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Terex Cranes Steve Filipov, President Developing Markets and Strategic Accounts

Terex Cranes Steve Filipov, President Developing Markets and Strategic Accounts. Recent Management Changes.

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Terex Cranes Steve Filipov, President Developing Markets and Strategic Accounts

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  1. Terex Cranes Steve Filipov, President Developing Markets and Strategic Accounts

  2. Recent Management Changes Steve Filipov, who has been President, Terex Cranes, has been named to the new position of President, Developing Markets and Strategic Accounts, reporting to Terex President and Chief Operating Officer Tom Riordan. Mr. Filipov has led the Terex Cranes team that has dramatically increased business and profitability in the last three years. Much of this growth has come from developing markets. Rick Nichols has been named President, Terex Cranes. He has been serving as President, Terex Materials Processing & Mining (MP&M). He also reports to Mr. Riordan. Mr. Nichols has been successful in leading the advancement of lean manufacturing capabilities to improve margins and capacity, overseeing acquisitions, and changing the business strategy for the Terex mining truck business.

  3. Terex Cranes Snapshot Mobile Cranes Crawler Cranes Tower Cranes Container Stacker • Types: • Luffing Jib • Flat Top • Hammerhead • Self-Erecting • Produced in: • Fontanafredda, Italy • Wilmington, NC • Milan, Italy • Capacity: • From 55 to 1,750 tons • Produced in: • Wilmington, NC • Zweibrucken, Germany • From 45t in first row to 37t • in third row in pile-up capacity • Produced in: • Montceau Les Mines, France Types: AC, BT, TC, P&C, RT Produced in: Germany NA, France, Italy, Australia, China 60% of Sales 20% of Sales 16% of Sales 4% of Sales

  4. Terex Cranes Snapshot

  5. Terex Cranes FRANCE GERMANY Waverly, IA ITALY CHINA Wilmington, NC AUSTRALIA

  6. Multi-year Crane Demand Cycle Higher standards of living…increased commercial activity…global competition… demand for energy and materials…demand for capital assets and infrastructure Construction / Industrial Projects Energy Projects • Commercial and residential buildings • Industrial facilities • Commercial distribution networks • Ship Building • Airports • Exploration and production for conventional energy sources • Refinery construction • Pipeline construction • Alternative Energy (e.g., wind power) installation • Nuclear Energy ‘revival’ A a Infrastructure Projects • Roads and bridges • Power generation and distribution • Telecom networks • Water/sewer systems • Transportation systems

  7. Business Situation Highlights Our products are in strong demand throughout the world as the world economy surges primarily driven by Infrastructure Development & Power Generation Significant Growth in: Middle East, India, China, & Eastern Europe In all Crane product groups, there is significant demand for products with more and more lifting capacity Chinese products are becoming well established in some markets and are aggressively entering new markets We have to be local while taking advantage of our global presence

  8. Dubai: World’s Fastest Growing City A a

  9. Dubai: Today A A

  10. Shanghai: In only 24 Months…

  11. Shenzhan, China: 25 Years …and Today A a

  12. Reforma Boulevard, Mexico City A a

  13. 2007 Highlights Customer Focused Open Houses (2,100 Customers visited our sites) Customer service focus Building upon foundations: Leadership Lean principles Establishing a Critical mass to get the change process moving (412 New TMs in 2007) Creating a span of support versus a span of control Established Strategy Leadership by major Product Group Delivered 10 New Products to market – including the CC8800 TWIN

  14. New Product Launch Terex Demag CC8800-Twin Boom crane is the largest crane in the world

  15. 2008 - 2010 Key Strategies Improve our Customer Service capabilities and response Grow our Production, Sales, & Service Organizations in Key Developing Markets while protecting ourselves for an eventual downturn Improve our Supply Chain capabilities through development and/or reselection Establish a ‘Customer IN’ gated design process Improve our team member’s experience through improved Safety and Career Development

  16. Key Message Strong end markets…globally We are a leading full-line manufacturer of cranes We are successfully improving our ability to increase factory throughput Lean manufacturing Improving supplier dynamics Anticipate continued strength in demand for next several years • Overall strategic objective: “create a global, market-leading enterprise that delivers superior returns during all phases of the business cycle”

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