Terex Corporation Announces Intention to Issue $200 Million of Senior Subordinated Notes

March 14, 2001

WESTPORT, Conn.--(BUSINESS WIRE)--March 14, 2001--Terex Corporation (NYSE:TEX) today announced that it intends to issue approximately $200,000,000 principal amount of Senior Subordinated Notes Due 2011 and increase the availability under its existing $125 million Revolving Credit Facility maturing March 2004 to $300 million.

Terex also is negotiating an amendment to its existing bank credit agreements to provide the Company with greater operating flexibility. Terex intends to use the net proceeds from the Note offering to prepay a portion of its existing term loans. The increase in the Revolving Credit Facility will allow Terex to reduce the amount of cash balances and total debt it has been carrying on its balance sheet.

It is intended that Terex Corporation will offer these Senior Subordinated Notes pursuant to Rule 144A promulgated under the Securities Act of 1933, as amended (the "Act"), and that they will not initially be registered under the Act. Accordingly, these Senior Subordinated Notes will not be able to be offered or sold in the United States absent registration under the Act or an applicable exemption from the registration requirements. This press release does not constitute an offer to sell, or the solicitation of an offer to buy, any securities of Terex Corporation.

Terex Corporation is a diversified global manufacturer based in Westport, Connecticut, with 2000 revenues in excess of $2 billion. Terex is involved in a broad range of construction, infrastructure and mining-related capital equipment operating primarily 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, large hydraulic mining shovels under the brand name O&K, as well as loader backhoes under the brand name Fermec. Terex entered the infrastructure building business in 1999 with the acquisitions of Powerscreen and Cedarapids and its recent acquisitions of Jaques and Canica-Jaques. 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. More information on Terex can be found at www.terex.com.

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CONTACT: Terex Corporation, Westport
Jack Lascar, Vice President, 203/222-5943
www.terex.com