Segment Information Unaudited

9 Months Ended

Sep. 30, 2011

Notes To Financial Statements [Abstract]

6.	Segment Information

Our segment data is based on disclosure requirements of accounting guidance on segment reporting, which requires that financial information be reported on the basis that is used internally for measuring segment performance. Internally, we report information for operating segments based on management responsibility. Our operating segments offer primarily the same types of services within each of the respective segments. The operating segments are as follows:

·	North America: We have offices in the United States and Canada that serve local dealers and customers. This segment also includes certain unallocated corporate headquarter expenses.
·	Asia-Pacific and Mining: This segment includes offices in Australia, New Zealand, China, Japan, South Korea and Southeast Asia that serve local dealers and customers and also includes large mining customers worldwide. This segment also provides project financing in various countries.
·	Europe and Global Power Finance: This segment includes our offices that serve dealers and customers in Europe, Africa, Middle East and the Commonwealth of Independent States. This segment also includes the Global Power Finance Division (GPF), which finances marine vessels with Caterpillar engines worldwide and also provides debt financing for Caterpillar electrical power generation, gas compression and co-generation systems, as well as non-Caterpillar equipment that is powered by these systems worldwide.
·	Latin America: We have offices in Brazil, Mexico and Chile that serve local dealers and customers in Central and South America.

Effective January 1, 2011, changes were made to the executive management responsibilities at Cat Financial in order to provide ongoing improvement to our business. Prior year data has been reclassified to conform to the 2011 presentation.

Debt and other expenses are allocated from the North America segment to other segments based on their respective portfolios. The related Interest expense is calculated based on the amount of allocated debt and the rates associated with that debt. The Provision for credit losses included in each segment's profit is based on each segment's share of the Company's Allowance for credit losses. Inter-segment revenues result from lending activities between segments and are based on the amount of the respective Inter-segment loans and the rates associated with those loans.

As noted above, the segment information is presented on a management-reporting basis. Unlike financial reporting, there is no authoritative guidance for management reporting equivalent to U.S. GAAP.

Supplemental segment data for the three months ended September 30,

(Millions of dollars) 2011	North America			Europe and GPF			Latin America		Asia-Pacific and Mining		Total
External revenue	$	250		$	122		$	93	$	203	$	668
Inter-segment revenue		12			-			-		-		12
Profit (loss)		31			(1	)		25		38		93

2010	North America			Europe and GPF			Latin America		Asia-Pacific and Mining		Total
External revenue	$	267		$	123		$	76	$	174	$	640
Inter-segment revenue		5			-			-		-		5
Profit (loss)		(3	)		23			18		35		73

Supplemental segment data for the nine months ended September 30,

(Millions of dollars) 2011	North America			Europe and GPF		Latin America		Asia-Pacific and Mining		Total
External revenue	$	768		$	375	$	259	$	581	$	1,983
Inter-segment revenue		27			-		-		-		27
Profit		73			45		59		106		283

2010	North America			Europe and GPF		Latin America		Asia-Pacific and Mining		Total
External revenue	$	802		$	379	$	219	$	519	$	1,919
Inter-segment revenue		17			-		-		-		17
Profit (loss)		(10	)		62		61		95		208

(Millions of dollars)	North America		Europe and GPF		Latin America		Asia-Pacific and Mining		Total
Assets as of September 30, 2011	$	16,731	$	7,225	$	3,786	$	6,731	$	34,473

Assets as of December 31, 2010	$	15,774	$	7,434	$	3,392	$	5,799	$	32,399

(Millions of dollars) Reconciliation of assets:	September 30, 2011			December 31, 2010
Assets from segments	$	34,473		$	32,399
Less: Investment in subsidiaries		(1,172	)		(1,117	)
Less: Inter-segment balances		(3,836	)		(2,530	)
Total	$	29,465		$	28,752