A KHL EXECUTIVE REPORT

WORLD CRANE REPORT

GLOBAL ANALYSIS OF FLEETS, TRENDS, FINANCIALS AND ECONOMIC FUNDAMENTALS

IC50 - SECTOR ANALYSIS

Executive summary Global economic picture CRANE MANUFACTURERS ICm20 Ranking Crane manufacturers in the Yellow Table Crane manufacturers share price performance CRANE OWNERS:

6 8 10 12 16 18

CRANE OWNERS: TEN-YEAR

34 36 37 38 39 40 41 42 43 44 45

GLOBAL TRENDS
Fleet size Fleet changes Fleet composition

IC50 numbers
Cranes sizes Employment Depots Staff and depots ratio

20 22

Global analysis Economic fundamentals

WORLDWIDE
2012 IC50

IC50 Fleet size and

manufacturer revenues

WORLD CRANE REPORT

IC50 - SECTOR ANALYSIS

Contents
CRANE OWNERS: TEN-YEAR

46 48 49 50 51 52 53 54 55 56 57 58

CRANE OWNERS: TEN-YEAR

59 60 61 62 63 64 65 66 67 68 69 70

EUROPEAN TRENDS
Europeans in the IC50 Fleet size Fleet changes Fleet composition

NORTH AMERICAN TRENDS

North Americans in the IC 50 Fleet size Fleet changes Fleet composition

IC50 numbers
Cranes sizes Employment Depots Staff and depots ratio Europe analysis Economic fundamentals

IC50 numbers
Cranes sizes Employment Depots Staff and depots ratio North America analysis Economic fundamentals

IC50 Fleet size and

manufacturer revenues

IC50 Fleet size and

manufacturer revenues

WORLD CRANE REPORT

GLOBAL - FLEET SIZE

IC50 global fleet

Despite economic conditions, the IC50s global crane fleet has not fallen significantly in the years following the 2008 financial crisis
t 21,896 units, the total number of cranes owned by the IC50 companies in 2012 was comparable to the peak of 22,002 machines seen in 2010. The last five years has seen crane numbers maintained at between roughly 21,500 and 22,000 units. In contrast, the previous four years saw a period of rapid growth in crane fleets as construction activity and economic growth boomed. From a low point in the cycle of 15,540 units in 2004, the following four years saw annual growth rates varying between 4% and 12% until the global fleet hit the current 21,500 unit level in 2008. This represented a 38% increase in the number of cranes in the space of four years. During the growth period, Europe-based crane rental companies added the most to their fleets, with machine numbers rising 62% between 2004 and 2008 to a total of 7,188. North American inventories grew 24% to 10,592 cranes in the same period, while

fleets in the rest of the world were up 43%. The intervening years of relative stability have seen regional crane numbers ebb and flow. For the most part, Europeans have continued to grow, with a 22% increase in machine numbers between 2008 and 2012, taking the total to 8,746 machines. Owners in the rest of the world have added 9% over the same period. In contrast, North American crane owners have reduced their fleet over the last five years, with crane numbers falling 14% to 9,118 machines. This is similar to the number owned in 2005 and 2006. As a result, only about 42% of the IC50s cranes are now owned by North American companies, compared to some 59% in 2002. This period has seen a swing towards European owners, which now account for 40% of crane numbers, compared to 26% in 2002. The proportion of the fleet in the rest of the world has changed little 18% now, 15% in 2002.

CRANE OWNERSHIP OF GLOBAL COMPANIES IN THE IC50 - 2003 TO 2012

25,000

20,000 5,713 5,293 NUMBER OF UNITS 15,000 4,559 4,440 5,210 10,156 9,347 10,000 9,387 8,522 8,706

7,188

7,601

8,170

7,717

8,746

10,592

10,688

9,029

8,873

9,118

5,000 4,803 2,564 0 2003 2004 Rest of the World 2005 2006 Europe 2007 2008 2009 2010 2,578 2,235 3,016 3,257 3,687 3,400

4,937 4,032

2011

2012

North America

36

WORLD CRANE REPORT

GLOBAL - FLEET CHANGES

Growth patterns
Overall the changes in numbers of cranes owned by the IC50 has been the subject of relatively small changes but there has been significant regional volatility
ear-on-year changes in the global fleet of cranes owned by the 50 largest IC 50 companies have been subject to relatively small changes over the last ten years. The biggest annual growth was seen in 2006, with a 9.6% increase, while the biggest fall of the last decade was 2004s 5.7% decline. The smooth cycle described by the total number of cranes worldwide, however, masks regional volatility which, in some cases, has been quite striking. Starting with the least volatile, the North American fleet has broadly followed the trend set worldwide. In some senses this is to be expected, as North American crane owners are the largest group in the IC50. The crisis years, however, have seen some departures from this trend. In 2008 North American growth lagged at 4.3%, while the IC50 grew at 12.2%. More striking was the 15.5% dip seen in 2010, very much against the trend in the rest of the world, with robust growth elsewhere driving global growth of 1.4%.

The last two years have seen North American fleet totals move more in line with the global total, and 2012 saw the regions crane numbers increase for the first time since 2009. Changes in Europes crane fleet have tended to be more volatile, particularly in the boom years, with growth of 17.3% in 2005 and 25.8% in 2008. The region has also looked more resilient to recession. Despite the severity of the financial crisis over the last five years, European crane owners have not reduced their fleets. The rest of the world market, however, has seen much more violent swings, with a particularly sharp rise in 2006 and, more surprisingly, in 2010. Crane numbers have also been susceptible to some of the biggest falls, with 2005 and 2012 standing out in this respect. It is hard to draw conclusions about such a diverse region but it is notable that the sharp growth in 2010 lined up with the height of global stimulus spending, while the 2012 drop has come at a time when developing world economic growth has generally slowed.

ANNUAL GROWTH IN GLOBAL AND REGIONAL CRANE FLEETS

50%

40%

30%

20%

10%

0% 2003 -10% 2004 2005 2006 2007 2008 2009 2010 2011 2012

-20% Total Rest of the World Europe North America

WORLD CRANE REPORT

37

2012 IC50

22

INTERNATIONAL

AND SPECIALIZED TRANSPORT JUNE 2012

2012 IC50

Overall increase
IC50 NOTES
Companies are ranked by their IC Index, calculated using the total maximum load moment rating, in tonne-metres, of all cranes in a company's fleet. All companies in the list, plus other prospective ones, have the opportunity to supply fleet information and other data. Where companies supply the full data the figure used is calculated by them. In some cases, where no data is submitted, or is incomplete, we have based a companys equipment fleet figure on IC estimates. In cases of insolvency, acquisition or lack of information, companies are withdrawn from the table. While we make great effort to ensure the accuracy of information provided, it cannot be guaranteed and IC accepts no liability for inaccuracies or omissions. The IC50 Index is updated in the first quarter of each year. If you think your company should be included please contact IC for an application form.

In its 17th year, the IC50 ranking of the worlds largest crane-owning companies once again has a higher total index value, achieved with fewer cranes, people and depots than the previous year. A healthy showing of 14 new entries further bolsters the index over the 200-entry mark
ince the 2011 IC50 ranking things may have changed, downwards, in several parts of the top 100 of the 2012 table but the index is still up by a healthy margin, as is the 2012 IC50 Top 10 Index. While there are only 15 fewer depots and 362 fewer crawler cranes, there are 10,000 fewer employees and nearly 3,000 fewer wheeled mobile cranes in the top 100. Notably, however, the IC Index for the same top 100 companies is up by a strong 764,364 points around 5%. It indicates that the trend towards larger cranes continues, although the flurry of new super heavy lifters had its major impact in last years table. Since then it has been made by an accumulation of larger series-produced cranes from the major manufacturers across the categories, especially in the Top 100 companies.

Continued >

IC50 LARGEST SINGLE CRANE

COMPANY ALE Mammoet Sarens Al Jaber Heavy Lift & Transport Lampson International Deep South Crane & Rigging Company Tat Hong Holdings Tiong Woon Crane & Transport Sarilar Heavy Lift & Transport MIC Corporation Barnhart Crane and Rigging COUNTRY UK Netherlands Belgium UAE USA USA Singapore Singapore Turkey Japan USA MODEL CAPACITY (t) AL.SK350 5,000 PTC 200 DS 3,200 SGC-120 3,200 Demag CC 8800-1 Twin 3,200 Lampson LTL-3000 3,000 TC-36000 Versacrane 2,268 Terex CC 8800-1 1,600 Terex CC 8800-1 1,600 Terex CC 8800-1 1,600 Terex CC 8800-1 1,600 Demag CC 4000 RL 1,600

WORLD CRANE REPORT

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