BUSINESS SEGMENT INFORMATION

12 Months Ended

Dec. 31, 2020

Terex is a global manufacturer of aerial work platforms and materials processing machinery. The Company designs, builds and supports products used in construction, maintenance, manufacturing, energy, minerals and materials management applications. Terex’s products are manufactured in North and South America, Europe, Australia and Asia and sold worldwide. The Company engages with customers through all stages of the product life cycle, from initial specification and financing to parts and service support.

The Company identifies its operating segments according to how business activities are managed and evaluated, and has identified three operating segments: Aerials, Utilities and MP. As Aerials and Utilities operating segments share similar economic characteristics, these operating segments are aggregated into one operating segment, AWP. The Company operates in two reportable segments: (i) AWP and (ii) MP.

AWP designs, manufactures, services and markets aerial work platform equipment, utility equipment and telehandlers as well as their related components and replacement parts. Customers use these products to construct and maintain industrial, commercial, institutional and residential buildings and facilities, for construction and maintenance of utility and telecommunication lines, tree trimming, certain construction and foundation drilling applications, and for other commercial operations, as well as in a wide range of infrastructure projects.

MP designs, manufactures, services and markets materials processing and specialty equipment, including crushers, washing systems, screens, apron feeders, material handlers, pick and carry cranes, rough terrain cranes, tower cranes, wood processing, biomass and recycling equipment, concrete mixer trucks and concrete pavers, conveyors, and their related components and replacement parts. Customers use these products in construction, infrastructure and recycling projects, in various quarrying and mining applications, as well as in landscaping and biomass production industries, material handling applications, maintenance applications to lift equipment or material, moving materials and equipment on rugged or uneven terrain, lifting construction material and placing material at point of use. The Company’s rough terrain and tower cranes operations were consolidated within MP for financial reporting periods beginning on or after January 1, 2020, to align with its new management and reporting structure.

The Company assists customers in their rental, leasing and acquisition of its products through Terex Financial Services (“TFS”). TFS uses its equipment financing experience to facilitate financial products and services to assist in the acquisition of the Company’s equipment. TFS is included in Corporate and Other.

Corporate and Other also includes eliminations among the two reportable segments, as well as general and corporate items.

None of the Company’s customers individually accounted for more than 10% of consolidated net sales in 2020, 2019 or 2018.

Business segment information is presented below (in millions):


	Year Ended December 31,
	2020		2019		2018
Net sales
AWP	$	1,782.9	$	2,726.6	$	2,950.4


MP	1,256.8		1,602.6		1,576.8

Corporate and Other / Eliminations	36.7		23.9		(10.0)
Total	$	3,076.4	$	4,353.1	$	4,517.2
Income (loss) from operations
AWP	$	0.5	$	196.2	$	300.5


MP	143.4		227.9		211.1

Corporate and Other / Eliminations	(75.5)		(89.1)		(99.1)
Total	$	68.4	$	335.0	$	412.5
Depreciation and amortization
AWP	$	23.2	$	23.0	$	20.9


MP	11.4		9.1		9.0

Corporate	15.1		14.3		15.4
Total	$	49.7	$	46.4	$	45.3
Capital expenditures
AWP	$	47.4	$	82.1	$	49.7


MP	11.6		12.9		33.8

Corporate	5.5		10.5		7.5
Total	$	64.5	$	105.5	$	91.0

Sales between segments are generally priced to recover costs plus a reasonable markup for profit, which is eliminated in consolidation.


	December 31,
	2020		2019
Identifiable assets
AWP(1)	$	1,541.0	$	1,814.4


MP(2)	1,596.3		1,750.9

Corporate and Other / Eliminations (3)	(111.8)		(379.5)
Assets held for sale	6.3		9.8
Total	$	3,031.8	$	3,195.6

(1) Decrease primarily due to lower inventory balances and elimination of intercompany investment.

(2) Decrease primarily due to settlement of certain intercompany balances.

(3) Change primarily due to lower intercompany eliminations.

Long-lived assets consist of net fixed assets, which can be attributed to the specific geographic regions.


	December 31,
	2020		2019
Long-lived Assets
United States	$	237.4	$	246.8
United Kingdom	74.5		69.0
Germany	12.7		11.0
Other European countries	23.5		21.6
All other	58.5		41.0
Total	$	406.6	$	389.4

Geographic net sales information is presented below (in millions):


	Year Ended December 31, 2020
	AWP		MP		Corporate and Other / Eliminations		Total
Net sales by region
North America	$	1,185.2	$	497.7	$	62.5	$	1,745.4
Western Europe	230.7		379.0		0.3		610.0
Asia-Pacific	271.6		256.0		2.6		530.2
Rest of World (1)	95.4		124.1		(28.7)		190.8
Total (2)	$	1,782.9	$	1,256.8	$	36.7	$	3,076.4

(1) Includes intercompany sales and eliminations.

(2) Total sales include $1.6 billion attributable to the U.S., the Company’s country of domicile.


	Year Ended December 31, 2019
	AWP		MP		Corporate and Other / Eliminations		Total
Net sales by region
North America	$	1,801.8	$	605.6	$	76.5	$	2,483.9
Western Europe	431.1		514.2		0.6		945.9
Asia-Pacific	325.1		301.4		2.1		628.6
Rest of World (1)	168.6		181.4		(55.3)		294.7
Total (2)	$	2,726.6	$	1,602.6	$	23.9	$	4,353.1

(1) Includes intercompany sales and eliminations.

(2) Total sales include $2.3 billion attributable to the U.S., the Company’s country of domicile.


	Year Ended December 31, 2018
	AWP		MP		Corporate and Other / Eliminations		Total
Net sales by region
North America	$	1,985.2	$	580.4	$	73.9	$	2,639.5
Western Europe	530.5		456.7		0.7		987.9
Asia-Pacific	274.8		298.9		1.5		575.2
Rest of World (1)	159.9		240.8		(86.1)		314.6
Total (2)	$	2,950.4	$	1,576.8	$	(10.0)	$	4,517.2

(1) Includes intercompany sales and eliminations.

(2) Total sales include $2.4 billion attributable to the U.S., the Company’s country of domicile.

The Company attributes sales to unaffiliated customers in different geographical areas based on the location of the customer.

Product type net sales information is presented below (in millions):


	Year Ended December 31, 2020
	AWP		MP		Corporate and Other / Eliminations		Total
Net sales by product type
Aerial Work Platforms	$	1,234.8	$	—	$	0.9	$	1,235.7

Materials Processing Equipment	—		760.5		—		760.5
Specialty Equipment	—		493.6		1.4		495.0

Other (1)	548.1		2.7		34.4		585.2
Total	$	1,782.9	$	1,256.8	$	36.7	$	3,076.4

(1) Includes other product types, intercompany sales and eliminations.


	Year Ended December 31, 2019
	AWP		MP		Corporate and Other / Eliminations		Total
Net sales by product type
Aerial Work Platforms	$	1,912.1	$	—	$	2.8	$	1,914.9

Materials Processing Equipment	—		895.4		—		895.4
Specialty Equipment	—		699.9		5.3		705.2

Other (1)	814.5		7.3		15.8		837.6

Total	$	2,726.6	$	1,602.6	$	23.9	$	4,353.1

(1) Includes other product types, intercompany sales and eliminations.


	Year Ended December 31, 2018
	AWP		MP		Corporate and Other / Eliminations		Total
Net sales by product type
Aerial Work Platforms	$	2,128.6	$	—	$	3.5	$	2,132.1

Materials Processing Equipment	—		877.0		—		877.0
Specialty Equipment	—		661.8		5.6		667.4

Other (1)	821.8		38.0		(19.1)		840.7

Total	$	2,950.4	$	1,576.8	$	(10.0)	$	4,517.2

(1) Includes other product types, intercompany sales and eliminations.