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  • More details on Caterpillar (CAT): The company says the long-running accounting scheme was run by several senior managers, and was deliberate and well coordinated. It involved inflating profits at a unit of ERA Mining Machinery Ltd., a mining equipment company in China that it purchased last year. CAT paid ERA as much as $734M last June. It's removed those involved and installed a new leadership team there. Responsibilities for Siwei's manufacturing operations have been moved to CAT's China operations division, while its sales and support team will report to its global mining general manager for China and Korea.  [View news story]
    Doesn't say much for 'due diligence' even for investment of 3/4 billion $. Somebody that was responsible at HQ also should be fired.
    Jan 18, 2013. 08:43 PM | 3 Likes Like |Link to Comment
  • RBC Capital thinks the guidance (earnings, conference call wrapup) put out by Dollar General (DG) is a touch light as it defends the propsects for the Outperform-rated company. If the take is on the money, it could be a boost for rivals Family Dollar (FDO) and Dollar Tree (DLTR) after Dollar General's margins put a scare into the sector.  [View news story]
    Having fully read the specifics of the conference call, one would expect the CEO and CFO to lean toward being conservative since the level of UNCERTAINTY about the broken political leadership in this country is so dysfunctional with potential high impacts on the economy. They cited the unprecedented high swings in weekly sales recently. I'd be cautious also.
    Dec 12, 2012. 08:53 AM | Likes Like |Link to Comment
  • A Sober Wake-Up Call The Morning After  [View article]
    You forgot to mention the other big shoe to fall by 1 January. The debt limit must be raised. Treasury will have to finesse getting through December 31 with measly $.2 Trillion of headroom a/o 2 November and ceiling of $16.4 Trillion. Gonna be little dicey.
    Nov 7, 2012. 10:28 AM | 1 Like Like |Link to Comment
  • Workers at Caterpillar's (CAT +1.5%) Joliet, Ill., factory vote in favor of the company's new pay offer, a move that will end a strike lasting more than five months.  [View news story]
    Maybe the workers finally realized that CAT could move the production operations to South Carolina or other friendly states that are NOT unionized. Take what you can get and be thankful!

    Now, if ILLINOIS would just show up to make doing business there worthwhile. That's potentially the next big shoe to drop.
    Aug 17, 2012. 08:41 PM | 1 Like Like |Link to Comment
  • A rash of companies, led by household names Caterpillar (CAT), 3M (MMM) and Target (TGT), crowded the bond market today with nearly $6B in offerings, seizing on an opportunity to borrow before Europe blows up and with QE3 at least still on the table in the U.S. Among other big borrowers: TOT, WES, PXD, Y, BMR.   [View news story]
    Smart planning, especially for CAT. If Europe "blows up" and some great buying opportunities come about, cash is king + doesn't dilute equity. And given the potential shakiness of the Euro, $$$ are acceptable. CAT may be eying another acquisition that enhances their global footprint. and strengthen their long-term dominance in several realms. Start looking in France - a possible next troubled country.

    And if Illinois doesn't get their s--- together, the corporate HQ as a minimum might move. They've been warned.
    Jun 21, 2012. 05:48 PM | Likes Like |Link to Comment
  • Dollar General: Valuation Is Too Stretched  [View article]
    1. Same store sales growth 20% greater than Dollar Tree (6.7% vice 5.6%)
    2. Bought back $300 million of KKR holdings in Q 1
    3. LT debt coming down
    4. Crossed 10,000 store threshhold in Q 1 and opened 2 new distribution centers continuing to expand geographic foot print.
    5. Annual projections VERY conservative; WHAT'S not to like about the performance???? Many retailers would kill for these kind of numbers!
    Jun 5, 2012. 07:43 AM | Likes Like |Link to Comment
  • 2 Stocks To Trade, And What's Next For The Market  [View article]
    I'd be reluctant to invest in WYNN at all. Too many of their resorts are in dire need of major maintenance & repair/upgrading; especially in Hawaii. Just look at the crummy customer reviews on sites such as RCI. Additionally, just how successful have they been at selling Time-Share interests? Are they funneling limited resources into just a few key resorts (like Las Vegas) and trying to get by on the cheap? Essentially, do "due diligence" in depth before putting any money there.
    May 8, 2012. 01:36 AM | Likes Like |Link to Comment