WESTPORT, Conn.--(BUSINESS WIRE)--Oct. 12, 2012--
Terex Corporation (NYSE: TEX) today announced it has completed an
amendment to its credit facility that is expected to reduce annual
interest cost by approximately $7 million. As a result of this
amendment, the Company’s U.S. Dollar denominated term loans will be
priced at LIBOR plus 3.5% with a 1% LIBOR floor and the Company’s Euro
denominated term loans, at EURIBOR plus 4% with a 1% EURIBOR floor. As
of June 30, 2012, the Company had $453 million of U.S. Dollar
denominated term loans outstanding, priced at LIBOR plus 4% with a 1.5%
LIBOR floor and $249 million of Euro denominated term loans outstanding,
priced at EURIBOR plus 4.5% with a 1.5% EURIBOR floor. These loans were
originally issued in August 2011.
Additionally, the amendment to the credit agreement also provides, among
other things, reduced pricing on performance guarantees and greater
flexibility for the Company in issuing additional debt under the credit
agreement.
Phil Widman, Senior Vice President and Chief Financial Officer
commented, “This is another step in our continued efforts to improve our
debt structure, both through eliminating and reducing the cost of our
high interest debt.” As previously disclosed, during the third quarter
of 2012, the Company also purchased approximately 25% of the principal
amount outstanding of its 4% Convertible Notes and completed the
redemption of $300 million of its 10-7/8% Senior Notes.
About Terex
Terex Corporation is a diversified global manufacturer reporting in five
business segments: Aerial Work Platforms, Construction, Cranes, Material
Handling & Port Solutions and Materials Processing. Terex manufactures a
broad range of equipment for use in various industries, including the
construction, infrastructure, quarrying, manufacturing, mining,
shipping, transportation, refining, energy and utility industries. Terex
offers financial products and services to assist in the acquisition of
Terex equipment through Terex Financial Services. Terex uses its website
to make information available to its investors and the market at www.terex.com.
Source: Terex Corporation
Terex Corporation
Tom Gelston, 203-222-5943
Vice President,
Investor Relations
[email protected]