Caterpillar Names First Chief Sustainability & Strategy Officer and Will Enhance Climate-Related Disclosures

October 15, 2021

FOR IMMEDIATE RELEASE

DEERFIELD, Ill. – Caterpillar Inc. (NYSE: CAT) is creating the position of Chief Sustainability & Strategy Officer, enhancing its environmental, social and governance (ESG)-related disclosures and tying a portion of executive compensation to ESG. These actions reflect stakeholder feedback and illustrate the company’s longstanding commitment to sustainability.

“Sustainability is an important element of our long-term strategy for profitable growth,” said Caterpillar Chairman and CEO Jim Umpleby. “Caterpillar is committed to contributing to a reduced-carbon future and helping our customers achieve their climate-related objectives as they build a better, more sustainable world.”

The company is announcing three key actions:

• Caterpillar is establishing the new leadership position of Chief Sustainability & Strategy Officer reporting directly to the Chairman & CEO. Julie Lagacy, current vice president of the Enterprise Strategy Division, will assume additional responsibilities as the Chief Sustainability & Strategy Officer effective November 1, 2021.
  
• The Caterpillar Board of Directors will incorporate ESG in the 2022 incentive plan for Executive Officers. More information will be disclosed in the company’s 2023 Proxy Statement.
• Caterpillar will continue to analyze the disclosure recommendations of the Task Force on Climate-related Financial Disclosures (TCFD) and begin to utilize the TCFD framework to enhance its sustainability reporting starting in 2023.

The company first introduced Sustainability Accounting Standards Board (SASB) reporting standards in its 2019 Sustainability Report. In 2021, the company also introduced seven new sustainability goals for 2030; five are centered on climate and the environment, and two focus on employee and customer safety.

Learn more about Caterpillar’s commitment to contributing to a reduced-carbon future in its Sustainability Report and Climate and Energy Statement.

About Caterpillar

With 2020 sales and revenues of $41.7 billion, Caterpillar Inc. is the world’s leading manufacturer of construction and mining equipment, diesel and natural gas engines, industrial gas turbines, and diesel-electric locomotives. Since 1925, we’ve been driving sustainable progress and helping customers build a better world through innovative products and services. Throughout the product life cycle, we offer services built on cutting-edge technology and decades of product expertise. These products and services, backed by our global dealer network, provide exceptional value to help our customers succeed. We do business on every continent, principally operating through three primary segments – Construction Industries, Resource Industries, and Energy & Transportation – and providing financing and related services through our Financial Products segment. Visit us at caterpillar.com or join the conversation on our social media channels at caterpillar.com/social-media.