Caterpillar Inc, Construction | featured news

Caterpillar Inc, the world's largest maker of construction equipment, posted a 55 percent drop in quarterly profit on Monday due to a charge connected with accounting fraud at a Chinese subsidiary and weak demand among its dealers.

Caterpillar drove the Dow Jones industrial average higher Friday after the company reported a huge gain in first-quarter earnings. The world's largest maker of mining and construction equipment rose 2.5 percent after its earnings increased more than five-fold. The company also raised its sales and profit forecast for the year.

Caterpillar, the world's largest maker of construction and mining equipment, says it will permanently cut 2,500 jobs.