2015 Sustainability Report

GOALS & PROGRESS

PRODUCT STEWARDSHIP

Safety

GOAL: Provide leadership in the safety of people in, on and around our products.

Progress: See Customer Safety for examples of our progress.

Products, Services and Solutions

GOAL: Leverage technology and innovation to improve sustainability of our products, services and solutions for our customers.

18% 2015 reported sales and revenues derived from products, services and solutions that demonstrate an improved sustainability benefit over existing offerings.

Progress: In 2015, 18 percent of Caterpillar’s reported sales and revenues was from products, services and solutions that demonstrated an improved sustainability benefit over existing offerings. This includes remanufacturing, component overhauls at Cat® dealers, power generation using alternative energy sources, customer job site optimization and innovative new products. The components are evaluated each year to adjust for acquisitions, divestitures, offerings that become standard and improvements to data accuracy.

Systems Optimization

GOAL: Increase managed fleet hours by 100 percent from 2013 to 2020.

68% Increase in fleet hours managed by Caterpillar Job Site Solutions (2013 to 2015)

91% Increase in number of machines covered by service agreements with Caterpillar Job Site Solutions (2013 to 2015)

Progress: Caterpillar Job Site Solutions (JSS) team was formed in 2005 and has grown significantly. JSS offers customers complete solutions that are designed to improve performance on the job site and to increase the sustainable benefits of the work performed.

Reman and Rebuild

GOAL: Increase remanufactured and rebuild business sales by 20 percent from 2013 to 2020.

Progress: Our remanufacturing and rebuild businesses reduce waste and minimize the need for the raw materials necessary to produce new parts. This system is where Caterpillar is making some of its greatest contributions to sustainable development — keeping nonrenewable resources in circulation for multiple life cycles. Our reman sales decreased 15 percent from 2013 to 2015, while our rebuild sales decreased 3 percent during the same period.

93% Reman End-Of-Life
“Take-back” Percent1

Actual end-of-life returns/eligible returns x 100

1Data does not include Progress Rail, Electro-Motive or Solar Turbines.

154 Reman End-Of-Life
“Take-back” by Weight1

Millions of pounds of end-of-life material received

1Data does not include Progress Rail, Electro-Motive or Solar Turbines.