PEORIA, Illinois, and WESTPORT, Connecticut CATERPILLAR and TEREX CORP. have begun negotiations to realign Cat's mining shovel business and Terex's mining truck business.
Caterpillar will acquire Terex's eight-model line of DC and AC electric-drive mining trucks. The trucks will continue to be sold under the familiar Payhauler and Unit Rig brand names, and will be distributed and supported through Caterpillar dealers worldwide.
Terex will purchase the intellectual property, including patents and designs, for Cat's 5110B, 5130B and 5230B model hydraulic excavator mining shovels. Under a marketing agreement, Terex will continue to manufacture its O&K line of seven hydraulic mining shovel models for distribution and service through the Caterpillar dealer network. Caterpillar dealers also will assume responsibility for supporting the existing population of O&K shovels.
In separate transactions, certain Caterpillar dealers will purchase Terex's wholly-owned product support businesses relating to Payhauler and Unit Rig mining trucks and O&K mining shovels.
The completion of these transactions is subject to a number of contingencies, including satisfactory due diligence, regulatory review and the execution of a definitive agreement. Financial terms will not be disclosed pending such execution. Check both www.terex.com and www.cat.com for the latest developments.