INTRODUCTION OF 2 TIER MADE TO ORDER (MTO) TRACK GROUP PROGRAM Caterpillar

INTRODUCTION OF 2 TIER

MADE TO ORDER (MTO) TRACK GROUP PROGRAM

This IRM Supersedes ?IRM UC01-13?

The Made to Order Track Group Program enables dealers to place stock orders for selected track groups.  The exceptional acceptance of this program by the dealers has required a review of our timeframe to deliver the track groups to the dealers.

Introduction of the 2 Tier process will provide more consistent delivery timeframes for both high volume and low volume track groups to the dealer.  This will allow the dealer to better manage their MTO inventory.

Benefits of MTO Program

?        Factory assembly improves quality

?        Saves customer labor expenses, improves dealer track shop utilization

?        Reduce MTO track group inventory

?        Improve scheduled machine maintenance activities

?        Reduced price, track group price reduced 5% at D/N and SCP price levels

?        Merchandising and Focus Programs applicable: All current programs can be used.

?        Available through dealer stock orders

?        Allows dealers to be more competitive

Machine Models in Program

?        Track Type Tractors: D5G, D7G, D9H, D5N/M, D6N/M, D6R/H, D7R/H, D8T/R/N, D8L, D9T/R/N, D9L, D10T/R/N, D11R/N

?        Track Type Loaders:953C/B, 963C/B, 973C

?        Hydraulic Excavators:330C/B

?        SystemOne^? Undercarriage: D6R/H, D6N/M, D5N/M, D5G, 953C/B, 963C/B

Track Group List

See Attachment I for a current list of track group part numbers by model.  New track groups will continue to be added to the program, check the NACD Infocast at (https://nacd.cat.com/infocast/frames/prodsupp/uc/mto/) for updates to the attached list.

Ordering Procedure / Delivery Timeframe

Dealers should place stock orders through the ANTARES^SM System.  Emergency and Future Dated Orders (FDO) will not be accepted for this program.  See Attachment I, column 3 titled ?Lead Time? for days to deliver.  The following are the two delivery timeframes once the order has been placed and received at the dealership:

• Tier 1, Targeted 14 days maximum lead time delivery to NACD dealers
• Tier 2, Targeted 28 days maximum lead time delivery to NACD dealers
• For dealers outside NACD, additional time required to allow for shipping from port of exit to dealership.

Method of Procuring MTO Track Groups

?        Track groups will be assembled and painted after order is received

?        Shipped in the next available stock shipment

Future Direction of Program

With your feedback, we will consider expanding the part numbers offered.  Additional track groups will be added with sufficient demand justification and adequate track shoe availability.  Regarding additional information on the MTO program, E-mail: Tim Nenne (Nenne_Tim_M@cat.com)

TCRobertson

Undercarriage Marketing Division

Marketing and Product Support Division

CV4111 ? (309) 675-7879

E-mail: Robertson_Thomas@cat.com

Attachment I

                                                    MTO Track Group List