CATERPILLAR &lt;CAT> REAFFIRMS FIRST QUARTER OUTLOOK
  Caterpillar Inc, in remarks
  delivered at its annual meeting in San Francisco, reiterated
  its expectation of a loss in the first quarter.
      It said results would be hurt by a 25 mln dlr one-time
  charge by Caterpillar Mitsubishi, a 50-pct owned affiliate. The
  company said it expected profit from operations for the full
  year to improve over 1986.
      In remarks prepared for delivery to shareholders, President
  Peter Donis said Caterpillar's targeted five pct cost reduction
  in 1987 "will be difficult to achieve because the weaker dollar
  has limited opportunities to obtain lower material costs."
  

