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8-K - Essex Rental Corp. | v211993_8k.htm |
Exhibit
99.1
FOR IMMEDIATE
RELEASE
ESSEX RENTAL CORP. PROVIDES
UPDATE ON COAST CRANE NEW EQUIPMENT DISTRIBUTION
BUFFALO GROVE, IL – February
18, 2011 – Essex Rental Corp.
(Nasdaq: ESSX; ESSXW; ESSXU) ("Essex") today announced that its wholly
owned subsidiary, Coast Crane Company (“Coast Crane”), has agreed to continue to
serve as a new equipment dealer for certain Manitowoc products, consisting of
Potain tower cranes, including the self-erecting and city hammerhead cranes, in
the western US, Alaska, Hawaii and Guam.
Coast
Crane will no longer serve as a distributor of new Manitowoc and Grove branded
crawler and telescopic cranes, but will remain a National Key Account for all
the Manitowoc Crane Group products which will allow Coast Crane to continue
purchasing all new equipment for its rental fleet and parts directly from the
manufacturer. This structure is similar to the successful
relationship that has existed between Essex Crane and the Manitowoc Crane Group
for more than fifteen years.
Besides
the Potain tower crane lines, Coast Crane will continue to act as a new
equipment dealer for several other manufacturers, including Tadano, Mantis,
Little Giant, Manitex, Lull and other lines currently represented.
Ron
Schad, President and CEO of Essex Rental Corp., stated, "We are pleased to
continue representing certain Manitowoc products, and expect to add additional
manufacturers’ product lines and territories in the near-term based on
discussions that we have had to date. We consider our three core
competencies to be new and used equipment distribution, a broad national
offering of rental equipment, and service and parts support, and plan on
aggressively building these primary business lines."
Mr. Schad
continued, "Thus far, we are pleased with the Coast Crane
acquisition. We recently completed a comprehensive appraisal of Coast
Crane’s assets and they were valued consistent with our purchase
price. Further, the acquisition has broadened our business prospects
and we are excited by the many growth opportunities presenting themselves, as
well as with Coast Crane’s exceptionally dedicated and knowledgeable
employees. These growth opportunities combined with improving asset
utilization across our entire rental fleet will allow us to generate attractive
returns for our shareholders."
About
Essex Rental Corp.
Essex,
through its subsidiaries, Essex Crane Rental Corp. and Coast Crane Company, is
one of North America's largest providers of mobile cranes (including
lattice-boom crawler cranes, truck cranes and rough terrain cranes),
self-erecting cranes, stationary tower cranes, elevators and hoists, and other
lifting equipment used in a wide array of construction projects. In addition,
the Company provides product support including installation, maintenance,
repair, and parts and services for equipment provided and other equipment used
by its construction industry customers. With a fleet of over 1,000 cranes and
other construction equipment and unparalleled customer service and support,
Essex supplies a wide variety of innovative lifting solutions for construction
projects related to power generation, petro-chemical, refineries, water
treatment and purification, bridges, highways, hospitals, shipbuilding, offshore
oil fabrication and industrial plants, and commercial and residential
construction.
About
Coast Crane Company
Founded
in 1970, Coast Crane Company has grown to become the market leader for
innovative lifting solutions throughout Western North America, Alaska, Hawaii,
Guam and the South Pacific. The Company provides both used and new equipment
including rough terrain cranes, boom trucks, tower cranes, and other lifting
equipment. Products are rented and sold through a regional network including 13
branch locations and covering over 3,000 customer accounts. Coast Crane enjoys
strong working partnerships with the leading crane and lifting manufacturers in
the U.S. and has a dedicated and unparalleled customer service and support
team.
Some of
the statements in this press release and other written and oral statements made
from time to time by Essex, Coast and their respective representatives are
"forward-looking statements" within the meaning of Section 27A of the Securities
Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934,
as amended. These statements include statements regarding the intent and belief
or current expectations of Essex, Coast and their respective management teams
and may be identified by the use of words like "anticipate", "believe",
"estimate", "expect", "intend", "may", "plan", "will", "should", "seek", the
negative of these terms or other comparable terminology. Investors are cautioned
that any such forward-looking statements are not guarantees of future
performance and involve risks and uncertainties, and that actual results may
differ materially from those projected in the forward-looking statements.
Important factors that could cause actual results to differ materially from
Essex's or Coast's expectations include, without limitation, the continued
ability of Essex and Coast to successfully execute their respective business
plans, the possibility of a change in demand for the products and services that
Essex provides (through its subsidiary, Essex Crane) and that Coast provides,
the failure to obtain Bankruptcy Court approval of the Coast acquisition,
intense competition which may require us to lower prices or offer more favorable
terms of sale, our reliance on third party suppliers, our indebtedness which
could limit our operational and financial flexibility, global economic factors
including interest rates, general economic conditions, geopolitical events and
regulatory changes, our dependence on our management team and key personnel, as
well as other relevant risks detailed in our Annual Report on Form 10-K and
other periodic reports filed with the Securities and Exchange Commission and
available on our website, www.essexcrane.com. The factors listed here are not
exhaustive. Many of these uncertainties and risks are difficult to predict and
beyond management's control. Forward-looking statements are not guarantees of
future performance, results or events. Essex assumes no obligation to update or
supplement forward-looking information in this press release whether to reflect
changed assumptions, the occurrence of unanticipated events or changes in future
operating results or financial conditions, or otherwise.
CONTACT:
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-OR-
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INVESTOR
RELATIONS:
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Essex
Rental Corp.
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The
Equity Group Inc.
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Martin
Kroll
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Melissa
Dixon
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Chief
Financial Officer
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Senior
Account Executive
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(847)
215-6502 / mkroll@essexcrane.com
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(212)
836-9613 / mdixon@equityny.com
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Devin
Sullivan
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Senior
Vice President
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(212)
836-9608 / dsullivan@equityny.com
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