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  • 1. Morgan Stanley Global Industrials CEOs Unplugged Conference September 11, 2008
  • 2. Forward Looking Statements & Non-GAAP Measures The following presentation contains forward-looking information based on the current expectations of Terex Corporation. Because forward-looking statements involve risks and uncertainties, actual results could differ materially. Such risks and uncertainties, many of which are beyond the control of Terex, include among others: our business is highly cyclical and weak general economic conditions may affect the sales of its products and its financial results; our business is sensitive to fluctuations in interest rates and government spending; the ability to successfully integrate acquired businesses; the retention of key management personnel; our businesses are very competitive and may be affected by pricing, product initiatives and other actions taken by competitors; the effects of changes in laws and regulations; our business is international in nature and is subject to changes in exchange rates between currencies, as well as international politics; our continued access to capital and ability to obtain parts and components from suppliers on a timely basis at competitive prices; the financial condition of suppliers and customers, and their continued access to capital; our ability to timely manufacture and deliver products to customers; possible work stoppages and other labor matters; our debt outstanding and the need to comply with restrictive covenants contained in our debt agreements; our ability to maintain adequate disclosure controls and procedures, maintain adequate internal controls over financial reporting and file its periodic reports with the SEC on a timely basis; the previously announced investigations by the SEC and the Department of Justice; compliance with applicable environmental laws and regulations; product liability claims and other liabilities arising out of our business; and other factors, risks, uncertainties more specifically set forth in our public filings with the SEC. Actual events or the actual future results of Terex may differ materially from any forward looking statement due to those and other risks, uncertainties and significant factors. The forward-looking statements speak only as of the date of this presentation. Terex expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statement included in this presentation to reflect any changes in expectations with regard thereto or any changes in events, conditions, or circumstances on which any such statement is based. Non-GAAP Measures: Terex from time to time refers to various non-GAAP (generally accepted accounting principles) financial measures in this presentation. Terex believes that this information is useful to understanding its operating results and the ongoing performance of its underlying businesses without the impact of special items. See the Investors section of our website www.terex.com for a complete reconciliation. 2
  • 3. Who is Terex? Purpose To improve the lives of people around the world • Mission To delight construction, infrastructure, mining and • other customers with value-added offerings that exceed their needs To attract the best people by creating a culture that • is safe, exciting, creative, fun, and embraces continuous improvement Vision To be the most responsive company in the industry • as determined by the customer To be the most profitable company in the industry as • measured by Return on Invested Capital (ROIC) To be the best place to work in our industry as • determined by our team members 3
  • 4. Who is Terex? • Diversified Portfolio of Equipment Businesses • Positioned for Continuing Long - Term Trends • Leader In Our Categories and Our Industry • Leveraging the Power Of One Company AERIAL WORK MATERIALS PROC. CRANES PLATFORMS AND MINING ROADBUILDING AND CONSTRUCTION UTILITIES 4
  • 5. Why Invest? Diversified Portfolio of Equipment Businesses Percentage of Sales Generated By Each Terex Product Platform Roadbuilding Compact Utility Material Heavy (incl. Cement Construction Cranes Aerials Mining Equipment Processing Construction Mixers) Equipment Terex 26% 24% 13% 11% 11% 9% 3% 3% The Majors Caterpillar x x x x Komatsu x x x John Deere x x Hitachi x x x CNH Global x x The Industrial Conglomerates Volvo x x x Metso (Nordberg) x Sandvik x Liebherr x x x x Doosan (Bobcat) x x Sumitomo (Link Belt) x x The Niche Players Manitowoc x Oshkosh (JLG) x x JCB x Tadano x Astec x x Altec x Terex sales percentage is based on last twelve months of sales through June 30, 2008 Broadest portfolio in the industry 5
  • 6. Why Invest? Diversified Portfolio of Equipment Businesses Commodity Infrastructure Building and Operations/ Extraction Residential Construction Industrial Maintenance X Mining X X Matls. Proc. X X X X Construction X X X Roadbuilding X X Utilities X X X X Cranes X X X X AWP Exposure to Commodity, Construction, and Post - Construction Drivers 6
  • 7. Why Invest? Diversified Portfolio of Equipment Businesses 2007 SALES BY GEOGRAPHY 2007 SALES BY BUSINESS RBU 7% Developing AWP Markets 25% W. Europe 22% Construction 37% Japan / ANZ 21% 7% USA / Cranes MP&M Canada 24% 23% 34% $ 9.1 B $ 9.1 B $ 9.1 B $ 9.1 B Balanced by business; Balanced geographically 7
  • 8. Why Invest? Positioned for Continuing Long - Term Trends WORLD PRIMARY ENERGY DEMAND* • Beneficial to multiple Terex categories • Particularly positive for Cranes and Mining 8 * Source: International Energy Agency
  • 9. Why Invest? Positioned for Continuing Long - Term Trends EXPENDITURES BY TOP 40 MINING COMPANIES EXAMPLE: NON-FERROUS METALS EXPLORATION (1989 – 2007), $B* CAPEX ($B)** OPEX ($B)** 60 200 12 $176 $51 180 50 10 160 $141 $134 140 $125 $37 40 8 120 $95 $28 30 100 6 $75 80 20 4 60 40 10 2 20 0 0 0 '89 '90'91 '92'93 '94'95 '96'97 '98'99'00 '01'02 '03'04 '05'06 '07 '05 '06 '07 '02 '03 '04 '05 '06 '07 • Global consumption driving unprecedented levels of investment • Outlook for mining equipment remains positive and the corresponding industrial growth is a driver for other businesses 9 * Source: Metals Economics Group; **Source: PWC: “Mine: As Good as it Gets?”, 2008 – capex excludes acquisitions
  • 10. Why Invest? Positioned for Continuing Long - Term Trends GLOBAL RESIDENTIAL GLOBAL NON-RESIDENTIAL $T $T CONSTRUCTION (REAL 2007 $)* CONSTRUCTION (REAL 2007 $)* $7,000 $7,000 $6,000 $6,000 5.6 % CAGR $5,000 $5,000 4.4 % -0.8 % CAGR $4,000 $4,000 1.6 % CAGR 5.6 % CAGR CAGR $3,000 $3,000 1.3 % 5.1 % CAGR CAGR $2,000 $2,000 $1,000 $1,000 $0 $0 '90'91 '92'93 '94'95 '96'97 '98'99 '00'01 '02'03'04 '05'06 '07'08 '09'10 '11'12 '13'14 '15'16 '90'91 '92'93 '94'95 '96'97 '98'99 '00'01 '02'03'04 '05'06 '07'08 '09'10 '11'12 '13'14 '15'16 Infrastructure Industrial Other Non-residential Total Residential • Global construction strong, despite weakness in developed markets • Terex is increasingly well positioned to capitalize, with 22% of sales, over 4,000 team members, and more than 30 locations now in developing countries 10 * Source: Global Insights, July ‘07; 69 countries tracked by GI + 5% to account for rest of world … consistent with global GDP’s
  • 11. Why Invest? Leader in Our Categories and Our Industry Terex is one of the Largest Manufacturers of Construction Equipment in the World $30.4 Based on last twelve months of available Construction Equipment Sales ($’s in Billions) $19.0 $10.1 $9.1 $8.7 $8.1 $5.2 $5.1 $4.9 $4.5 $4.4 $3.7 Caterpillar (1) Hitachi (3) Volvo Liebherr (7) CNH Global (8) Sandvik (10) Deere (5) JCB (7) Doosan (6) (4) Oshkosh (9) Komatsu (2) Terex (6) Represents 2007 Construction equipment sales of $1.5 billion based on exchange (1) Represents total sales before Power Products, Financing and Insurance Services sales rate at December 31, 2007 of KRW/USD 936.07 plus estimated 2007 Bobcat sales of for the 9 months ended March 31, 2008 plus Building Construction Products, EAME $2.9 billion Operations, Heavy Construction & Mining and Infrastructure Development sales for the 3 (7) Estimated, as these are privately owned companies: months ended June 30, 2008. JCB: 2007 sales of GBP 2.25 billion converted at Dec 31, 2007 GBP/USD rate of (2) Represents Komatsu’s Construction and Mining Products segment as of March 31, 1.9870 2008. Liebherr: 2007 Cranes/Mining/Construction sales of EUR 5.5 billion converted at Dec Exchange rate of 99.691 as of Mar 31, 2008 31, 2007 EUR/USD rate of 1.4598 (3) Exchange rate used as of June 30, 2008 of USD/JPY 106.18 (8) Represents CNH Global’s Construction Equipment Segment as of June 30, 2008 (4) Represents Volvo’s Construction segment as of June 30, 2008. Rate of USD/SEK (9) Represents Access & Concrete Placement equipment sales for the 9 months ended 6.0241 June 30, 2008 plus Access & Commercial (both concrete & refuse trucks) for the 3 (5) Represents Deere’s Construction and Forestry segment as of April 30, 2008 months ended Sep 30, 2007. (10) Represents 2007 Mining & Construction sales converted at SEK/USD 6.46 11
  • 12. Why Invest? Leader in Our Categories and Our Industry Approximately 75% of 2007 sales were generated in markets where Terex has significant market presence AERIAL WORK MP&M CRANES PLATFORMS • Hydraulic Excavators (top 3) • All Terrain Cranes (top 2) • Articulated boom lifts (top 2) • Mining Trucks (#3) • Rough Terrain Cranes (top 3) • Telescopic boom lifts (top 2) • Surface Drills (# 3) • Tower Cranes (#3) • Scissor lifts (top 3) • Crushing & Screening (#1)** • Large Crawlers (#1) • NA Telehandlers (#2) • Highwall Miners (#1) • Port Cranes (top 2)* ROADBUILDING AND CONSTRUCTION UTILITIES • Compact Track Loaders (#1) • Front Discharge Mixers (#1) • Material Handlers (#2 or 3) • Insulated Aerials (#2) 12 * Including pro forma impact of Fantuzzi acquisition; ** Mobile Equipment
  • 13. Why Invest? Leader in Our Categories and Our Industry LTM After-Tax ROIC-Machinery Industry • In-line with larger, more vertically integrated competitors • Better than diversified LTM After-Tax ROIC-Diversified Industrials industrials with higher valuations ROIC is calculated by dividing the sum of the last four quarters’ net operating income after tax by the average of the sum of total stockholders’ equity plus debt less cash and cash equivalents for the last five quarters ended. DE and JOYG as of Apr 30, 2008 and the remainder are as of Jun 30, 13 2008; OSK includes $175.2 million goodwill impairment charge incurred during their Q3 2008; *Does not include finance arm of company
  • 14. Why Invest? Leveraging the Power of One Company • Our framework to build a stronger Terex • Process improvements will assure long term success 14
  • 15. Why Invest? Leveraging the Power of One Company Tom Riordan, Phil Widman President & Chief Senior Vice President & Operating Officer Chief Financial Officer Steve Filipov, Tim Ford, Bob Isaman, Rick Nichols, Eric Nielsen, George Ellis, President President President President President President Developing Markets Terex AWP Terex Construction Terex Cranes Terex MP&M Terex RBU 15
  • 16. Goals for 2010 GOAL June 30, 2008 LTM* What we must accomplish $12.0B in Sales $10.1B Implies 7.2% CAGR 12% Operating Margin 10.9% Execute on pricing process discipline, supply chain management, & TBS initiatives 15% Working Capital to Sales 22.1% Optimize supply chain planning and execution “12 by 12 in ’10” is our medium - term stretch goal * LTM = Last Twelve Months 16
  • 17. Summary Continue Building a Better Company • Improved capabilities • Diverse end market exposure • ROIC focused Positioned for the Attractive Growth Opportunities • Right sectors and segments • Right geographies • Delivering unique value to customers • Targeted acquisitions Execute, Execute, Execute • Do what we say • Overcome challenges that are often hard to predict 17