Konecranes redefines its 2015 financial guidance due to transaction costs related to the Terex merger

The respective Boards of Directors of Konecranes Plc (“Konecranes”) and Terex Corporation (“Terex”) approved on August 10, 2015, a definitive agreement to combine their businesses in a merger of equals. According to IFRS3, transaction costs are expensed as they are incurred and related services are received. As is customary in a merger of this size, Konecranes expects the transaction costs related to the Terex merger to have a material impact on its operating profit in 2015. So far, Konecranes has incurred transaction costs of approximately EUR 6 million related to the Terex merger and will incur more costs throughout the merger process. Therefore, Konecranes redefines its financial guidance for 2015.

New financial guidance:

“Based on the order book, service contract base, and the near-term demand outlook, the year 2015 sales are expected to be higher than in 2014. We expect the 2015 operating profit, excluding restructuring costs and transaction costs related to the Terex merger, to improve from 2014.”

Previous financial guidance:

“Based on the order book, service contract base, and the near-term demand outlook, the year 2015 sales are expected to be higher than in 2014. We expect the 2015 operating profit, excluding restructuring costs, to improve from 2014.”