“The protective armor plating that’s talked about, the bullet resistant glass and other modifications take place after the machine has been transferred to the Israeli government by the US government,” Dun says.

 

“These changes happen after the sale.  They do not happen in our factories.”

 

Dunn says Caterpillar should not be involved in the political issue of resolving unrest in the Middle East.  MSCI said in a statement that Israeli practices were one of the "key factors" in its decision. It also cited employee safety concerns, environmental issues and a plant closing in Canada.  The decision has already spurred American mutual fund giant TIAA-CREF to remove $72 million in Caterpillar shares from its "Social Choice" Fund. The fund tracks one of MSCI's indexes.  Dunn says Caterpillar is talking to MSCI to better understand the reasons behind its decision.