Dividend Declaration

Caterpillar Inc
11 October 2006

October 11, 2006

Caterpillar contact:
Rusty L. Dunn
Corporate Public Affairs
[phone]
[e-mail]

FOR IMMEDIATE RELEASE


                    Caterpillar Inc. Maintains Dividend Rate

PEORIA, IL -- Caterpillar Inc. (NYSE: CAT) today declared a quarterly cash
dividend of thirty cents ($0.30) per share on its common stock, payable November
20, 2006, to stockholders of record at the close of business October 23, 2006.

The thirty cent dividend maintains the dividend rate for the previous quarter
and is 20 percent higher than the dividend paid one year ago and is 46 percent
higher than the split-adjusted dividend paid two years ago.

'This strong pace of dividend growth rewards our stockholders and reflects the
strength of our ongoing profitability,' said Caterpillar Chairman and Chief
Executive Officer Jim Owens.

For more than 80 years, Caterpillar Inc. has been making progress possible and
driving positive and sustainable change on every continent. With 2005 sales and
revenues of $36.339 billion, Caterpillar is the world's leading
manufacturer of construction and mining equipment, diesel and natural gas
engines, industrial gas turbines and a wide and growing offering of related
services. More information is available at http://www.cat.com.




                      This information is provided by RNS
            The company news service from the London Stock Exchange