Suppliers’ Notes Caterpillar Inc.

Caterpillar Inc., based in Peoria, Ill., has shown a profit for second-quarter 1987 of $118 million (US) or $1.20 per share of common stock, compared with $139 million or $1.41 per share for the same quarter last year. Profit decreased from the year’s earlier quarter despite higher sales, mainly because of $34 million less benefit from lifo inventory reductions. Second-quarter 1987 sales were $2.04 billion, a $53-million increase over the same period in 1986. The improvement was due to better price realization, largely a result of a weaker U.S. dollar. Sales inside the U.S. were $1.12 billion, an $8- million increase over second-quarter 1986. Sales outside the U.S. were $926 million, an increase of 5% over second-quarter 1986.