WESTPORT, Conn.--(BUSINESS WIRE)--Aug. 29, 2005--Terex Corporation
(NYSE: TEX) announced today that it has filed a Form 8-K with the
Securities and Exchange Commission ("SEC") disclosing that Terex has
been advised by the SEC that it is commencing an investigation of
Terex. Terex understands that the investigation relates to the
previously announced restatement of its financial statements for the
years ended December 31, 2000, 2001, 2002 and 2003. The restatement
principally pertains to errors identified by Terex in accounting for,
and reconciliation of, certain intercompany imbalances, as well as in
the failure to properly eliminate, in consolidation, all intercompany
accounts in accordance with generally accepted accounting principles.
While no formal order has yet been issued, Terex is cooperating fully
and intends to voluntarily provide the SEC staff with information.
Separately, Terex has received a subpoena from the SEC in a matter
entitled "In the Matter of United Rentals, Inc." The subpoena
principally requires the production of documents concerning certain
transactions involving Terex and it subsidiaries, on the one hand, and
United Rentals, on the other, in 2000 and 2001. Terex is also
cooperating fully with this investigation. Terex does not believe that
these transactions impact its restatement.
Safe Harbor Statement
The press release contains forward-looking information based on
Terex's current expectations. Because forward-looking statements
involve risks and uncertainties, actual results could differ
materially. Such risks and uncertainties, many of which are beyond
Terex's control, include among others: until the SEC investigation and
the previously announced review by Terex of its accounts is concluded,
no assurance can be given with respect to the financial statement
adjustments, impacts and periods resulting from such reviews; and
other factors, risks, uncertainties more specifically set forth in
Terex's public filings with the SEC. Actual events or the actual
future results of Terex may differ materially from any forward looking
statement due to those and other risks, uncertainties and significant
factors. The forward-looking statements speak only as of the date of
this release. Terex expressly disclaims any obligation or undertaking
to release publicly any updates or revisions to any forward-looking
statement included in this release to reflect any changes in Terex's
expectations with regard thereto or any changes in events, conditions,
or circumstances on which any such statement is based.
Terex Corporation is a diversified global manufacturer with 2004
net sales of approximately $5 billion. Terex operates in five business
segments: Terex Construction, Terex Cranes, Terex Aerial Work
Platforms, Terex Materials Processing & Mining, and Terex
Roadbuilding, Utility Products and Other. Terex manufactures a broad
range of equipment for use in various industries, including the
construction, infrastructure, quarrying, recycling, surface mining,
shipping, transportation, refining, utility and maintenance
industries. Terex offers a complete line of financial products and
services to assist in the acquisition of Terex equipment through Terex
Financial Services. More information on Terex can be found at
www.terex.com.
CONTACT: Terex Corporation
Tom Gelston, 203-222-5943
SOURCE: Terex Corporation