Caterpillar seeks new CFO with Halverson to retire next year

[NEW YORK] Caterpillar Inc is looking for a new chief financial officer just nine months after the largest maker of construction and mining equipment announced the departure of its long-serving chief executive officer.

The Peoria, Illinois-based company has started a global search to replace Brad Halverson, who will retire early next year to help ensure a smooth transition, it said in a statement Tuesday.

He's leaving just as Caterpillar - a bellwether for US manufacturing - starts to emerge from four straight years of declining sales and as the company grapples with a probe into its offshore dealings.

Last week, the company boosted its earnings and revenue outlook, as sales of its signature yellow machines are being driven by a recovery in construction in China while demand for mining- and energy-equipment parts accelerates Halverson joined Caterpillar in 1988 as an accountant. He has also served as CFO of Caterpillar's engine division and was the director of mergers and acquisitions.

His departure extends an overhaul of the management team after Jim Umpleby replaced Douglas Oberhelman as CEO in January. Mr Oberhelman's department triggered other changes including Tom Pellette's appointment as group president of energy & transport.

Caterpillar shares, up 23 per cent this year, were little changed at US$113.90 at 9:37am in New York.

BLOOMBERG