Terex Increases First Quarter Estimate and Full Year 2006 Guidance

Terex Corporation (NYSE: TEX) today announced that itexpects first quarter 2006 earnings, excluding special items, to be inexcess of its previously indicated guidance, and to now be in therange of $1.55-$1.60 per share, assuming an effective tax rate of 35%,on net sales of approximately $1.75 billion. Due to its improvedexpectations of first quarter performance, and given management'scurrent outlook for the performance of its businesses for theremainder of 2006, Terex is also increasing its fiscal year 2006earnings per share guidance range to $6.40-$6.80 per share, excludingspecial items and assuming an effective tax rate of 35%, from the$5.85-$6.35 per share range announced earlier this month. Terex nowanticipates approximately 52% of its earnings being delivered in thefirst half of the year and the balance occurring in the second half ofthe year. Net debt (consisting of long-term debt, including currentportion of long-term debt, less cash and cash equivalents) at March31, 2006 increased by approximately $46 million from December 31, 2005levels, reflecting the increase in working capital investment inanticipation of the seasonally strong second quarter delivery period.

"We are very pleased with the broader, strong performance from ouroverall business," commented Ronald M. DeFeo, Terex's Chairman andChief Executive Officer. "Our preliminary results were encouragingfrom most of our businesses, but especially our Aerial Work Platformsgroup, which we expect to deliver a record earnings performance, andour Materials Processing & Mining group, which executed their gameplan extremely well. Additionally, we are excited by what we see asstronger than expected performance of our Cranes, Roadbuilding andUtilities businesses, driven by a combination of the impact of pricerealization, improving internal efficiencies and increasing externaldemand. Our Construction businesses had disappointing results in thequarter, due to reduction in demand for the scrap handling product, aswell as shortfalls in product throughput in certain other businesses.However, while not apparent in this quarter, these businesses areimproving, with a strong order book, and an exciting product launchfor many next generation pieces of equipment scheduled for theremainder of the year."

"We clearly have had a strong start to 2006, and feel that theglobal economic factors will continue to have a positive effect forthe next few years." Mr. DeFeo continued, "Simply said, the underlyingconditions of most of our end-markets globally remain strong or areimproving. With the depth and breadth of the Terex product portfolio,there is substantial room to grow in the marketplace, both in terms ofmarket share and geographic presence. We remain quite positiveregarding our prospects for the 2006 fiscal year. Our first quarterprojections illustrate both strong demand in the marketplace for Terexproducts and the benefit of our operational improvements and productpricing."

Mr. DeFeo continued, "We remain committed to delivering strongincremental margin improvements throughout the balance of 2006,however we continue to monitor the global steel pricing impact on ourinput costs. Our expectations for the second half of the year alsodepend on the continued strength of the Aerial Work Platforms group,as predicting demand, especially for the fourth quarter, has provendifficult given the historical timing of rental customers' deliveries.As such, we now anticipate earnings per share, excluding specialitems, will be higher than our previous estimates, and will be in the$6.40 to $6.80 range, with most of the variability in the indicatedrange resulting from the items mentioned previously."

Bank Waiver and SEC Filings Update

Terex also announced today that it has obtained a waiver from itssenior bank lending group that allows the Company until May 15, 2006,to provide its lenders with its financial information for the yearended December 31, 2005. Terex currently anticipates completing its2005 audited financial statements and submitting its quarterly andannual filings for 2005 to the Securities and Exchange Commissionprior to that time.

Safe Harbor Statement

The press release contains forward-looking information based onTerex's current expectations. Because forward-looking statementsinvolve risks and uncertainties, actual results could differmaterially. Such risks and uncertainties, many of which are beyondTerex's control, include among others: Terex's business is highlycyclical and weak general economic conditions may affect the sales ofits products and its financial results; Terex's business is sensitiveto fluctuations in interest rates and government spending; the abilityto successfully integrate acquired businesses; the retention of keymanagement personnel; Terex's businesses are very competitive and maybe affected by pricing, product initiatives and other actions taken bycompetitors; the effects of changes in laws and regulations; Terex'sbusiness is international in nature and is subject to changes inexchange rates between currencies, as well as international politics;Terex's continued access to capital and ability to obtain parts andcomponents from suppliers on a timely basis at competitive prices; thefinancial condition of suppliers and customers, and their continuedaccess to capital; Terex's ability to timely manufacture and deliverproducts to customers; possible work stoppages and other labormatters; Terex's debt outstanding and the need to comply withrestrictive covenants contained in Terex's debt agreements; Terex'sability to file its periodic reports with the SEC on a timely basis;the previously announced SEC investigation of Terex; Terex's abilityto maintain adequate disclosure controls and procedures and adequateinternal controls over financial reporting; Terex's implementation ofa global enterprise system and its performance; compliance withapplicable environmental laws and regulations; product liabilityclaims and other liabilities arising out of Terex's business; andother factors, risks, uncertainties more specifically set forth inTerex's public filings with the SEC. Actual events or the actualfuture results of Terex may differ materially from any forward lookingstatement due to those and other risks, uncertainties and significantfactors. The forward-looking statements speak only as of the date ofthis release. Terex expressly disclaims any obligation or undertakingto release publicly any updates or revisions to any forward-lookingstatement included in this release to reflect any changes in Terex'sexpectations with regard thereto or any changes in events, conditions,or circumstances on which any such statement is based.

Terex Corporation is a diversified global manufacturer with 2005revenue of approximately $6.4 billion. Terex operates in five businesssegments: Terex Construction, Terex Cranes, Terex Aerial WorkPlatforms, Terex Materials Processing & Mining, and TerexRoadbuilding, Utility Products and Other. Terex manufactures a broadrange of equipment for use in various industries, including theconstruction, infrastructure, quarrying, recycling, surface mining,shipping, transportation, refining, utility and maintenanceindustries. Terex offers a complete line of financial products andservices to assist in the acquisition of Terex equipment through TerexFinancial Services. More information on Terex can be found atwww.terex.com.