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Finning Completes Acquisition of Bucyrus Distribution Business in Western Canada


October 1, 2012
By From Marketwire

October 1, 2012, Vancouver, B.C. – Finning
International Inc. (TSX:FTT) announced today that it has completed its
previously announced acquisition from Caterpillar of the former Bucyrus
distribution and support business in its dealership territory across Western
Canada.

October 1, 2012, Vancouver, B.C. – Finning
International Inc. (TSX:FTT) announced today that it has completed its
previously announced acquisition from Caterpillar of the former Bucyrus
distribution and support business in its dealership territory across Western
Canada. This represents the final stage in the company's phased acquisition and
follows the successful completion of the transaction for Finning in South
America and the U.K. on May 2, 2012.

 

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"With the integration advancing seamlessly in
South America and the U.K., we are pleased to have now completed the final
portion of the acquisition as planned in Finning Canada," said Mike
Waites, president and CEO of Finning International Inc. "Consistent with
our strategy, this transaction strengthens our leadership position in the
mining industry by allowing us to sell and service a comprehensive product
portfolio that meets our customers' surface and underground mining needs. We
have moved quickly to seize opportunities in the U.K. and South America and we
look forward to taking advantage of the tremendous potential in Canada."

 

"We have worked hard to make this transition a
success and are delighted to welcome our new colleagues to our Canadian
operations," said Andy Fraser, president of Finning Canada. "With
this acquisition completed, we look forward to providing even greater value to
our mining customers with an expanded product line and unrivalled
service."

 

The total value of Finning's acquisition of the
Bucyrus business is approximately US$465 million, subject to working capital
adjustments, and is comprised of approximately US$306 million for Finning in
South America and the U.K. and an estimated US$159 million for Finning Canada.
The acquisition, which is being financed with debt, is expected to be accretive
to earnings in 2012.


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