so let's talk to sandy cutler. welcome back to "mad money." >> good evening. good to be with us. >> 6:32 this morning, i'm waiting. i read in the statement you use the word shortfall but then use the two words dividend boost. which is telling the correct story of the quarter? >> we're think we're coming out with all time records sales, up 17%, profits up 44%, full-year profits exceeded our all-time record by 19%, that record we set in 2007. we look at this quarter where we did for the first time in a decade actually miss the consensus number in first call. our confidence, however, about 2012 and having another record year in 2012 in both sales and profits is why we declared the 12% dividend. we think we're in very good shape, we're very confident in our overall business. we did see some weakness, you correctly noted in asia and in china. or in china in europe. i don't think that's unique to eaton. but we see our markets next year expanding by 5% in 2012. that's a solid base to operate off of. >> the shortfall in europe was due to a slowing euro zone economy an

yesterday eaton's sandy cutler on the show says the truck sales it's, extraordinarily strong. my worry is it may be in cummings stock, so i'm going to bet that cummings stock gets hit no matter what it says. and i would do if i were at home what my charitable trust did and take profits ahead of the quarter. then there is dow chemical. this one i'm really curious, making a lot of calls on today. it's a big one. the chemical companies are on fire right now. a lot of takeovers in the group, in part because of a dramatic decline in natural gas, their core feed stock. so i bet dow will deliver a very strong bottom line, although top line, the revenues could be hurt by europe. if the stock gets hit by some extraneous market news ahead of this report, i'm going to come in here on thursday night and tell you, or friday morning on "squawk on the street." friday morning there is american axle. now i've made it clear that the way to play the auto rebound is not with the automakers. witness ford, right? more on that later. but with the parts makers because we care about the automobile. ax

after last week's positive earnings news, including from eatton, which we heard sandy cutler on the show, caterpillar, cooper, unbelievable. and honeywell. there can't be much doubt this resurgence is for real. we still need more job growth in order to turn down the resistance to housing. but that can happen. in fact, tr horton says it's already happening in a very positive conference call last week. what about china, which is so important to everything from the metals and energy companies to tech to building. even starbucks to coach to mcdonald's. we hoped this would be the year that china would step on the accelerator. right now it's really tapping more lightly on the brakes. the emerging markets, however, they're cutting rates and we're beginning to see healthy signs in the countries, signs res natded in the quarters we have heard so far this year. so we added it up and what we see is a mixed picture with europe falling maybe hard. the u.s. slowly getting better. the emerging markets struggling to improve and china moving along, not strong enough to ignite inflation but also not stron