Business Roundup: News on Caterpillar, global rental market forecast, Ring Power, McBride Mack, new I-9 forms

Caterpillar reports $38.5 billion sales and revenue for 2016, $0.11 per share loss

Caterpillar Inc. has reported an 18 percent drop in sales and revenues for all of 2016 at $38.5 billion, with a per share loss of $0.11 for the year. That compares to 2015, when the company reported full-year sales and revenue of $47.0 billion and a profit per share of $4.18.

The loss, Caterpillar says, is due to “three large non-cash charges and higher than expected restructuring costs.” The largest of these was mark-to-market losses, which for the fourth quarter amounted to $985 million. These charges are related to actuarial gains and losses (pension and other postemployment benefit plans) that are reported when incurred instead of being amortized over time. This is an accounting principle change Caterpillar began Jan. 1, 2016. Another of these non-cash items was a goodwill impairment charge of $595 million related to the company’s mining acquisitions.

Without these charges and restructuring costs, the company had an adjusted profit per share of $3.42 for 2016 ($2.8 billion), compared to $5.35 for 2015. This was better than the $3.25 Caterpillar had predicted. Fourth quarter adjusted profit per share came in at $0.83, the same as 2015.

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Worldwide construction equipment rental market to reach $75.2 billion by 2024

Global Market Insights is estimating construction equipment rental market worldwide could reach 75.2 billion in revenue by 2024, with the U.S. share of the market reaching $23 billion.

“The practice of leasing instead of purchasing heavy machinery has proven to be beneficial for companies of all sizes across numerous industries,” the company states in its latest report on the rental market. “Lower administrative overhead coupled with reduces expense and maintenance will drive construction equipment rental market size. Since industry vendors need to comply with the pervasive regulatory landscape, buyers benefit from elimination of replacement costs and associated expenditure. Other trends positively impacting revenue include growing technological advancements ranging from multifunctional machinery to apps for monitoring fuel consumption.”

Leading the way by category is earthmoving machinery. Global Market Insights expects equipment in this category, including excavators and loaders will “witness considerable demand on a global scale,” and reach at least $40 billion in revenue by 2024. This segment of the market accounted for 55 percent of the global rental sales in 2015, and is expected to grow at more than 9 percent through 2024.

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Cat dealer Ring Power’s director of used heavy equipment sales retires after 44 years

Frank Fowler, senior vice president and director of used heavy equipment sales for Caterpillar dealer Ring Power, has retired.

Fowler spent 44 years with the Florida-based dealership, having first started in the parts warehouse at their corporate office in 1972. He has served as a parts counter salesperson, equipment sales administrator, equipment rental manager and used equipment sales representative.

He joined the company’s board of directors in 1998 and was named to he last position in 2005.

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McBride Mack celebrates 50 years at Carbondale, Illinois location

McBride Mack Sales recently celebrated 50 years at its Carbondale, Illinois, site. Founder Charles McBride purchased the location after working as a truck mechanic and service manager.

McBride has additional operations in Paducah, Kentucky, and Cape Girardeau, Missouri.

“McBride is the ultimate representation of a dealer that has passion for the Mack brand, and it permeates through the family,” says Jonathan Randall, senior vice president of sales for Mack Trucks North America. “Customers rely on McBride to help them achieve their business goals before and after the sale, and we are proud to jointly celebrate this milestone with McBride.”

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Employers must now use new I-9 Form to verify employment eligibility of new hires

If you are hiring somebody new this year, there is now a new and revised Employment Eligibility Verification form (Form I-9) that employers and employees must first fill out.

The new form is required as of January 22 and has two parts, one filled out by the employer, the other by the employee. The new forms are designed to reduce input errors. The online version features drop down lists, automated calendars, information prompts, translators, full instructions and areas for additional information.

The I-9 Form does not require a social security number, but employees must show some form of official identity document such as a valid passport, driver’s license or military ID. To see all the exact details, check out the government’s website at https://www.uscis.gov/i-9-central.

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