April 2016 DAG Update - External ACAM

ENERGY &
TRANSPORTATION
April 2016
1
CONFIDENTIAL YELLOW. DO NOT COPY OR DISTRIBUTE. Caterpillar Confidential Yellow
Forward Looking Statements
Certain statements in this presentation relate to future events and expectations and are forward-looking statements within the meaning of
the Private Securities Litigation Reform Act of 1995. Words such as “believe,” “estimate,” “will be,” “will,” “would,” “expect,” “anticipate,”
“plan,” “project,” “intend,” “could,” “should” or other similar words or expressions often identify forward-looking statements. All statements
other than statements of historical fact are forward-looking statements, including, without limitation, statements regarding our outlook,
projections, forecasts or trend descriptions. These statements do not guarantee future performance, and we do not undertake to update
our forward-looking statements.
Caterpillar’s actual results may differ materially from those described or implied in our forward-looking statements based on a number of
factors, including, but not limited to: (i) global economic conditions and economic conditions in the industries we serve; (ii) government
monetary or fiscal policies and infrastructure spending; (iii) commodity price changes, component price increases, fluctuations in demand
for our products or significant shortages of component products; (iv) disruptions or volatility in global financial markets limiting our sources
of liquidity or the liquidity of our customers, dealers and suppliers; (v) political and economic risks, commercial instability and events
beyond our control in the countries in which we operate; (vi) failure to maintain our credit ratings and potential resulting increases to our
cost of borrowing and adverse effects on our cost of funds, liquidity, competitive position and access to capital markets; (vii) our Financial
Products segment’s risks associated with the financial services industry; (viii) changes in interest rates or market liquidity conditions; (ix)
an increase in delinquencies, repossessions or net losses of Cat Financial’s customers; (x) new regulations or changes in financial
services regulations; (xi) a failure to realize, or a delay in realizing, all of the anticipated benefits of our acquisitions, joint ventures or
divestitures; (xii) international trade policies and their impact on demand for our products and our competitive position; (xiii) our ability to
develop, produce and market quality products that meet our customers’ needs; (xiv) the impact of the highly competitive environment in
which we operate on our sales and pricing; (xv) failure to realize all of the anticipated benefits from initiatives to increase our productivity,
efficiency and cash flow and to reduce costs; (xvi) additional restructuring costs or a failure to realize anticipated savings or benefits from
past or future cost reduction actions; (xvii) inventory management decisions and sourcing practices of our dealers and our OEM
customers; (xviii) compliance with environmental laws and regulation; (xix) alleged or actual violations of trade or anti-corruption laws and
regulations; (xx) additional tax expense or exposure; (xxi) currency fluctuations; (xxii) our or Cat Financial’s compliance with financial
covenants; (xxiii) increased pension plan funding obligations; (xxiv) union disputes or other employee relations issues; (xxv) significant
legal proceedings, claims, lawsuits or investigations; (xxvi) compliance requirements imposed if additional carbon emissions legislation
and/or regulations are adopted; (xxvii) changes in accounting standards; (xxviii) failure or breach of IT security; (xxix) adverse effects of
unexpected events including natural disasters; and (xxx) other factors described in more detail under “Item 1A. Risk Factors” in our Form
10-K filed with the SEC on February 18, 2014 for the year ended December 31, 2013 and in our Form 10-Q filed with the SEC on August
1, 2014 for the quarter ended June 30, 2014.
Our press release describing 2014 third quarter financial results contains a reconciliation of Non-GAAP financial information referenced in
this presentation and can be found on our website at www.caterpillar.com/earnings
CONFIDENTIAL GREEN.
SAFETY & Phones
• Please conduct a safety briefing for your current location

and surroundings
• Please mute your phones

• Please do not put us on hold
3
Caterpillar Confidential Yellow
AGENDA
• E&T Digital and Technology Update– Terri Lewis
• Industry Updates
– Electric Power – Grant Kuch
– Oil & Gas – Sreenivas Ramanujam
– Marine - Leslie Bell-Friedel –
• Closing Comments and Q&A – Terri Lewis
4
Energy & Transportation
Digital Update Terri Lewis April 2016
5
6
What is “Digital & Technology”? Technology
Enabled
Solutions
Analytics, apps,
basic reporting Hardware, software, electronics
Provide outcomes
through risk/reward
sharing
Remote monitoring, customer

specific consultative services
7
8
Organizational Changes
RI
Resource
Industries
Cat
Digital
2013-15
DIGITAL
CI CENTRIC E&T
Construction Energy &
Industries Transportation
PRODUCT
Industries
2016
CENTRIC
9
Aligned Guiding Principles
RI
Resource
SOLVE Industries
CUSTOMER
CHALLENGES
CAPTURE MULTIPLE
Cat
AND DELIVER DISTRIBUTION Digital
VALUE CHANNELS
CI DIGITAL E&T
Construction CENTRIC Energy &
Industries Transportation
EASY TO DO DEEP BEYOND
BUSINESS DOMAIN CORE
WITH EXPERIENCE PRODUCTS
COLLABORATION
10 KEY AS A DATA LEARNING FLEXIBLE
PRINCIPLES COMPETITIVE FLOW MINDSET FRAMEWORK
ADVANTAGE
10
Data Capture Comparison
Broad Vertical Integration vs Part of Broader System
Cat Machine Data Energy & Transportation Data

Data from non-Cat
sold/supported Engine data,
attachments controls, etc.
Remaining application
and driven
equipment; switch
gears, safety
Data from systems, SCADA
embedded Cat systems, etc.
controls
Delivered Undelivered Data Delivered Undelivered Data
11
Dealer Roles in Energy & Transportation
Creation of Apps from Cat Data Lake
Dealers build front-end
“Crowd-Sourcing” Connectivity Solutions by Caterpillar

& Dealers
Dealer builds Solutions from any asset to custom UI

Standard solutions can still be provided by Caterpillar
12
Industry Update – Electric Power -Grant Kuch April 2016
13
14
EPD Technology Platform Progression
Pro Series
Product Link Web
Current • Pro/Elite Series with Product Link Web

• Retrofit Kits Only
Elite Series
2nd Qtr. • Generation Series hardware, software, & UI

• Retrofit Kits & limited production availability
2016
Generation Series
HW / SW User Interface
• Expanded functionality
Vision • Interoperability between HW & UIs
• Expanded production availability of
Generation Series
15
Generation Series MGPP
PHASE I PHASE II PHASE III
Develop Foundation Expand Capabilities Expand Capabilities
• Retrofit kits available • Expanded Rental production offerings • Production availability on EP products
• Standard on select Rental products • Customizable subscriptions • Embedded software solution
• Configurable I/Os – Int. & Ext. • Report templates • Satellite radio
• Ethernet, cell radio (w/ replaceable • Maintenance Management Tool • Remote services enabled
SIM card), or ext. sourced radio Licensed dealer webpage development
• • Interoperability between HW & UIs
• Asset agnostic Screens optimized for mobile devices
• • Connectivity to dealer business systems
• Two subscription plans Crowd Sourcing process launched
• • Augmented Reality
• PLG data viewable in Generation UI • Connected to core Caterpillar systems
• Screens: Ind. Asset, Fleet, Operations, • PLG data feeding ACM tool
& My Dashboard
• Location & Geo Fencing
• Remote start/stop; flash PLG
• Receive & clear events remotely
• Customer-defined alerts
• Visualize performance & trends
• 30K connected hours completed
Mid 2016 YE 2016 2017/18
16
PLG Retrofit Kits
Kit Name Description Kit Part Kit DN(USD)* Includes
Numbers
PLG601 Installation Kit Product Link Generation • 488-0991 • $330.00 • PLG 6 hardware
Series • PLG mounting hardware
• Ethernet connection • Wiring Harness
PLG641 Installation Kit Product Link Generation • 488-0992 • $550.00 • PLG hardware
Series • w/ stub antenna
• Cellular Connection • w/ SIM card
• Ethernet Connection • PLG mounting hardware
• Wiring harness
• GPS Antenna(1M)
PLG641 External Antenna External Tri-Mode Antenna • 470-0420 • $73.60 • Antenna

Kit kit for PLG641 provides • (extension harnesses and
Cellular, Satellite, and adapters to be purchased
GPS connections separately. Two required
per installation)
Tri-Mode Antenna Antenna extension • 491-9577 (3M) • TBD • Single extension harness
extension harness harness (two required for • 491-9578 (5M)
Tri-Mode Antenna)
Extension Harness Antenna extension • 498-6646 (Cellular) • TBD • Single adapter
Adapters harness adapters (one of • 498-6647 (GPS)
each required for Tri-Mode
Antenna
* Prices are subject to change.
17
PLG Cellular Radio Certifications
Phase 1: Phase 2 (2Q16):
Details:
• Phase 1: Complete
• Phase 2: In Process
• Phase 3: TBD
12%
50%
38%
18
Generation Series Data Plan Strategy PLG Data Plans
PLG Data Plans
Comp Base Custom
Comp Base Custom
Operation
Dealer Net Price
Ready to Run Status X X X
Caterpillar Cell Radio N/C $18.50* $60* Unauthorized Movement Notification X X
Customer Radio (Cell or satellite) N/C $18.50* $35* Engine Status (Running, Stopped, Cool
Customer Ethernet Connection N/C $18.50* $35* down) X X X
Data Sampling Engine/Generator Status Parameters
Standby State Daily Daily Custom Engine Coolant Temperature X X
Operating State 1 Hz 1 Hz Custom Engine Load Factor X X
Standby Reporting Frequency Engine Oil Pressure X X
Caterpillar Cell Radio Daily Daily N/A Engine Speed X X
Customer Cell Radio Daily Daily Custom User Selected Parameters (Qty.) 0 10 Custom
Customer Ethernet Connection Daily Daily Custom Utilization
Asset Operation (e.g. start/stop) X X
Event based communication Immediate
Fuel Burn X X X
Operating Reporting Frequency
Power Generation (kWh and kVarh) X X X
Caterpillar Cell Radio (Min. / Max. / Ave.) Daily Hourly N/A
Power Levels (kWh and kVArh) X X X
Customer Cell Radio (Min. / Max. / Ave.) Daily Hourly Custom Asset Performance (e.g. % load) X X
Customer Ethernet Connection (All Health
samples) Daily Hourly Custom Cat Inspect Integration X X
Event based communication Immediate Event & Diagnostic Codes X X X
Monitoring Links to Troubleshooting X X
Asset Notification (text / email) X X X S∙O∙S Integration & User Defined Alerts X X
Battery Voltage Low Notification X X X Standard Health Code Alerts X X X
Fuel Level X X X Custom Health Code Alerts X X
Fuel Loss Notification X X Maintenance
Geo-fences X X PartStore™ Integration X X X
Location X X X PM Intervals, Checklists & Parts Lists X X X
Service Meter Hours X X X Switch Inputs
Digital I/Os X X
Analog Inputs X X
Note: Cells highlighted in orange will not be available at initial launch.
* Prices to be confirmed
19
Generation Series Preview
Fleet View Custom View
Configuration
Asset View
View
20
Generation Series Training Plan
Overview of Topics: Detailed Discussion of Topics: Webinar #1 Detailed
-Hardware -Hardware Discussion of topics:
-Data Plans -Data Plans -Application and
-PLG Kit Release -PLG Kit Release Webinar #1 Overview of Installation
-User Interface -User Interface Topics: -A&I Key Completion
-User Agreements -User Agreements -Application and Installation Steps
Audience: Audience: -A&I Key Completion Steps Audience:
-Sales and Service -Sales and Service Leadership Audience: -Technical
Leadership -Technical
April May June July
Ask the Expert Session: Webinar #2 Overview of Webinar #2 Detailed

-Questions answered on Topics: Discussion of Topics:
content presented in April -Registration Process -Registration Process
and May Webinars -Key Completion Steps of the -Key Completion Steps of
Registration process the Registration process
Audience: Audience:
-Administrative -Administrative
21
Summary
• Strengthening relationships w/ dealers & customers

– Focusing on delivering customer value
– Taking action to improve capabilities
– Driving customer engagement
• See Cat Connect section on Power Net for more
information
22
Industry Update - Oil & Gas -Sreenivas Ramanujam April 2016
23
Product Link Web™ - 2016A Update
• Fluid Analysis Data – SOS in Equipment Details

• New Reporting Wizard feature
• New Dashboard Widget in Equipment Details
• Usability Enhancements
24
24
Fluid Analysis Data
Fluid analysis data (oil, coolant, and fuel) provided by SOS Lab is now
available in the Equipment Details page for applicable assets
25
Reporting Wizard feature
Users now have the ability to create, schedule, and distribute reports
based off of any report available by subscription
26
26
New Dashboard Widget
Dashboard widget
provides instantaneous
visual summary:
• Engine Status
Parameters
• Fuel metrics
• Power metrics
• Fault Code metrics
27
27
Usability Enhancements
• Summary panel
streamlined for improved
overview of fleet, engine,
and generator
performance
• Diagnostics panel
(formerly Alerts)
broadened with improved
accessibility to Fault and
Alert Code information
28
Usability Enhancements: Map view
Implementation of cluster icons to significantly improve
Map view
BEFORE AFTER
29
Usability Enhancements
Performance Improvements
Allows users to provide feedback:

ProductLinkWebFeedback@cat.com
30
Key Issues Resolution – Well Service
• Shift out of gear to neutral (Well Frac trailers)

– Service Letter: SI32571 (Expires 11/30/2016)
– Engines are dropping out of gear when Product Link is talking on
the same J1939 data link as the engine and transmission. The
issue is tied to transmission but the fix was quicker to implement
in PL firmware. Fix is to have PLE601’s flashed to 2015B (482-
8192) or newer.
31
31
Customer Example # 1
• “Product Link catches things fast, and it’s really easy to use,”
• “It gives our company peace of mind,”
• “It shows me exactly on a map where they are and how they
are performing”
Location & Key

Performance
data
32
• Advanced Condition Monitoring for 5 3516 C-HD engines
• Repeated injector failures due to fuel quality
• 74 pro-active recommendations in a 12 month period.
• Real time monitoring, analytics & pro-active recommendations eliminated
premature injector failures.
33
• Advanced Condition Monitoring for 5 C175
engines
• Successful pilot leading to contract
• Customer Testimonial:
– “The system definitely added value for the rig. As we
had some minor issues with the fuel system on engine
#2 we were not able to see this ourselves...”
– “Our general impression is that this is a very good and
Identified Fuel
useful system. With this system we have the feeling
System issues
that we can identify most issues in an early stage
before they grow into big issues……”
– “In our opinion it’s very good that the engines are
monitored 24/7 and that all sensor values are getting
compared with the expected readings.”
34
• Advanced Condition Monitoring – 4 Sites
– 2 X G3612 Engine & Compressor (Storage)
– 1 X G3616 & 2 X G3608 Engine & Compressor (Storage)
• 67 recommendations - $32 K Value YTD.

• 99.8% Reliability – 713 hrs Mean Time Between Outage
o No. Equipment S/N Priority Title Site Value Category
25275 BKE00292 3 - At Next Service Engine Coolant Pressure - Low Ponder Station $750 Coolant Pump
25278 BKE00292 3 - At Next Service Ignition Transformer Secondary Voltage - Low Ponder Station $500 Spark Plug
39619 BKE00292 3 - At Next Service Cylinder #7 & #9 Detonation Level Ponder Station $0 Information
50157 BKE00292 2 - At Next Stop Excessive Gap Ponder Station
67 $500 Spark Plug
63182 BKE00293 2 - At Next Stop Spark Plug Failure on # 11 & #12 Ponder Station $500 Spark Plug
84253 BKE00293 2 - At Next Stop Spark Plug Failure on #3
recommendatio
Ponder Station $500 Spark Plug
94627 Ponder_Unit2 2 - At Next Stop Primary Connection Failure on Cylinder #11 Ponder Station $500 Ignition Primary
94721 Ponder_Unit2 2 - At Next Stop Coolant Pressure Sensor Failure ns &
Ponder Station $500 Coolant Pressure Sensor
94879
13501
Howard_Unit4
Ponder_Unit2
1 - Immediate Attention
2 - At Next Stop
Valve Failure Comp Cylinder #5
Spark Plug Failure on Cylinder #1 $32K Value YTD
Howard Station
Ponder Station
$500
$620
Compressor Valve
Spark Plug
30153 BKE00292 3 - At Next Service Thermocouple Failure on Left Turbo Outlet Ponder Station $1,000 Turbo Thermocouple
36347 Howard_Unit4 2 - At Next Stop Valve Failure on Cylinder #3 Howard Station $500 Compressor Valve
44822 BKE00289 5 - Information/Monitor Aux Coolant System Issue Howard Station $500 Information
51121 BKE00293 3 - At Next Service Cylinder Number 5 Combustion Time Increasing Ponder Station $1,000 Adjust
55279 P d U i2 3 A N S i Mi fi i h li d b 06 P d S i $500 Adj
35
Cat Connect Dealer Sales Training
• Review portfolio of Cat Connect technology, hardware and services currently available in the
Objective Oil & Gas industry and how these fit together
• Outline customer value proposition around what technology can do for them
• Provide overview on Consultative Sales Training for Services
• Develop an action plan for how to commercialize and engage key customers
Topics • Landscape of Oil & Gas Cat Connect • Advanced Condition Monitoring
covered hardware & services • Cat Productivity Optimizer
• Product Link and Product Link Web • Service Selection Tool flowchart
• AssetIQ™ kits • Data Privacy & Network Security
• Customer Value Proposition
Who should • Sales Reps, PSSRs, Account Managers, Product Support Managers who would be selling
attend Cat Connect Services.
• Technology Representatives and Managers at the dealerships
Logistics / • Americas: Pittsburgh, PA: May 18-20 • No charge for 2016 sessions
Timing • EAME: Dubai, Johannesburg & Malaga (?)
• APD: TBD
36
OTC – May 2-5 Houston, TX
Cat Connect/EMSolutions Resources
• Equipment Management Brochure

• cat.com presence
• EM infographics
• Videos –
- Caterpillar Digital Vision
- McVay Testimonial
- Cat Connect
37
Industry Update – Marine-Leslie Bell-Friedel April 2016
38
39
Cat ® Connect for Marine: High level targets and goals for 2016
54 new Cat® Asset Intelligence contracts in 2016

40+ engines connected with telematics (Product Link)
Dealer Capability Building:

• 4 Dealers (globally) on the path to being “AI Authorized Dealers” &
• ~10 Dealers on path to being ‘Key Marine Dealers’
• Execute Marine Dealer Boot Camps
• Execute additional training and work jointly with Dealers to build
capability while getting contracts
Collaboration across E&T and enterprise: Work with others within Cat
Marine to provide higher value solutions and ensure efforts are
aligned with broader Cat Connect roll-out across the enterprise
40
Expanding upon E&T readiness process…
Specialized
Training
Marine Strategy Customer Focus
41
Overall Dealer Development Plan for Marine
Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
MAI Planning, Support & Define detailed plan &
Launch online training, training videos,
Execution certification criteria
FA/BD Meeting
& Training
Cat Marine plan alignment
(Leadership, Sales & PS)
Initial Training & Cat Connect

Global +
Intro (Dealer Boot Camps, with Americas
regional & segment teams also
attending), focus on AI Hamburg
Authorized Dealers & Key
Marine Dealers Thailand
AI Authorized Dealers:
Dedicated in-person, in-depth Joint customer meetings with Dealers
Dealer A Dealer B
training, along with Technical training as aligns with installs
coordinated joint Dealer C
customer/MAI meetings Consultative solution sales training
Dealer D
Ask the expert webex sessions
Pursue contracts Pursue existing opportunities and new ‘qualified’ leads
42
Marine Dealer Boot Camps Summary
Key Take-Aways
• Understanding requires
time and focus
• 2-3 days min
• Complex and vast
• Lots of Q&A
• New way of doing business

• Contract Structure
• Organization
• Roles & Responsibilities
• Cost structure
Americas Session Attendees EAME Session Attendees • Business Model
Cleveland Bros 2 Barloworld Finanzauto 4
Whayne 2 Borusan Power 1
Carter Machinery 2 Pon 3
Pon 1 Finning UK 1 • Dealers will invest and take
Toromont 1 Eneria 2
Sotreq 2 Mantrac 1 action differently
Atlantic Hewitt 2 Albahar 2
Ferreyros 2 CGT 2 • ROI
Louisiana 3 Zeppelin 4
Puckett 1 Pon 1
• Strategic Importance
Ring Power 1 21
TTCO 1
Gregory Poole 1
21
43
Training Development Schedules
MAI Technician: Vessel Survey/Install OJT
DACUM Complete Complete Learning Objectives Begin Publishing Training courses Define Certification Process
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
Vessel Survey App Complete Training Course development begins Vessel Install Video Begin Technician Assessments
MAI Business Development OJT

Complete Learning Objectives Define Accreditation Metrics/Criteria Define Accreditation Process
DACUM Complete Training Course development begins Begin Publishing Training courses
MAI Fleet Advisor OJT
Complete Learning Objectives Define Accreditation Metrics/Criteria Define Accreditation Process
44
DACUM Complete Training Course development begins Begin Publishing Training courses
https://engines.cat.com/en/cat-connect0/industries/marine.html
45
Interested in a chief engineer with 22,000
years of experience – who never sleeps
https://youtu.be/l60xNM8NxnA
http://www.eneria.fr/actu
http://bit.ly/22wiDyk alites/solution-
ingenierie/solution-
monitoring-navires
LinkedIn (NEW):
Marine
https://www.linkedin.com/company/caterpillar-
marine?trk=company_name
46
Time to Reach 50 Million Users
47
Thank you for Attending
48
© 2013 Caterpillar. All Rights Reserved. CAT, CATERPILLAR, BUILT FOR IT, their respective logos, "Caterpillar Yellow,"
the "Power Edge“ trade dress as well as corporate and product identity used herein, are trademarks of Caterpillar and
may not be used without permission.
©2013 Caterpillar
All rights reserved.
49

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ENERGY &

• Please conduct a safety briefing for your current location

• Please mute your phones

Remote monitoring, customer

Broad Vertical Integration vs Part of Broader System

Cat Machine Data Energy & Transportation Data

Delivered Undelivered Data Delivered Undelivered Data

Dealers build front-end

“Crowd-Sourcing” Connectivity Solutions by Caterpillar

Dealer builds Solutions from any asset to custom UI

Current • Pro/Elite Series with Product Link Web

2nd Qtr. • Generation Series hardware, software, & UI

Mid 2016 YE 2016 2017/18

PLG641 External Antenna External Tri-Mode Antenna • 470-0420 • $73.60 • Antenna

Fleet View Custom View

April May June July

Ask the Expert Session: Webinar #2 Overview of Webinar #2 Detailed

• Strengthening relationships w/ dealers & customers

• Fluid Analysis Data – SOS in Equipment Details

Allows users to provide feedback:

• Shift out of gear to neutral (Well Frac trailers)

Location & Key

• 67 recommendations - $32 K Value YTD.

• Equipment Management Brochure

54 new Cat® Asset Intelligence contracts in 2016

Dealer Capability Building:

Marine Strategy Customer Focus

Initial Training & Cat Connect

Ask the expert webex sessions

Pursue contracts Pursue existing opportunities and new ‘qualified’ leads

• New way of doing business

MAI Business Development OJT

MAI Fleet Advisor OJT

Complete Learning Objectives Define Accreditation Metrics/Criteria Define Accreditation Process

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