Press Release Details

WESTPORT, CT--(BUSINESS WIRE)--Nov. 16, 2000--Terex Corporation (NYSE:TEX) announced today that it has signed a letter of intent to sell its European aerial work platform (AWP) businesses to Pinguely Haulotte, a leading French manufacturer of AWP, for $13.5 million plus the retention by Terex of $21 million of European receivables. The letter of intent also includes a reciprocal distribution agreement in both Europe and North America. Terex is retaining its U.S. AWP operations. The units to be divested include the Irish and Dutch AWP factories that are part of Terex Lifting. The transaction, which is subject to customary regulatory approvals, is expected to close in the fourth quarter.

"Our European AWP business has not achieved the critical mass in product offering or distribution to become a meaningful, growing presence in the European market," said Ronald M. DeFeo, Terex's Chairman and Chief Executive Officer. "This transaction would put those businesses in stronger strategic hands in Europe and would allow us to redeploy capital into areas with the potential to generate better returns for Terex shareholders."

According to the management of both companies, the reciprocal distribution agreement currently being negotiated would reinforce the product offerings and the competitive position of each company on each side of the Atlantic.

Terex Corporation is a diversified global manufacturer based in Westport, Connecticut, with expected 2000 revenues in excess of $2 billion. Terex is involved in a broad range of construction, infrastructure and mining-related capital equipment operating in two segments -- Terex Earthmoving and Terex Lifting. Terex Earthmoving manufactures and sells heavy-duty off-road trucks and high-capacity surface mining trucks under the brand names of Terex, Unit Rig and Payhauler, as well as large hydraulic mining shovels under the brand name O&K. Terex entered the infrastructure building business in 1999 with the acquisitions of Powerscreen and Cedarapids. Terex Lifting manufactures and sells telescopic mobile cranes, lattice boom cranes, tower cranes, aerial work platforms, utility aerial devices, telescopic material handlers, truck mounted cranes, and related products, under the brand names Terex, Lorain, PPM, P&H, Franna, Marklift, Koehring, Bendini, Simon, RO, Telelect, Square Shooter, Holland Lift, American, Italmacchine, Peiner, Comedil and Matbro.

Certain information in this announcement includes forward-looking statements regarding future events or the future performance of the Company that involve certain contingencies and uncertainties. Such statements are inherently subject to a variety of risks and uncertainties that could cause actual events or performance to differ materially from those reflected in such forward-looking statements. Such risks and uncertainties, many of which are beyond the Company's control, include, among others: the effects of changes in laws and regulations; the effect of interest rates, government spending and general economic conditions on construction and mining activity; the national and international political climate; and other factors, risks and uncertainties set forth in more detail in the Company's public filings. Actual events or performance may differ materially from any forward-looking statement due to these and other risks, uncertainties and significant factors.