"Our move into eastern Europe is another example of our commitment to bringing design and manufacturing closer to the end customer," said Glen E. Tellock, Manitowoc's president and chief executive officer. "Slovakia is an excellent addition to our global footprint, as it reduces shipping costs and delivery schedules to the fast-growing Eastern European and Russian construction markets. Our selection of an existing industrial facility in Saris will also reduce development costs and enable us to begin production on a faster timetable than a greenfield project would allow. In addition, we will have access to local component suppliers and skilled manufacturing labor at rates that are cost competitive with other European markets."
The company expects to begin production from the Saris facility in late 2007. Financial terms of the transaction were not disclosed, but Manitowoc is revising its 2007 capital expenditures guidance from $70 million to $85 million for the full year as a result of this acquisition and other capacity initiatives in its Crane Group.
About The Manitowoc Company
The Manitowoc Company, Inc. is one of the world's largest providers of lifting equipment for the global construction industry, including lattice-boom cranes, tower cranes, mobile telescopic cranes, and boom trucks. As a leading manufacturer of ice-cube machines, ice/beverage dispensers, and commercial refrigeration equipment, the company offers the broadest line of cold-focused equipment in the foodservice industry. In addition, the company is a leading provider of shipbuilding, ship repair, and conversion services for government, military, and commercial customers throughout the U.S. maritime industry.
Any statements contained herein that are not historical facts are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, and involve risks and uncertainties. Potential factors could cause actual results to differ materially from those expressed or implied by such statements. These statements and potential factors include, but are not limited to, those relating to:
-- anticipated changes in revenue, margins, costs, and capital expenditures, -- anticipated growth in the eastern Europe and Russian construction markets, -- new facilities and expansion of existing facilities, -- anticipated timing of production start up, -- availability of local suppliers and skilled labor, -- anticipated costs for components and anticipated labor rates, -- efficiencies and capacity utilization at our facilities, -- foreign currency fluctuations, -- the risks associated with growth, -- geographic factors and political and economic risks, -- actions of company competitors, -- changes in economic or industry conditions generally or in the markets served by our companies, and -- the ability to complete and appropriately integrate restructurings, consolidations, acquisitions, divestitures, strategic alliances, and joint ventures.
Information on the potential factors that could affect the company's actual results of operations is included in its filings with the Securities and Exchange Commission, including but not limited to its Annual Report on Form 10-K for the fiscal year ended December 31, 2006 and the Quarterly Report on Form 10-Q for the quarterly period ended March 31, 2007.