CATERPILLAR INC current report, Q2 FY2010

Caterpillar Inc. Form 8-K Summary

Business Context and Reporting Period

This Current Report (Form 8-K) was filed by Caterpillar Inc. on May 28, 2010. The report discloses the departure of a senior executive officer, specifically the Vice President and Chief Financial Officer.

Key Financial Metrics

The filing does not provide revenue, profit, cash flow, margin, debt, or liquidity metrics. The only financial figure disclosed relates to executive compensation under a separation agreement.

Material Changes

The primary material change is the announced retirement of David B. Burritt as Vice President and Chief Financial Officer, effective June 1, 2010. Mr. Burritt will provide transitional support as an employee until October 1, 2010.

Management Commentary and Contingencies

Mr. Burritt and the Company entered into a Separation and Release Agreement dated May 25, 2010. Key terms include:

  • Continuation of salary and benefits through September 30, 2010.
  • A one-time aggregate payment of $1,347,027 to be paid between the agreement date and December 31, 2011.
  • Covenants prohibiting solicitation of employees or customers and competition with the Company for 12 months following termination.
  • Standard provisions regarding releases from liability, cooperation, non-disparagement, and confidentiality.

Investor Verification Checklist

  • Confirm the appointment date and background of the successor Chief Financial Officer.
  • Verify the total cost of the separation package against the company's quarterly compensation expense.
  • Review subsequent filings for any changes to the transitional support timeline or payment schedule.