CNH Completes Divestiture of Fermec Construction Equipment Business
3 January 2001
CNH Completes Divestiture of Fermec Construction Equipment Business
RACINE, Wis.--Jan. 3, 2001--CNH Global (N:CNH) announced today that it has completed the divestiture of its Fermec Holdings Limited construction equipment business to Terex Corporation. Terms were not disclosed. The sale of Fermec was among the conditions under which the European Commission approved the merger of Case Corporation and New Holland.Terex acquired the Manchester, England, plant, and the Fermec loader/backhoe and industrial tractor product lines. Fermec products will continue to be marketed through existing Fermec dealer and distributor outlets in Europe, North America, Latin America and Australia, as well as Africa and the Middle East.
CNH retained its manufacturing and marketing rights for mini-excavators that were licensed to the company by Kobelco and formerly made at the Manchester plant. CNH announced earlier this year that it was moving production of these mini-excavators to one of its facilities in Europe. In addition, CNH has negotiated a non-exclusive supply agreement with Terex for four-wheel-steer loader backhoes that will be sold as part of the Case line of construction equipment.
With strong global brands, CNH is a leader in the agricultural equipment, construction equipment and financial services industries and had combined 1999 revenues of approximately $11 billion. CNH sells its products in 160 markets through a network of more than 10,000 dealers and distributors. CNH products are sold under the following brands: Case, Case IH, Fiatallis, Fiat-Hitachi, Link-Belt (earth-moving equipment), New Holland, New Holland Construction, O&K and Steyr.