The Manitowoc Company and Kobelco Construction Machinery End OEM Supply Agreement

05/31/18

MILWAUKEE--(BUSINESS WIRE)-- The Manitowoc Company, Inc. (NYSE: MTW), a leading global manufacturer of cranes and lifting solutions, and Kobelco Construction Machinery Co., Ltd. of Tokyo, Japan, one of Japan’s largest manufacturers of construction equipment, will not renew their OEM supply agreement, under which Kobelco supplies Manitowoc-branded lattice-boom crawler crane models with lift capacities under 150 tons to the worldwide Manitowoc distribution network, and Manitowoc supplies Kobelco-branded all-terrain crane models for marketing in Japan. The global alliance began in November 2003 and will end on November 9, 2018. Kobelco will continue to support Manitowoc and its customers, and Manitowoc will continue to support Kobelco and its customers, with service parts for a period of ten (10) years.

Barry Pennypacker, President and CEO of The Manitowoc Company, said, “As a world leader in lattice-boom crawler cranes, Manitowoc provided our customers with a comprehensive line through our alliance with Kobelco. The company has been an excellent partner, providing our customers with a high standard of product quality and reliability. After nearly 15 years, we have agreed to pursue separate ways developing our own products in the smaller capacity cranes to serve our respective customers. With the implementation of The Manitowoc Way, we will continue to deliver new and innovative quality products, on time, ensuring that our customers continue to have the right product offerings,” Pennypacker added.

Kazuhide Naraki, President and CEO of Kobelco Construction Machinery, said, “Manitowoc has an outstanding reputation around the world and offered a strong distribution network in regions it serves globally. I can say our partnership was very successful between two highly respected industry players joining forces.”

“I feel strongly that both companies share the same approach – focusing on customers with care and bringing to market reliable products which have a high standard of quality and safety. We look forward to a new chapter in growing our businesses,” Naraki added.

About The Manitowoc Company, Inc.

Founded in 1902, The Manitowoc Company, Inc. is a leading global manufacturer of cranes and lifting solutions with manufacturing, distribution, and service facilities in 20 countries. Manitowoc is recognized as one of the premier innovators and providers of crawler cranes, tower cranes, and mobile cranes for the heavy construction industry, which are complemented by a slate of industry-leading aftermarket product support services. In 2017, Manitowoc’s net sales totaled $1.6 billion, with over half generated outside the United States.

About Kobelco Construction Machinery Co.

Kobelco Construction Machinery Co. is one of Japan’s largest manufacturers of construction equipment. The company started in 1930 as a division of Kobe Steel and produced the first ever piece of construction machinery built in Japan, an electric mining shovel. Today it manufactures a wide range of construction machinery, which is sold worldwide, including a range of crawler cranes from 39 U.S. tons to 1,375 U.S. tons capacity and a line of rough-terrain mobile cranes. In 1999 the company was separated from the main Kobe Steel group and today it operates as an independent subsidiary, although Kobe Steel remains the majority shareholder.

Source: The Manitowoc Company, Inc.

The Manitowoc Company, Inc.

Ion Warner

VP, Marketing and Investor Relations

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