PEORIA, Ill. – Caterpillar Inc. (NYSE: CAT) will sell Carter Machinery Co., the Caterpillar in Salem, Va., and the only U.S. Cat dealer that is not independently owned. Carter has operations and stores covering Virginia and nine counties in southeast West Virginia.
Current senior management of Carter Machinery, which led the buy-out from Caterpillar, will remain in place. Jim Parker, a retired Caterpillar vice president, will become Carter's CEO and will be the principal owner going forward.
Caterpillar has owned Carter Machinery since 1988. "Over the last 20 years, Carter Machinery has consistently been an excellent performing dealership, but as we updated our corporate strategy in 2010, it was clear that continued Caterpillar ownership did not align with our core strategic plans," said Stu Levenick, Caterpillar group president with responsibility for customer and dealer support. "We are pleased the management team will remain with the dealership and believe Jim Parker's strong customer focus makes him an ideal fit for this business. With this transition, Carter Machinery customers should expect to receive the same high level quality, service and support that they have come to expect from Carter Machinery and Caterpillar products."
The sale is expected to close in the first quarter of 2011 and is subject to appropriate regulatory reviews and approvals.
"I am honored to be joining the Carter team and we expect there will be a seamless transition for customers as we look to continue to provide world class sales and product support for Caterpillar customers in Virginia and southeast West Virginia," Parker said.
Terms of sale are not being disclosed.
