Nothing encouraging coming in quarterly report except a massive short, I guess ?
Mining rallied once without Caterpillar ?
How does that happen without it meaning you've lost some market share to your competitors ?
Union or non-union Cat just Fisted themselves at a time when revenue streams are important !
If cost saving ventures are blowing up in their face then how much longer before the Dividend gets reduced ?
I guess the good news is we just screwed up the Seals going into all our competitors equipment too ???
Doesn't seem possible that Caterpillar would make a mistake like that but Komatsu, Case, John Deere and anyone else in the market for Seals can buy from Caterpillar and simply re-box them in their own box ??? ( they all do it, bet on it ! )
How long before Caterpillar warns, thanks to Brexit ???
Mining started coming back without Caterpillar once, if it happens a second time your going to see a #$%$ as the stock price free falls again !
The Toccoa Foundry was built new on 45 acres, with the sole purpose of pouring the seals worked up in Franklin, so plenty of room to move Franklin Facility on site in Toccoa and because they are only 70 miles apart, likely they would have retained a high percentage of Franklin employee's !
Had they made that move the transition would have been relatively smooth and they likely would have learned a few things in preparation for a bigger move down the road ?
These Black Belts that Caterpillar pays a small fortune to for cost savings, all use hocus pocus Arithmetic !
It always adds up as long as you don't look behind the curtain or under the box !
Honestly Caterpillar should know better considering how long they've been in business ?
I was already long gone before they moved but it impacted many Families in Franklin and Toccoa !
Caterpillar was pitched false information about cost savings on shipping that are out weighed by other factor's ! The Foundry issues alone must be scaring the #$%$ out of Salaried Management that transferred into Mapleton as far as high priced labor, that would be the people who pitched this farce to Greg Folley ! Franklin floor labor 14 - 18 bucks an hour, I'm sure that's lower then Mapleton ?
The seals process is sensitive to a lot of different factors so until they get the process stabilized Caterpillar will be paying to ship seals in both directions for quite some time but eventually after much pain they will in fact save money on shipping but not before several high priced people lose their jobs !
Greg Folley will have some explaining to do but not before he fires somebody I'm sure !
What happened ?
Let's see, when Caterpillar was told there was a cost savings in shipping by moving the Franklin and Toccoa Plants they neglected to realize that these non-union plants were already stretching labor to the max to help Caterpillar save money ! They also were disregarding Seniority to fill positions and get the job running as fast as possible !
When you move into a Union Plant not only aren't they going to let you disregard Seniority for any reason they also aren't going to let 3 do the work of 6 so your plan gets hosed immediately in Labor Costs and what makes it even worse is your new inexperienced workers don't know the job and the people from Franklin who do know the job are all Salaried and can't help whatsoever in a Union Shop !
I'm sorry but that's a recipe to run yourselves into the ground ???
I'm curious if Caterpillar handled all their cost saving moves the same way ???
This could really get ugly fast for Caterpillar if they try and hide all that's really going on !
That's right Caterpillar in all their infinite wisdom decided to move a non-union Final Drive Seals Business and Foundry back into Union Territory, Mapleton, IL to be exact and now they are completely under water with Union labor and truck load after truck load of #$%$ Seals !
Hey Cat, think of the money your going to save in shipping, hot shot after hot shot to make up for all those returned goods ???
The Franklin NC Plant had plan A,B,C, and sometimes D to make sure Caterpillar Customers got good product in a timely fashion ! Any Union Plant only has one plan, get the Company behind on orders and keep them behind !
Couldn't happen to a more deserving company !
Will someone please flush on the way out, Caterpillar is a little pre-occupied right now !