WESTPORT, Conn., Jan 3, 2005 (BUSINESS WIRE) -- Terex Corporation
(NYSE: TEX) announced today that it has completed its previously
announced acquisition of the Reedrill division from Metso Corporation.
Reedrill, headquartered in Sherman, Texas, is a leading manufacturer
of surface drilling equipment for use in the mining, construction and
utility industries, with estimated 2004 revenues of approximately $80
million. This transaction was completed on December 31, 2004.
"We are very excited about the opportunity in front of us,"
commented Rick Nichols, President - Terex Materials Processing and
Mining. "We believe that the Reedrill product lines are a nice
complement to our Terex Mining products, which include electric mining
trucks and hydraulic mining shovels. This product extension helps us
to better service our customers' needs and provides further
penetration into the mining, construction and utility businesses." Mr.
Nichols also stated, "We believe that there are cost saving
opportunities to make this business more profitable, as we integrate
the Reedrill product line into the Terex business model and our
Materials Processing and Mining group." More information on Reedrill
and their product line can be found at www.reedrill.com.
Safe Harbor Statement
The above contains forward-looking statements based on Terex's
current expectations and projections about future events. 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: Terex's
business is highly cyclical and weak general economic conditions may
affect the sales of its products and its financial results; the
sensitivity of construction, infrastructure and mining activity and
products produced for the military to interest rates and government
spending; the ability to successfully integrate acquired businesses;
the retention of key management personnel; Terex's businesses are very
competitive and may be affected by pricing, product initiatives and
other actions taken by competitors; the effects of changes in laws and
regulations; Terex's business is international in nature and is
subject to changes in exchange rates between currencies, as well as
international politics; the ability of suppliers to timely supply
Terex parts and components at competitive prices; the financial
condition of suppliers and customers, and their continued access to
capital; Terex's ability to timely manufacture and deliver products to
customers; Terex's significant amount of debt and its need to comply
with restrictive covenants contained in Terex's debt agreements;
compliance with applicable environmental laws and regulations; and
other factors, risks, uncertainties more specifically set forth in
Terex's public filings with the SEC. In addition, until the review by
Terex of its previously announced intercompany account imbalance is
concluded, no assurance can be given with respect to the financial
statement adjustments, impacts and periods resulting from such review,
nor can there be assurance that additional adjustments to the
financial statements will not be identified. 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 herein 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 2003
net sales of $3.9 billion. The Company 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.
SOURCE: Terex Corporation
Terex Corporation
Investor Relations:
Tom Gelston, 203-222-5943