OCC to do Cat bikes

[basgetar]

Didn't think it would take Catapillar so long to jump on the bandwagon :laugh:

See newspaper HEADLINE in photo section.


Earl

[Frank/Coletto]

For a company that has profit issues that goes up and down with the economy. It makes me wonder how they justify spending 400 to 500 thousand on 2 bikes. Have a hard time believing that these bikes will sell more of their products. How many jobs will that kind of jack provide?

[SIDECAR]

Ditto's Frank

[SmittysVic]

While I'm definately interested in seeing the shows and the finished product, I can't help but share the sentiments already posted. How can the company in good conscience spend this kind of scratch on this kind of project, and tell the UAW and their retirees that the company cannot afford the health care any longer.
You know, like Dad always said (after 42 years in machine repair at HH in E. Peoria): If they hand you your check in one hand and a load of sh!t in the other, you'll know where the smell is coming from.

regards to all
Smitty

[Daffy]

Typical suit mentality in a large corporation, I'm sure the cat "workers and retirees" are elated that the company has the extra cash to throw around on "frivilous" things such as OCC pedestal jewelry. Should play well with the UAW since they just settled a contract and screwed the folks that actually made the product they sell. My brother (retired cat employee) has had to seek part time work to pay for his increased medical insurance premium. As I recall it's about 300 more a month out of pocket.

[Tony-B]

Goes on all the time in every industry. Our union is taking the Village to arbitration (unless there's a last minute, hail Mary agreement reached before the 25th). See, the Village can spend $10 million on trees, grass, and shrubs for the median of Harlem Avenue, $180,000 on four "Welcome to the Village" monuments, but can't/won't give the police officers a fair contract. Basically they've told us "We have the money. We're just not willing to give it to you." Guess its the same no matter if you're in the public or private sector. Maybe they'll hire OCC to do a Tinley Park theme bike. Of course, the bike would have to "Do more with less."

Feel sorry for the CAT retirees and current employees. What do these these bikes cost, $250-500,000 each?? Wasted money in my opinion. Guess the CEO of CAT is a fan of OCC and wants the company to pay for his butt-jewelry.

[sambucash]

I think the only reason these companies are getting these bikes made is to get their brand name an hour worth of TV time with a big audience. I don’t know what an hour long commercial would cost on Discovery channel with a guaranteed audience and multiple reruns, but I think that’s what they are paying for. Not the Cartoon bikes themselves. OCC is in the advertising business not the bike building business.

[daveltb]

The contract situation with Cat is the same as with any other fortune 500 company. The stock holders are demanding higher and higher profit levels.

Automation, farming work out (whether overseas or to non-union shops that can make the same product for less), and contracts that pass health insurance costs to the employee are all part of the way management can give the stock holders the higher profit they demand.

Even the people that are directly affected complain about the poor performance of their 401k funds. Hard to have it both ways.

[BigJim]

I think the only reason these companies are getting these bikes made is to get their brand name an hour worth of TV time with a big audience. I don’t know what an hour long commercial would cost on Discovery channel with a guaranteed audience and multiple reruns, but I think that’s what they are paying for. Not the Cartoon bikes themselves. OCC is in the advertising business not the bike building business.

I think this is right on track. Having an OCC bike is becoming a status symbol for companies and Cat just wants that status.

[SmittysVic]

And I have to add...the three guys I know who now currently or have recently owned a custom have all three told me they wouldn't have another one up their a$$!! They all tell the same story---ride it one hour, work on it two hours. Makes you wonder where the quality is...

later
Smitty

[Frank/Coletto]

The contract situation with Cat is the same as with any other fortune 500 company. The stock holders are demanding higher and higher profit levels.

Automation, farming work out (whether overseas or to non-union shops that can make the same product for less), and contracts that pass health insurance costs to the employee are all part of the way management can give the stock holders the higher profit they demand.

Even the people that are directly affected complain about the poor performance of their 401k funds. Hard to have it both ways.

Can't agree with you more Dave. Share holders are not like guys like us, they are large mutual fund companies who own MILLIONS of $'s of the stock. CEO's usually get their big bonus checks based on return on investment (ROI) (profits) and the companies stock price. Mutual fund managers, although getting paid a huge salary typically get a huge bonus based on the funds stock price or growth of the stock price. So the typical CEO of a publicly traded company has a big decision to make. Cut benefits, jobs, material costs that help in profitability and the stock price (remember they usually have a ton of stock options) that will potentially get them a HUGE bonus (could be 1.5 - 2.0 X of salary). Or, loose their job.

[BigJim]

Can't agree with you more Dave. Share holders are not like guys like us, they are large mutual fund companies who own MILLIONS of $'s of the stock.

WRONG! WRONG! WRONG!

I am just a 47 year old software developer yet I hold hundreds of shares of stock in several publicly traded companies in my IRA account. There are millions of people like me in this country who work hard for a living and have invested in stocks for their retirement. As for ROI, you bet your butt I want as much ROI for my investment dollar as I can get. That is why I invested in the company. If I am unhappy with the performance of a stock I will cast my votes against the CEO of the company when the yearly voting takes place.

BTW, five years ago I went to work for a privately held company. Good pay, company healthcare plan (my coverage is free, I pay for my wife's coverage) and bounus. You could not get me to go back to work for a publicly held company again.