12.11.2009

Terex to fix not sell its construction business

Terex says it will now focus on fixing its construction equipment division rather than selling it. The comment was made by chief executive Ron Defeo, who said that the unit was the company’s “biggest drain and it is going to be difficult in 2010 to get the construction business to break even."

DeFeo added that it had found little serious interest from anyone to buy the parts of the business that it was hoping to sell. "There are no real strategic alternatives at this moment, so our priority is to fix it ourselves."

It seems that the area with the greatest challenge is the German hydraulic excavator business, while other parts of the division, particularly compact equipment, will start to recover slowly next year.