Bucyrus International, Inc. Completes Acquisition of Mining Business of Terex Corporation
February 19 2010 - 9:00AM
Bucyrus International, Inc. (Nasdaq:BUCY), a world leader in the
design and manufacture of mining equipment, announced today that it
has completed its acquisition of the mining equipment business of
Terex Corporation. The transaction will position Bucyrus as the
premier supplier of mining equipment, serving its customers from
nearly 100 locations around the world with a team approaching
10,000 employees.
"We are pleased to announce this important milestone for Bucyrus
as we begin our 130th year in business. This
transaction is a unique opportunity to build an even stronger
company for our customers, employees, and shareholders," said Tim
Sullivan, President and Chief Executive Officer of Bucyrus.
In connection with the acquisition, Bucyrus paid US$1 billion in
cash and issued to Terex 5,809,731 shares of Bucyrus common
stock. The number of shares was determined by dividing US$300
million by the trade weighted average share price of Bucyrus for a
ten day period prior to signing the agreement on December 20,
2009. Bucyrus amended its existing credit agreement and raised
additional term debt of $1 billion to fund the cash payment.
Bucyrus now offers a comprehensive product line of mining
equipment driven by technology, quality, and first class
service. Bucyrus designs and manufactures world class machines
and provides unparalleled aftermarket support throughout the life
of its equipment. With the completion of this
transaction, Bucyrus has extended the organization's geographic
footprint, diversified its product portfolio and positioned the
company as a more globally competitive organization. Bucyrus
doubles its addressable market from roughly US$15 billion to over
US$30 billion.
"This transaction is a natural extension of our current
operations; we're one company with a proud history powered by
hard-working, loyal employees who are passionate about mining,"
Sullivan said. "We've reinforced our long-held values of
safety, customer focus and reliability at work."
Bucyrus' portfolio now consists of walking draglines, electric
rope shovels, the world's largest hydraulic excavators,
off-the-highway haul trucks, highwall miners, underground longwall
systems, room and pillar mining systems and transport machinery and
a full line of drills and belt systems for all mining applications.
Bucyrus' unmatched suite of surface and underground mining
equipment is paired with its superior parts, consumable products
and aftermarket support throughout the world.
About Bucyrus International, Inc.
Bucyrus is a world leader in the design and manufacture of high
productivity mining equipment for the surface and underground
mining industries. Bucyrus' surface mining equipment is used
for mining coal, copper, iron ore, oil sands and other minerals.
Bucyrus' underground mining equipment is used primarily for mining
coal and also used in mining minerals such as potash and trona. In
addition to machine manufacturing, Bucyrus manufactures high
quality OE parts and provides world-class support services for
their machines. Bucyrus' corporate headquarters is located in
South Milwaukee, Wisconsin, USA.
Special Note Regarding Online Availability of Bucyrus
Releases and Filings
All Bucyrus financial news releases and SEC filings are posted
to Bucyrus' websites. Material and financial releases as well as
SEC filings are available at www.investors.bucyrus.com. Automatic
email alerts for these postings are available from this site.
Corporate and general releases as well as product information is
available at www.bucyrus.com.
Special Note Regarding Forward-Looking
Statements
This press release contains statements that constitute
"forward-looking statements" within the meaning of the Private
Securities Litigation Reform Act of 1995. These forward-looking
statements may be identified by the use of predictive, future tense
or forward-looking terminology, such as "believes," "anticipates,"
"expects," "estimates," "intends," "may," "will" or similar terms.
You are cautioned that any such forward-looking statements are not
guarantees of future performance and involve significant risks and
uncertainties, and that actual results may differ materially from
those contained in the forward-looking statements as a result of
various factors, some of which are unknown. Bucyrus' policy on
forward-looking statements, including a list of factors that could
cause actual results to differ materially from those anticipated in
forward-looking statements, as well as risk factors relating to
Bucyrus are included in Bucyrus' 2008 Form 10-K filed with the
Securities and Exchange Commission on March 2, 2009 and any other
cautionary statements described in other reports filed by Bucyrus
with the Securities and Exchange Commission. All forward-looking
statements attributable to Bucyrus are expressly qualified in their
entirety by the foregoing cautionary statements. Bucyrus undertakes
no obligation to publicly update or revise any forward-looking
statements, whether as a result of new information, future events
or otherwise.
CONTACT: Bucyrus International, Inc.
Shelley M. Hickman, Director Global Communications
414-768-4599
Fax: 414-768-5262
shickman@bucyrus.com
www.bucyrus.com
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