Garrison elected board chairman for Terex as company profits continue rise

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Updated Aug 18, 2018
The XC lineup of aerial work platforms by Genie, a subsidiary of Terex.The XC lineup of aerial work platforms by Genie, a subsidiary of Terex.

Terex President and CEO John L. Garrison has been elected the company’s new board chairman.

John L. Garrison, president and CEO of Terex CorporationJohn L. Garrison, president and CEO of Terex Corporation

The corporation, which includes such brands as Genie aerial lifts and telehandlers, has been posting strong financial results this year. In second quarter 2018, Terex announced a 19 percent increase in sales.

Under Garrison’s leadership, Terex has sold various businesses, including its Material Handling & Port Solutions segment, as well as underperforming construction businesses. The company has been focusing on core businesses of aerial work platforms, cranes and materials processing.

When Garrison arrived in 2015, Terex had acquired 50 companies in more than 20 years, with duplicating manufacturing locations, multiple accounting systems and other complexities, according to the company’s 2017 annual report. The company has since reduced its manufacturing space by 27 percent by outsourcing low-value manufacturing activities and consolidating other activities, particularly in its crane segment.

An example of this consolidation is the building of a new plant for subsidiary Terex Utilities’ operations in Watertown, South Dakota. Operations there for aerial devices, digger derricks and auger drills have been spread among 10 locations and will eventually be housed in the new facility to be finished in 2019.

Garrison joined Terex in 2015 after serving as CEO of Bell Helicopter since 2009. Bell is a division of Textron, which Garrison joined in 2002 and served as president of its industrial segment, composed of E-Z-Go golf carts, Greenlee, Jacobsen and Kautex.

He has also served as CEO of Azurix Corp., a global water company, and as vice president of Case Construction Equipment agricultural divisions. He is a 1982 graduate of the U.S. Military Academy at West Point and earned an MBA from Harvard University. He served 10 years in the Army, including as an airborne ranger.

Garrison will succeed David Sachs, the nonexecutive chairman. Sachs will return to being lead director, a position he held until 2013. Sachs, who is a co-founder and partner of Ares Management investment firm, was appointed nonexecutive chairman in January 2016.

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“Under his leadership, management has taken significant steps to better position Terex for the future while executing the company’s ‘Focus, Simplify and Execute to Win’ strategy,” Sachs said of Garrison. “…John’s strong track record as CEO of Terex, coupled with his experience sitting on the Terex board, leaves me confident that the role of chairman will be in good hands.”

In accepting the chairmanship, Garrison released this statement:

“I appreciate the board’s support and confidence, and I look forward to leading Terex on our mission to provide solutions to our machinery and industrial product customers that yield superior productivity and return on investment. On behalf of Terex, I would like to thank David for his leadership and contributions to the company as chairman and look forward to his continued contributions as lead director.”