This $250,000 Caterpillar Bulldozer Can Be Yours For The Low, Low Price Of $55

Tyler Durden's picture

After today's CAT earnings, in which the company not only announced a steep drop in revenues, profits and cash flow but also obliterated its guidance, cutting the midpoint of the 2016 revenue range (set just three months ago) from $45.5 billion to $42 bilion, it should have become clear to everyone just how bad the company's income statement is.

But what about its balance sheet and specifically that $10 billion in inventory? We got a glimpse back in November when we showed how at an auction in Australia, CAT loaders, excavators and tractors, with MSRPs in the millions, were selling for sub-pennies on the dollar, or as low as $15,000 for a machine that was originally sold for $2.9 million.

The post quickly went viral and while many readers were impressed by the collapse in demand (as reflected by the auction prices) for CAT equipment, some wished they too could participate in the bidding process: after all, what better way to make an impression on one's neighbors than to take a leisurely stroll down the street in a bulldozer, especially if its costs virtually nothing.

To all readers who wrote us complaining about this, you are in luck.

Below we present a Caterpillar D6T Bulldozer, a machine which has a "new" MSRP of over a million dollars, and which with over 5,000 hours of use, sells through reputable dealer channels, for around $250,000 each.

 

Or, as the case may be, does not sell because while $250,000 is well below the MSRP, it is clearly still too high for that occasional leisurely drive around the neighborhood. Or for any other purpose for that matter.

But what about $50?

Because that is what the bid is on the exact same dozer (one which has even less total use, or just 3680 hours) currently offered for sale on Proxibid, where with 20 hours left until the end of the auction, $50 is all someone is willing to spend for this heavy machinery marvel.

 

Here are some more photos of the gorgeous, barely used machine you could be the proud owner of for the low, low price of $55.00

 

Cherry on top: the high-end audio system comes included in the price.

 

What are the terms of the auction? Well, what you buy is pretty much what you get "as is." But surely there is a catch, like $249,950 shipping? Well no - you just have to go to Louisiana and pick it up.

But what if $50 feels too rich for this bulldozer? There is always this $10 Komatsu may be more up your alley.

Perhaps a bulldozer is not what you need: then how about this $110 Volvo excavator?

Or maybe neither a bulldozer nor an excavator is your cup of tea? That's fine: judging by these (lack of) bids, nobody else has an urge to splurge either.

Which brings us to our original question: if a bulldozer which retails new for over $1 million, can not sell via official channels For 250,000 and has a true price discovery in the hundreds if not tens of dollars, what does that suggest about i) the true mark on Caterpillar's $10 billion in Inventory, and ii) the losses that CAT's banks are starting at if they ever are forced to liquidate the "collateral" that backs their loans?

Source: Proxibid

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Durrmockracy's picture
Durrmockracy (not verified) Jan 28, 2016 2:51 PM

as if... I could get 0.5 shares of FB for $55!

ParkAveFlasher's picture

You can get a CAT bulldozer or a case of these, with shipping:

 

http://www.ebay.com/bhp/vintage-caterpillar-hat

nope-1004's picture

Looks like deflation is setting in bigtime.  I'll wait on the D6.... willing to buy a Boeing 767 though for under a grand.

 

Shocker's picture

This pretty much explains the shape this economy is in. Even $250,000 is a major discount.

Layoff List: http://www.dailyjobcuts.com

-

 

General Decline's picture

Reposting as this was deleted almost immediately after hitting save...

Nice! You could really knock down a bunch of Palestinian homes with that baby!

Tom Servo's picture

Proxibid isn't like ebay, the auction BEGINS in 18ish hours.  That won't sell for $55

 

NidStyles's picture

Wait, I have $55, but I don't have a bulldozer!!

sleigher's picture

I could actually use that excavator.

schoolsout's picture

Same here...bring it to Charleston, SC and I guarantee you it gets sold for a much higher price.  It's "booming" here...just hope it stays that way.

Money Counterfeiter's picture
Money Counterfeiter (not verified) schoolsout Jan 28, 2016 3:29 PM

I want one for my kid.  A dream come true.

Manthong's picture

OK Fine..

I will drive it up to Springfield, Illinois

I can think of a few joints that could use some bulldozing.

..just down the street from Peoria..

And the AM/FM radio alone is probably worth around 10 bucks.

I might want to do a couple of mods, though on the way up.....

https://www.youtube.com/watch?v=PZbG9i1oGPA

BTW.. note the fifty in the cab.. like the mexican shrimp.. no optics.. stupid.

 



 

froze25's picture

This is why they have to let the great reset happen you need to have assets actually valued for what they are worth in the given market. Using bull shit valuations for longer periods of time just makes it worse. The value of this equipment as scrap is more than 50 bucks but the market has over built them to such a degree from the bogus debt fueled binge they can't give them away now. Rip off the bandaid and let the cards fall as they may so we can move forward again already.

MisterMousePotato's picture

My driveway is only about 15 feet long.

But, we sure do get a lot of snow here.

Hmm...

The Saint's picture
The Saint (not verified) MisterMousePotato Jan 28, 2016 4:15 PM

If I bought a CAT my HOA wouldn't let me keep her.

I need more asshats's picture

Another ZERO Hedge article with a slight truth bias.

KesselRunin12Parsecs's picture
KesselRunin12Parsecs (not verified) I need more asshats Jan 28, 2016 5:26 PM

So with that thing... You could, like, dig 11oz of silver out of the ground, and be at break even! Sweet!

 

Speaking of silver... The Pontiac Silverdome, where the 1982 SuperBowl was held, sold for $450,000 a few years back.

Manthong's picture

If I ordered that $50 CAT, I would have to tear out the drive and order a 6 bag mix in…..

 

Bunghole's picture

I guess you all missed the fine print on the auction.

16 Hours 29 Minutes

 to bid until the live auction begins!

The dozer is already at $5,500 and the real bidders dont show up until tomorrow morning.

KesselRunin12Parsecs's picture
KesselRunin12Parsecs (not verified) Bunghole Jan 28, 2016 5:35 PM
Manthong's picture

like I said a couple of hours ago...

BTW.. note the fifty in the cab.. like the mexican shrimp.. no optics.. stupid.

Stackers's picture

It's getting much worse...........

I watched an auction 2 weeks ago for the liquidation of a west Texas rig moving company

2 year old crane that sells new for $1.75mil went for $875,000.

I need more asshats's picture

I'm shopping for some equipment. I'd like to get a fracking rig. About 4 years ago now I was vaping on an e-cig and it blew up in my face. I sustained major damage including a broken jaw and literally a hole in my face. The upside was 6.35 million net. Not a whole lot but enough to get me into the oil business. Let me know if you see any fracking rigs for sale. Cheap. Prefer Canada.

Manthong's picture

Hey.. let's go down 3000 feet and then west about 7000 feet from my back yard..

we could spew sludge right up into my town hall.

Countrybunkererd's picture

Don't be silly, Cat's use litter boxes.  This one can make it's own litter box and clean it out as well.

tmosley's picture

Only $4300 for low priority shipping on that backhoe. Might get one and build myself an earth ship.

Maybe I can buy an oilfeild flatbed for less than the shipping and just go pick it up myself for few hundred.

Quasi's picture

Agreed. I use it regularly and the real bidding doesn't even begin until the last 5 minutes of an auction. And then, unlike Ebay, it adds another 2 minutes to the auction if you bid during the final few minutes, so sniping is very difficult. Oh, and Proxibid auctioneers are actual, licensed, auctioneers. So when you get screwed on a deal (and you will) you have some actual legal recourse.

Skateboarder's picture

Tyler jumped the gun on this one.  :-P

Mr. Universe's picture

A quick check of Craig's list around the country will tell you that no shortage of these devices exist at well below retail pricing. In fact several farmer friends tell me if you have more than just a few acres to clear you are better off buying the dozer you need, doing it yourself and then selling said equipment for about what you paid. So no free loaders, but close.

Haus-Targaryen's picture

Exactly.  It works like ridesafely.com does for salvage vehicles.  Just acting as a 3rd party.  

That thing will go for a small fortune.  

Mr. President's picture
Mr. President (not verified) Tom Servo Jan 28, 2016 3:44 PM

+1

It's already up to 600 since the 'story broke'.

The Saint's picture
The Saint (not verified) Tom Servo Jan 28, 2016 4:10 PM

It's up to $1000 now.  Which one of you guys drove the price up?

Professor Fate's picture

Not me.  I'm waiting to BTFD.

Fate the Magnificent
"Push the Button, Max" 

Down to Earth Thinking's picture

yep beyond misleading ? a better measure woud be actual auction sales prices from current Ritchie Bros sales .

Shocker's picture

If you check current price its $210 bucks... forget that I'm out!

HowdyDoody's picture

The extra armor option would be needed in order to protect the driver's precious bodily fluids.

Save_America1st's picture

I've heard that the Komatsu's and other Japanese big heavy movers are kicking Caterpillars ass because of the exchange rates.  I dunno...but it would be kick ass to have some of that equipment for 100 bucks each!

0b1knob's picture

People will just walk away and abandon equipment like that eventually.

At least people aren't abandoning oil and gas wells yet.    Oh wait....

 

http://www.cbc.ca/news/canada/calgary/alberta-sees-huge-spike-in-abandon...

 

LowerSlowerDelaware_LSD's picture
LowerSlowerDelaware_LSD (not verified) Shocker Jan 28, 2016 3:06 PM

Does the $55 include shipping and handling?

codecode's picture

Wonder what it costs to fill that thing with diesel...?

shovelhead's picture

I got Amazon Prime.

Free shipping.

All Risk No Reward's picture

My position was "eliminated," along with the supervisor, and a planner (and who knows who else).

It was a desperation move as the company simply can't generate sales to make a profit.

I feel bad for the people left behind because it is going to be h*ll. That's a trend I was noticing for sometime.

As the turnip gets squeezed, the work environments become more and more toxic.

If business were to pick up, they would reinstate our positions with junior level employees. That's hypothetical because I think the odds of that are the same as Hillary doing actual substantial time in prison... which is so near ZERO as to be indistinguishable from it.

DirkDiggler11's picture

All Risk:
Good luck in your job search, other opportunities will turn up !

Shocker's picture

Ummm, a couple pairs of jeans or bid on a CAT.... ummmmm

LowerSlowerDelaware_LSD's picture
LowerSlowerDelaware_LSD (not verified) Shocker Jan 28, 2016 3:18 PM

Three pair of jeans at Costco.

LoneStarHog's picture

Yewwwww!...It has rust and is dirty or I would bid.