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SUPPLIERS REPORT Volvo CE to Take on Terex's Rigid and Articulated Hauler Lines on the relevant machines for a transitional period. The transaction is expected to be finalized during the second quarter of 2014. Schramm Buys Australian Drill Firms Volvo CE's $160 million purchase of Terex Equipment Ltd.'s hauler product line will give the Swedish truck builder five models of rigid haulers and three additional articulated hauler models. Volvo Construction Equipment (Volvo CE) announced an agreement with Terex Corp. to acquire the hauler manufacturer Terex Equipment Ltd., including related assets and intellectual property. The deal, which is subject to regulatory approval, includes the main production facility in Motherwell, Scotland, and two product ranges that offer both rigid and articulated haulers. It also includes the distribution of haulers in the U.S., as well as a 25.2% holding in Inner Mongolia North Hauler Joint Stock Co. (NHL), which manufactures and sells rigid haulers under the Terex brand in China. Volvo CE's president, Pat Olney, said, "This is a strategic acquisition that offers Volvo CE considerable scope for growth. The addition of a well-respected range of rigid haulers extends the earthmoving options for customers involved in light mining applications." In 2012, the businesses in the acquisition (excluding NHL) had net sales of approximately $370 million (SEK 2.5 billion) and an operating income of approximately $33 million (SEK 220 M). In the first nine months of 2013, net sales amounted to approximately $172 66 E&MJ; • JANUARY 2014 M (SEK 1.1 billion) and operating income was approximately $5.5 million. The purchase consideration amounts to about $160 million on a cash and debt free basis. The acquisition will increase the Volvo Group Industrial Operation's net financial debt by SEK 1 billion. The acquisition includes five models of rigid haulers, with payloads ranging from 32 to 91 tons. Volvo CE said introduction of rigid haulers will extend its position in light mining; an industry area that is complementary to general construction, oil and gas, aggregates and quarrying, and road building—segments that Volvo CE is already active in. The deal also sees a further three models of articulated hauler added to the Volvo portfolio, with payloads ranging from 25 to 38 tons. These machines support Volvo CE's established position in the articulated hauler segment, offer an extensive field population and opportunities for considerable growth in emerging economies. If approved, the acquisition adds some 500 employees to Volvo CE's existing workforce. It also allows for the continued use of the Terex brand name Drill rig builder Schramm announced in late November that, in association with private equity firm GenNx360 Capital Partners, it has acquired Air Drill Hammers and Bits Pty Ltd., in addition to Air Drill Pty Ltd., based in Perth, Australia. Air Drill Hammers and Bits is a manufacturer of drill hammers and percussion bits used in reverse circulation mineral exploration and mining applications. Air Drill Pty Ltd. has been Schramm's exclusive distributor for hydraulic top drive drill rigs in Australia since the 1990s, providing rigs used in mineral exploration, coal seam gas and water well drilling, and custom configuring Schramm's rigs to local drilling contractor requirements and compliance with Australian government standards. Offering rigs with top head drives and hook loads to 500,000 lb (226,796 kg), Schramm's machines are used in the energy, mineral exploration, geothermal and water well sectors in more than 80 countries. According to the company, more than 75% of its revenues are derived from export sales and field service support. GenNx360 Capital Partners is a private equity firm headquartered in New York City. GE Expands Presence in Latin American Power Electronics Sector GE's Power Conversion business announced in early November it had finalized the acquisition of the Chilean power electronics company Ingeniería y Desarrollo Tecnológico S.A. (IDT). This move, said the company, actively positions it to build a stronger regional presence and capture a greater share of the mining segment. IDT designs, develops and manufactures integrated solutions in the field of power electronics with its key innovations targeting the mining industry in Chile and Peru. With this acquisition, GE will build www.e-mj.com