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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of report (Date of earliest event reported) June 15, 1999
TEREX CORPORATION
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(Exact Name of Registrant as Specified in Charter)
Delaware 1-10702 34-1531521
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(State or Other Jurisdiction (Commission (IRS Employer
of Incorporation) File Number) Identification No.)
500 Post Road East, Suite 320, Westport, Connecticut 06880
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(Address of Principal Executive Offices) (Zip Code)
Registrant's telephone number, including area code (203) 222-7170
NOT APPLICABLE
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(Former Name or Former Address, if Changed Since Last Report)
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Item 5. Other Events.
On June 15, 1999, Terex Corporation ("Terex") announced that it had agreed
with the board of directors of Powerscreen International plc ("Powerscreen") on
terms of an offer to Powerscreen's shareholders to acquire all of the issued and
to be issued ordinary share capital of Powerscreen for consideration of 195.0
pence per share (approximately $3.17 per share), valuing the entire issued share
capital of Powerscreen at 181 million GBP (approximately $294 million). The
acquisition of Powerscreen will be fully financed by new banking facilities.
Powerscreen, headquartered in Dungannon, North Ireland, is a leader in the
manufacturing and marketing of screening and crushing equipment for the
quarrying, construction and demolition industries. The transaction remains
subject to normal regulatory approvals and closing conditions and, assuming a
tender of a sufficient number of shares of Powerscreen, is expected to be
completed in the third quarter of 1999.
Powerscreen is primarily a manufacturer of screening and crushing equipment
in the United Kingdom, the Irish Republic and the United States. It manufactures
and markets mobile and static screening equipment used for sorting and grading
sand and gravel in quarries and waste materials on landfill sites. Crushing
equipment is used for processing rock into sand and gravel and construction
waste into re-useable materials.
For the fiscal year ended March 31, 1999, Powerscreen reported from
continuing operations, under U.K. GAAP, turnover (or sales) of approximately
225.1 million GBP (approximately $372.2 million), operating profit of
approximately 25.2 million GBP (approximately $41.7 million), net debt of
approximately 4.5 million GBP (approximately $7.3 million) and equity
shareholders' funds of approximately 58.5 million GBP (approximately $94.3
million). Powerscreen's screening and crushing equipment represented
approximately 60% of its 1999 sales. The remaining approximately 40% of sales
were generated by the sale of truck-mounted material handlers, dumper trucks,
mixers and compaction equipment. For the fiscal year ended March 31, 1999,
Powerscreen had an operating margin of approximately 11%. Terex expects
substantial cost savings from the integration of the two companies.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
Date: June 17, 1999
TEREX CORPORATION
By: /s/ Eric I Cohen
Eric I Cohen
Senior Vice President
