Caterpillar’s Big Surprise
Caterpillar Inc, the construction equipment maker, reported better than expected second quarter results. Excluding some costs, profit was 72 cents per share, exceeding even the highest expectations of 42 cents per share. Its full-year profit outlook also exceeded expectations.
Airlines cut more jobs
Continental Airlines Inc and Southwest Airlines announced separately today that they will cut a total of 1,700 employees. Continental also reported a $213 million loss for the second quarter while Southwest had a $54 million gain in the same period.
CIT on Brink
CIT Group Inc, the U.S. lender to small and mid-sized businesses, said on Monday it may still file for bankruptcy if it fails to tender notes maturing next month. It has made a cash tender offer of $825 for each $1,000 principal amount of notes tendered on or before July 31.
Opel Talks Ongoing
Talks between automaker General Motors Corp. and Germany’s government will not result in a decision as to which bidder will acquire the European Opel brand, a German government source told Reuters on Tuesday.