Terex Financial Statement and Bank Waiver Update

October 19, 2005 — Terex Corporation, Westport, Conn., recently announced it has obtained a waiver from its senior bank lending group that allows the company until Feb. 15, 2006 to provide its lenders with its financial information for the year ended December 31, 2004, as well as the quarters ended March 31, June 30, and September 30, 2005.

 

In addition, the waiver and amendment allows Terex the flexibility to expend up to an additional $235,000,000 to repurchase, redeem, prepay or otherwise acquire for value indebtedness incurred by Terex other than through the facility. This is in addition to other existing provisions in the facility that allow Terex to repurchase or otherwise acquire indebtedness outside of the facility, including a provision allowing the company to repurchase up to $200,000,000 of its 10 3/8% senior subordinated notes on or after April 1, 2006. This additional amount will be available if, at such time, and after giving effect to such payment and to certain other payments, Terex satisfies certain conditions including a leverage ratio test.