Materials Processing & MiningRick Nichols, President Terex Cranes

Recent Management Changes

Rick Nichols has been named President, Terex Cranes. He has been serving as President, Terex Materials Processing & Mining (MP&M). He also reports to Mr. Riordan. Mr. Nichols has been successful in leading the advancement of lean manufacturing capabilities to improve margins and capacity, overseeing acquisitions, and changing the business strategy for the Terex mining truck business.

Terex Materials Processing & Mining

Crushing & Screening

Mining Shovels Crushing Plants

Mining Drills

AC Drive Trucks

MINING PRODUCTS MATERIALS PROCESSING

Highwall Miners

2007E Sales by Region

ROW13%

Australia20%

Asia13%

USA24%

Europe24%

Africa6%

USA

Europe

Africa

Asia

Australia

ROW

MP&M Snapshot

Financial Performance

$951

$1,360

$1,625

$1,877

$0

$500

$1,000

$1,500

$2,000

2004 2005 2006 LTM 9/07

$ Revenue

0%

2%

4%

6%

8%

10%

12%

14%

OP Margin

Terex Materials Processing & Mining

5

Fort McMurray

Alberta

Fort McMurray

Alberta

UK & IrelandUK & Ireland

SantiagoCHILE

SantiagoCHILE

PerthAUSTRALIA

PerthAUSTRALIA

JakartaIndonesiaJakarta

Indonesia

BeijingCHINA

BeijingCHINA

DortmundGERMANYDortmundGERMANY

Gillette, WY

Gillette, WY

MackayAUSTRALIA

MackayAUSTRALIA

Tulsa, OKTulsa, OKSherman,

TXSherman,

TX

Gillette, USA

Cedarapids, IACedarapids, IA

Vancouver, WAVancouver, WA

Louisville, KY

Louisville, KY

Beckley, WV

Beckley, WV

• A Global business today with significant growth opportunities in emerging markets – BRIC & EMEA

• Industry leader in mobile crushing & screening & hydraulic mining excavators

• Materials Processing uses a dual distribution & branding strategy

• Mining sales & service network developing a balance between company owned branches and independent dealers

• Opportunity to expand product range

Business Overview

• Mining and Crushing & Screening markets will remain strong for the next 3-5 years

• Commodity prices remain at historically high levels

• Infrastructure investment in emerging markets and in developed markets drives a continuing demand for our products

• Commodity prices continue to be strong with periodic corrections

• Coal, Iron Ore and Copper will lead industry investment

• Emerging markets GDP growth supports mineral demand and infrastructure spending

• General feeling of uneasiness with credit market and potential spill over into other countries

• US market demand for crushed rock and recycling will continue to decline related to residential construction spending

• Eastern Europe, Russia and India gaining economic momentum in construction & infrastructure

• Total market will grow offsetting decline in US domestic market

2008 Market Conditions

GOLD World Production

2450

2500

2550

2600

2650

2700

2750

2000 2001 2002 2003 2004 2005 2006

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$ / o

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Average Annual Price

IRON ORE World Production

0

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NICKEL World Production

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Average Annual Price

COPPER World Production

12000

12500

13000

13500

14000

14500

15000

15500

2000 2001 2002 2003 2004 2005 2006

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COAL World Production

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Annual Average Prices

Norwest Europe

US Central Appalachian Coal

Japan Coking Coal Import

Favorable Commodity Trends are Expected to Continue

0

2

4

6

8

10

USA Japan Europe Australia China India Brazil Russia

% GDP Growth

2001-2005 2006-2010

Business Fundamentals – Commodity Price and Production

Customer and Channel

• Mining customers reporting solid profits and free cash flow (usage = debt, exploration, shares, dividends, M&A)

• Mining customers feeling increased cost pressure; will effect pricing and buying decisions

• Fuel price and tire availability are effecting buying decisions and strategic thinking

• C&S customers increasing expectations on manufacturers through guarantees, financing and rental options

• Will continue trend in movement to mobile C&S from static applications

• Global skilled labor shortage continues to effect industry

• MP&M undertook more than 165 separate Kaizen events encompassing over 1,420 team members during 2007

• Savings of over $8 million were realized from productivity improvements, reduction of rework and reduction of outsourcing due to additional space that was more efficiently utilized due to lean and other cost reduction initiatives

• Production space utilized decreased by over 10,000 sq ft allowing for capacity expansion with no facility costs

• Truck production was increased from 4/month to 16/month with less floor space

Impact of Lean Initiatives

MP&M is in the early stages of implementing Lean

Lean is the core foundation to achieve improved operating results

Pegson / Powerscreen

• XA750 Jaw Crusher

• XC950 Cone Crusher

• XH250 & 500 SR Impactor

• Horizon 5163

• Chieftain 1700Chieftain 1700

XH250 Impactor New VSI Impactor

New Product Introductions – Pegson / Powerscreen

Payload: 363 MT (400 ton)

GVW: 600,000 kg (1,320,000 lb)

Max Speed: 64 km/hr (40 mph)

Horsepower: 2797 kW (3750 HP)

Retarding: 4476 kW (6000 HP)

Dynamic retarding to full stop

Controls: IGBT

New Product Introductions – MT6300AC

New Product Introductions – RH170 Electric Drive

• A large number of electric rope shovels are to be replaced, especially in CIS countries

• Infrastructure for electric drive is available

• Reasonable demand in 350 t class

•Market still shows signs of growth or opportunities

• Stay vigilant to key indicators and what customers are saying

•Customers are making money

• Achieving pricing and collecting cash will be key to success

•Business has significant opportunities to grow and develop • Internal improvement and new products• Geographic expansion

• Customer and channel development

•Lots of work ahead of us to continue to build

• The best place to work

• Superb operating company

• Customer centric organization

Summary Thoughts