Terex AWP sells genset range to Cummins

26 January 2010

Terex's Aerial Work Platforms division has sold off two of its non-AWP product lines: its generator line has been bought by Cummins Power Generation and the Terex power buggy range has been sold to Indy Equipment, an equipment dealer in Independence, Ohio. In both cases the sale price was undisclosed.

The Terex generators in the 30 to 360 kVA sizes - which had been available primarily in North America under the Terex brand - were already being supplied to Cummins under a private labeling agreement.

Brad Allen, Terex AWP's global general manager of scissors, Portables and light towers, said; "At this point in time, it makes sense for Terex AWP to focus on our core products, such as Genie aerial lifts, telehandlers and light towers. The Terex line of generators offers Cummins an opportunity to vertically integrate and manufacture the same high-quality generators Terex has been private labeling for them during the past several years."

Mr Allen said Terex had made the decision to close the power buggy line in September 2009 "as a part of a larger strategy to focus on our core aerial competences". The power buggy line consisted of two models, a 5.3 m (16 ft) and 7 m (21 ft) unit.

Warranty support for Cummins-branded units will begin immediately and warranty support for Terex branded gensets will continue through 2010. Terex AWP will provide parts support for 180 days from the date of sale, then Cummins will assume parts support ownership.

Parts and warranty support for all power buggy products will be with Indy Equipment effective from 15 February, 2010, Terex AWP said.

The decision to sell the two non-core products comes after Terex's announcement in December that it was selling its mining division to Bucyrus and that it would be using the proceeds of the sale to reduce debt and provide funds for acquisitions of niche manufacturers.

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