President Bush Signs Transportation Bill at Caterpillar Facility

MONTGOMERY, Ill., Aug. 10 /PRNewswire-FirstCall/ -- Caterpillar Inc. today hosted President George W. Bush at the company's manufacturing facility in Montgomery, Illinois, where he signed HR3, the Transportation Equity Act, into law. The measure sets funding levels over the 2004-2009 time frame for critical infrastructure projects.

"We are honored President Bush is signing this important legislation at our Montgomery location and that House Speaker Denny Hastert is with us today after working so hard to get this bill passed in Congress," said Jerry Palmer, Caterpillar vice president with responsibility for the Wheel Loaders and Excavators Division. "The wheel loaders and excavators made in Montgomery can be seen all around the country, working to build the roads, highways and bridges that are such a vital part of the American economy."

Caterpillar's Montgomery operation is one the company's largest U.S. manufacturing facilities, and it is located in House Speaker J. Dennis Hastert's 14th Congressional District.

"This highway bill will not only fuel America's economy by growing jobs, but it addresses the need for a national transportation system suited to the 21st century's economy," said Hastert. "It is estimated that for every one billion dollars we spend on road construction, nearly 48,000 jobs are created. With more than 67 percent of the nation's freight moving on highways, economists believe that our ability to compete internationally is tied to the quality of our infrastructure."

Caterpillar Group President Gerry Shaheen said, "On behalf of our Caterpillar customers, I'd like to thank the President, Speaker Hastert and all those who made this day possible. With this bill, our customers will now have certainty to make business plans and to prepare to get to work on the projects that provide jobs and improve the lives of all Americans who benefit from improved highways, roads and bridges."

In addition to the infrastructure initiatives, the legislation funds programs to reduce emissions from older off-road diesel equipment and sets money aside to retrofit school buses as part of the Environmental Protection Agency's Clean School Bus USA initiative. Caterpillar has actively supported the Clean School Bus USA initiative by providing $250,000 in grants in 2004 to help school districts reduce bus emissions. Caterpillar's retrofit technology can also be used as part of a transportation bill program, enabling states to retrofit older construction equipment used in federal highway projects, including machines used in EPA non-attainment areas.

Caterpillar uses its breakthrough ACERT(R) Technology to reduce on-highway and off-road emissions. In fact, the company has reduced on-highway diesel emissions in trucks and buses by nearly 90 percent since 1988 and will reduce emissions another 90 percent by 2007.

For 80 years, Caterpillar Inc. has been building the world's infrastructure and, in partnership with its worldwide dealer network, is driving positive and sustainable change on every continent. With 2004 sales and revenues of $30.25 billion, Caterpillar is a technology leader and the world's leading manufacturer of construction and mining equipment, diesel and natural gas engines and industrial gas turbines. More information is available at http://www.cat.com/ .