Segment Information (Tables)

9 Months Ended

Sep. 30, 2012

Three Months Ended September 30,

(Millions of dollars)



	2012
	External sales and revenues		Inter- segment sales & revenues		Total sales and revenues		Depreciation and amortization		Segment profit		Segment assets at September 30		Capital expenditures
Construction Industries	$	4,904	$	102	$	5,006	$	144	$	459	$	9,681	$	247
Resource Industries	5,214		253		5,467		179		1,113		13,949		229
Power Systems	5,317		597		5,914		157		943		9,738		244
Machinery and Power Systems	$	15,435	$	952	$	16,387	$	480	$	2,515	$	33,368	$	720
Financial Products Segment	776		—		776		179		190		35,662		432
Total	$	16,211	$	952	$	17,163	$	659	$	2,705	$	69,030	$	1,152

	2011
	External sales and revenues		Inter- segment sales & revenues		Total sales and revenues		Depreciation and amortization		Segment profit		Segment assets at December 31		Capital expenditures
Construction Industries	$	4,900	$	162	$	5,062	$	136	$	496	$	7,942	$	234
Resource Industries	4,599		290		4,889		155		745		12,292		159
Power Systems	5,075		600		5,675		133		794		8,748		279
Machinery and Power Systems	$	14,574	$	1,052	$	15,626	$	424	$	2,035	$	28,982	$	672
Financial Products Segment	757		—		757		177		145		31,747		311
Total	$	15,331	$	1,052	$	16,383	$	601	$	2,180	$	60,729	$	983

Reportable Segments

Nine Months Ended September 30,

(Millions of dollars)



	2012
	External sales and revenues		Inter- segment sales & revenues		Total sales and revenues		Depreciation and amortization		Segment profit		Segment assets at September 30		Capital expenditures
Construction Industries	$	15,306	$	355	$	15,661	$	414	$	1,763	$	9,681	$	597
Resource Industries	15,382		909		16,291		510		3,707		13,949		603
Power Systems	15,815		1,952		17,767		442		2,737		9,738		610
Machinery and Power Systems	$	46,503	$	3,216	$	49,719	$	1,366	$	8,207	$	33,368	$	1,810
Financial Products Segment	2,301		—		2,301		530		583		35,662		1,232
Total	$	48,804	$	3,216	$	52,020	$	1,896	$	8,790	$	69,030	$	3,042

	2011
	External sales and revenues		Inter- segment sales & revenues		Total sales and revenues		Depreciation and amortization		Segment profit		Segment assets at December 31		Capital expenditures
Construction Industries	$	14,312	$	433	$	14,745	$	382	$	1,522	$	7,942	$	471
Resource Industries	10,573		848		11,421		298		2,337		12,292		320
Power Systems	14,442		1,695		16,137		398		2,230		8,748		496
Machinery and Power Systems	$	39,327	$	2,976	$	42,303	$	1,078	$	6,089	$	28,982	$	1,287
Financial Products Segment	2,251		—		2,251		535		453		31,747		830
Total	$	41,578	$	2,976	$	44,554	$	1,613	$	6,542	$	60,729	$	2,117

Reconciliation of Sales and revenues:



Reconciliation of Sales and revenues:
(Millions of dollars)	Machinery and Power Systems			Financial Products		Consolidating Adjustments				Consolidated Total
Three Months Ended September 30, 2012
Total external sales and revenues from reportable segments	$	15,435		$	776	$	—			$	16,211
All Other operating segment	318			—		—				318
Other	(14		)	20		(90		)	¹	(84		)
Total sales and revenues	$	15,739		$	796	$	(90	)		$	16,445

Three Months Ended September 30, 2011
Total external sales and revenues from reportable segments	$	14,574		$	757	$	—			$	15,331
All Other operating segment	461			—		—				461
Other	(12		)	17		(81		)	¹	(76		)
Total sales and revenues	$	15,023		$	774	$	(81	)		$	15,716
¹ Elimination of Financial Products revenues from Machinery and Power Systems.



Reconciliation of Sales and revenues:
(Millions of dollars)	Machinery and Power Systems			Financial Products		Consolidating Adjustments				Consolidated Total
Nine Months Ended September 30, 2012
Total external sales and revenues from reportable segments	$	46,503		$	2,301	$	—			$	48,804
All Other operating segment	1,246			—		—				1,246
Other	(38		)	52		(264		)	¹	(250		)
Total sales and revenues	$	47,711		$	2,353	$	(264	)		$	49,800

Nine Months Ended September 30, 2011
Total external sales and revenues from reportable segments	$	39,327		$	2,251	$	—			$	41,578
All Other operating segment	1,525			—		—				1,525
Other	(17		)	40		(231		)	¹	(208		)
Total sales and revenues	$	40,835		$	2,291	$	(231	)		$	42,895
¹ Elimination of Financial Products revenues from Machinery and Power Systems.

Reconciliation of profit (loss) before taxes:



Reconciliation of Consolidated profit before taxes:
(Millions of dollars)	Machinery and Power Systems			Financial Products		Consolidated Total
Three Months Ended September 30, 2012
Total profit from reportable segments	$	2,515		$	190	$	2,705
All Other operating segment	482			—		482
Cost centers	9			—		9
Corporate costs	(366		)	—		(366		)
Timing	(30		)	—		(30		)
Methodology differences:
Inventory/cost of sales	9			—		9
Postretirement benefit expense	(177		)	—		(177		)
Financing costs	(130		)	—		(130		)
Equity in profit of unconsolidated affiliated companies	(5		)	—		(5		)
Currency	20			—		20
Interest rate swaps	2			—		2
Other income/expense methodology differences	(64		)	—		(64		)
Other methodology differences	(9		)	4		(5		)
Total profit before taxes	$	2,256		$	194	$	2,450

Three Months Ended September 30, 2011
Total profit from reportable segments	$	2,035		$	145	$	2,180
All Other operating segment	234			—		234
Cost centers	29			—		29
Corporate costs	(330		)	—		(330		)
Timing	12			—		12
Methodology differences:
Inventory/cost of sales	(21		)	—		(21		)
Postretirement benefit expense	(110		)	—		(110		)
Financing costs	(116		)	—		(116		)
Equity in profit of unconsolidated affiliated companies	6			—		6
Currency	(188		)	—		(188		)
Other income/expense methodology differences	(54		)	—		(54		)
Other methodology differences	(8		)	—		(8		)
Total profit before taxes	$	1,489		$	145	$	1,634



Reconciliation of Consolidated profit before taxes:
(Millions of dollars)	Machinery and Power Systems			Financial Products		Consolidated Total
Nine Months Ended September 30, 2012
Total profit from reportable segments	$	8,207		$	583	$	8,790
All Other operating segment	888			—		888
Cost centers	32			—		32
Corporate costs	(1,126		)	—		(1,126		)
Timing	(318		)	—		(318		)
Methodology differences:
Inventory/cost of sales	(26		)	—		(26		)
Postretirement benefit expense	(508		)	—		(508		)
Financing costs	(357		)	—		(357		)
Equity in profit of unconsolidated affiliated companies	(12		)	—		(12		)
Currency	160			—		160
Interest rate swaps	2			—		2
Other income/expense methodology differences	(199		)	—		(199		)
Other methodology differences	(3		)	1		(2		)
Total profit before taxes	$	6,740		$	584	$	7,324

Nine Months Ended September 30, 2011
Total profit from reportable segments	$	6,089		$	453	$	6,542
All Other operating segment	601			—		601
Cost centers	30			—		30
Corporate costs	(901		)	—		(901		)
Timing	(157		)	—		(157		)
Methodology differences:
Inventory/cost of sales	1			—		1
Postretirement benefit expense	(468		)	—		(468		)
Financing costs	(294		)	—		(294		)
Equity in profit of unconsolidated affiliated companies	24			—		24
Currency	(263		)	—		(263		)
Interest rate swaps	(149		)	—		(149		)
Other income/expense methodology differences	(210		)	—		(210		)
Other methodology differences	(12		)	3		(9		)
Total profit before taxes	$	4,291		$	456	$	4,747

Reconciliation of Assets:



Reconciliation of Assets:
(Millions of dollars)	Machinery and Power Systems			Financial Products			Consolidating Adjustments			Consolidated Total
September 30, 2012
Total assets from reportable segments	$	33,368		$	35,662		$	—		$	69,030
All Other operating segment	1,457			—			—			1,457
Items not included in segment assets:
Cash and short-term investments	3,363			—			—			3,363
Intercompany receivables	280			—			(280		)	—
Investment in Financial Products	4,251			—			(4,251		)	—
Deferred income taxes	3,881			—			(538		)	3,343
Goodwill, intangible assets and other assets	4,194			—			—			4,194
Operating lease methodology difference	(338		)	—			—			(338		)
Liabilities included in segment assets	12,541			—			—			12,541
Inventory methodology differences	(3,079		)	—			—			(3,079		)
Other	305			(143		)	(132		)	30
Total assets	$	60,223		$	35,519		$	(5,201	)	$	90,541

December 31, 2011
Total assets from reportable segments	$	28,982		$	31,747		$	—		$	60,729
All Other operating segment	2,035			—			—			2,035
Items not included in segment assets:
Cash and short-term investments	1,829			—			—			1,829
Intercompany receivables	75			—			(75		)	—
Investment in Financial Products	4,035			—			(4,035		)	—
Deferred income taxes	4,109			—			(533		)	3,576
Goodwill, intangible assets and other assets	4,461			—			—			4,461
Operating lease methodology difference	(511		)	—			—			(511		)
Liabilities included in segment assets	12,088			—			—			12,088
Inventory methodology differences	(2,786		)	—			—			(2,786		)
Other	362			(194		)	(143		)	25
Total assets	$	54,679		$	31,553		$	(4,786	)	$	81,446

Reconciliation of Depreciation and amortization:



Reconciliations of Depreciation and amortization:
(Millions of dollars)	Machinery and Power Systems			Financial Products		Consolidated Total
Three Months Ended September 30, 2012
Total depreciation and amortization from reportable segments	$	480		$	179	$	659
Items not included in segment depreciation and amortization:
All Other operating segment	41			—		41
Cost centers	23			—		23
Other	(9		)	6		(3		)
Total depreciation and amortization	$	535		$	185	$	720

Three Months Ended September 30, 2011
Total depreciation and amortization from reportable segments	$	424		$	177	$	601
Items not included in segment depreciation and amortization:
All Other operating segment	42			—		42
Cost centers	20			—		20
Other	(9		)	4		(5		)
Total depreciation and amortization	$	477		$	181	$	658



Reconciliations of Depreciation and amortization:
(Millions of dollars)	Machinery and Power Systems			Financial Products		Consolidated Total
Nine Months Ended September 30, 2012
Total depreciation and amortization from reportable segments	$	1,366		$	530	$	1,896
Items not included in segment depreciation and amortization:
All Other operating segment	125			—		125
Cost centers	64			—		64
Other	(32		)	17		(15		)
Total depreciation and amortization	$	1,523		$	547	$	2,070

Nine Months Ended September 30, 2011
Total depreciation and amortization from reportable segments	$	1,078		$	535	$	1,613
Items not included in segment depreciation and amortization:
All Other operating segment	128			—		128
Cost centers	57			—		57
Other	24			10		34
Total depreciation and amortization	$	1,287		$	545	$	1,832

Reconciliation of Capital expenditures:



Reconciliations of Capital expenditures:
(Millions of dollars)	Machinery and Power Systems			Financial Products		Consolidating Adjustments			Consolidated Total
Three Months Ended September 30, 2012
Total capital expenditures from reportable segments	$	720		$	432	$	—		$	1,152
Items not included in segment capital expenditures:
All Other operating segment	75			—		—			75
Cost centers	16			—		—			16
Timing	(40		)	—		—			(40		)
Other	8			35		(15		)	28
Total capital expenditures	$	779		$	467	$	(15	)	$	1,231

Three Months Ended September 30, 2011
Total capital expenditures from reportable segments	$	672		$	311	$	—		$	983
Items not included in segment capital expenditures:
All Other operating segment	84			—		—			84
Cost centers	20			—		—			20
Timing	(89		)	—		—			(89		)
Other	(77		)	92		(18		)	(3		)
Total capital expenditures	$	610		$	403	$	(18	)	$	995



Reconciliations of Capital expenditures:
(Millions of dollars)	Machinery and Power Systems			Financial Products		Consolidating Adjustments			Consolidated Total
Nine Months Ended September 30, 2012
Total capital expenditures from reportable segments	$	1,810		$	1,232	$	—		$	3,042
Items not included in segment capital expenditures:
All Other operating segment	229			—		—			229
Cost centers	119			—		—			119
Timing	281			—		—			281
Other	(115		)	109		(139		)	(145		)
Total capital expenditures	$	2,324		$	1,341	$	(139	)	$	3,526

Nine Months Ended September 30, 2011
Total capital expenditures from reportable segments	$	1,287		$	830	$	—		$	2,117
Items not included in segment capital expenditures:
All Other operating segment	173			—		—			173
Cost centers	54			—		—			54
Timing	151			—		—			151
Other	(80		)	147		(63		)	4
Total capital expenditures	$	1,585		$	977	$	(63	)	$	2,499

- Definition

Tabular disclosure of all significant reconciling items in the reconciliation of total profit or loss from reportable segments, to the entity's consolidated income before income taxes, extraordinary items, and discontinued operations.

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- Definition

Tabular disclosure of the profit or loss and total assets for each reportable segment. An entity discloses certain information on each reportable segment if the amounts (a) are included in the measure of segment profit or loss reviewed by the chief operating decision maker or (b) are otherwise regularly provided to the chief operating decision maker, even if not included in that measure of segment profit or loss.

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