warned after the close that its third-quarter earnings will come below analyst estimates.
Citing weakness in the euro and pound, as well as weakness in the North American construction and the global mining industries, the company said that it now expects earnings to come in around 53 cents a share. The consensus had been 67 cents a share, according to
First Call/Thomson Financial
The Peoria, Ill.-based company said, however, that it will make back the third-quarter miss in the fourth quarter, saying that it would cut costs, and that it is seeing demand increase for large engines. It also said a favorable tax adjustment would help results.
Caterpillar joins a long list of companies that have been hurt by currency weakness in Europe and a softening of the global economy. It closed down $3, or 8.8%, at $31.