9.161    9.513
Total Sales           0   0   16.691    18.93

DD&A                           0.421     0.52
Int. Exp                       0.274    0.315
Profit (Loss)                  2.226    2.318

Assets                        10.535   11.141
CapEx                          0.694    0.862




thmsjhn1@gmail.com
2008      2009   2010   2011   2012
 FY4      EFY1   EFY2   EFY3   EFY4

  3.415
  0.047
  3.462

  0.024
  0.019
   0.26

  0.519
  0.035


  0.961
  2.718
  3.679

  0.101
  0.051
  0.176

  1.729
  0.189


  3.632
  0.026
  3.658

  0.024
  0.025
  0.388

  0.861
  0.189


  9.751
  0.226
  9.977

   0.01
  0.015
  1.707
0.407
0.003


2.016
0.876
2.892

0.058
0.024
0.183

0.829
0.129


9.583
0.067
 9.65

0.004
 0.02
0.867

0.639
    0


3.125
 5.34
8.465

 0.19
0.056
0.854

1.858
0.351


4.061
0.081
4.142

0.015
0.014
0.573

0.591
 0.079


11.313
11.798
23.111

 0.645
 0.375
 2.323

15.861
 1.284
                     2004   2005   2006       2007       2008
                      FY0    FY1    FY2        FY3        FY4
North America
Machinery                            14.215     12.596     12.769
Growth                                        -11.39%      1.37%
Engines                                5.94      5.092      5.445
Growth                                        -14.28%      6.93%
Financial Products                    1.852      2.007      2.001
Growth                                          8.37%     -0.30%
Total                                22.007     19.695     20.215
Growth                                        -10.51%      2.64%

EAME
Machinery                             6.223      8.588       9.22
Growth                                         38.00%      7.36%
Engines                               4.064      5.245      6.311
Growth                                         29.06%     20.32%
Financial Products                    0.377      0.479       0.59
Growth                                         27.06%     23.17%
Total                                10.664     14.312     16.121
Growth                                         34.21%     12.64%

Asia/Pacific
Machinery                              3.08      4.026      5.709
Growth                                         30.71%     41.80%
Engines                               1.701      2.136       2.91
Growth                                         25.57%     36.24%
Financial Products                    0.224       0.24      0.361
Growth                                          7.14%     50.42%
Total                                 5.005      6.402       8.98
Growth                                         27.91%     40.27%

Latin America
Machinery                             2.544      3.149      4.106
Growth                                         23.78%     30.39%
Engines                               1.102       1.13      1.574
Growth                                          2.54%     39.29%
Financial Products                    0.195       0.27      0.328
Growth                                         38.46%     21.48%
Total                                 3.841      4.549      6.008
Growth                                         18.43%     32.07%

Total
Machinery                            26.062    28.359      31.804
Growth                             #DIV/0!     8.81%      12.15%
Engines                              12.807    13.603       16.24
Growth                             #DIV/0!     6.22%      19.39%
Financial Products       2.648     2.996     3.28
Growth               #DIV/0!     13.14%    9.48%
2009   2010   2011   2012
EFY1   EFY2   EFY3   EFY4
                          2004      2005       2006      2007
                           FY0       FY1        FY2       FY3

Revenues                   28.34      34.01     38.87     41.96
Operating Costs           (25.99)    (30.50)   (34.21)   (37.38)
Operating Profit            2.35       3.50      4.66      4.58

Operating Margin           8.28%    10.30%     11.98%    10.92%

DD&A                        0.80       0.84      0.94      1.09
EBITDA                      3.14       4.34      5.60      5.68

EBITDA Margin             11.08%    12.75%     14.41%    13.53%

Other Income (Exp)         (0.14)     (0.18)    (0.54)    (0.40)
Income Before Taxes         2.20       3.32      4.12      4.19

Income Tax Expense         (0.57)     (0.93)    (1.16)    (1.22)
Equity in Subisdaries       0.40       0.46
Net Income                  2.04       2.85      2.96      2.97

Profit Margin              7.18%     8.39%      7.61%     7.07%

CapEx                       0.84      1.11       1.58      1.68
CapEx / Revenues           2.98%     3.27%      4.06%     4.01%

DD&A / CapEx              94.31%    75.16%     59.68%    64.94%

Revenue Growth                      20.01%     14.30%     7.96%
Revenue / Total Revenue   93.50%    93.58%     93.62%    93.34%

EBITDA / Total EBITDA     76.94%    82.44%     85.85%    84.50%

Net Income / Total Income 100.00%   100.00%    83.63%    83.76%

EPS Contribution            $5.75     $4.04      $4.33     $4.50

EBIT / Total EBIT         87.37%    92.55%     94.64%    93.15%
2008           2009   2010   2011   2012
 FY4           EFY1   EFY2   EFY3   EFY4

   48.04
  (43.92)
    4.12

   8.58%

       1.22
       5.35

  11.13%

   (0.19)
    3.93

   (0.82)
    0.45
    3.56

   7.40%

    2.42
   5.04%

  50.56%

  14.49%
  93.61%

  83.17%

 100.00%

   $5.66

  92.67%




       0.447
3.71
                            2004      2005      2006      2007      2008
                             FY0       FY1       FY2       FY3       FY4

Revenues                      1.97      2.33      2.65      3.00      3.28
Operating Costs              (1.63)    (2.08)    (2.38)    (2.66)    (2.95)
Operating Profit              0.34      0.25      0.26      0.34      0.33

Operating Margin            17.21%    10.67%     9.97%    11.25%     9.94%

DD&A                          0.60      0.64      0.66      0.70      0.76
EBITDA                        0.94      0.89      0.92      1.04      1.08

EBITDA Margin               47.77%    38.19%    34.86%    34.75%    32.96%

Other Income (Exp)            0.04      0.05      0.08      0.08     (0.04)
Income Before Taxes           0.37      0.30      0.34      0.41      0.29

Income Tax Expense           (0.17)    (0.19)    (0.25)    (0.27)    (0.13)
Equity in Subsidiary          0.00      0.01
Net Income                    0.21      0.11      0.09      0.15      0.16

Profit Margin               10.76%     4.84%     3.47%     4.97%     4.79%

CapEx                         1.27      1.30      1.15      1.37      1.61
CapEx / Revenues            64.52%    55.89%    43.50%    45.59%    49.15%

DD&A / CapEx                 47.36%    49.23%    57.20%    51.54%    46.84%

Revenue Growth                         18.43%    13.50%    13.14%    9.48%
Revenue / Total Revenue      6.50%      6.42%     6.38%     6.66%    6.39%

EBITDA / Total EBITDA       23.06%    16.94%    14.15%    15.50%    16.82%

Net Income / Total Income   10.42%     3.96%     2.60%     4.21%     4.41%
                            110.42%   103.96%    86.23%    87.97%   104.41%
EPS Contribution

EBIT / Total EBIT            12.63%     6.58%     5.36%     6.85%     7.33%
                            100.00%    99.13%   100.00%   100.00%   100.00%
2009   2010   2011   2012
EFY1   EFY2   EFY3   EFY4

								
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