Buhler Industries Inc. Announces Joint Venture with Weidemann GmbH & Co.

WINNIPEG, Manitoba--(BUSINESS WIRE)--July 7, 1998--Buhler Industries In(TSE:BUI.) Buhler Industries Inc., manufacturers of Allied and Farm King agricultural equipment has announced a joint venture with Weidemann GmbH & Co. KG of Flechtdorf, Germany to introduce a new line of "wheel loader" tractors to North America.

Also described as "tool carriers", they are diesel powered, 4 wheel drive articulating tractors with forward arms carrying a bucket, pallet fork or any combination of numerous attachments for a variety of applications in construction, agriculture and forestry. The tool choices include hydraulically powered post hole augers, bale shredders, sweepers, a variety of clamps and grapples, as well as arm extensions for high elevation stacking. The Weidemann line of equipment has achieved marketing penetration within many industries since the company was founded in 1960. By 1995, it had made twenty five thousand tractors sold throughout Europe.

Frank Weidemann, International Sales Manager, says his company has developed "almost a hundred different tools in response to requests from various users". "The characteristics of this equipment provide an opportunity for significant efficiencies in North American agriculture and industry" says John Buhler, CEO and Chairman of Buhler Industries Inc.

The Buhler and Weidemann organizations are preparing four models for North American introduction. Ranging in horsepower from 22 to 70, they will be marketed under the name "Buhler-Weidemann". "We are introducing proven technology to a market potential that includes, but reaches well beyond our traditional agricultural markets," says Buhler.

Frank Weidemann says he regards Buhler as well positioned for success in the new venture because the company has "highly modern manufacturing capabilities, as well as full North American distribution". "Our machines" explains Weidemann "are made for multi usage adaptation, so it is important that our North American partner be capable of creating attachments appropriate to the requirements of this market".

Buhler Industries has two manufacturing plants in Manitoba, producing agricultural equipment. The Farm King line manufactured at Morden consists of grain augers and various tractor powered implements. The Allied line consisting primarily of front end loaders is produced at the Winnipeg plant. There are more than a thousand Farm King and Allied dealers across North America, served by independent distributors, as well as eight Buhler owned distribution centers in Canada and the U.S.

Buhler Industries now has more than 600 employees. In the short term, the new venture will see additional jobs created by distribution and custom tooling for the Buhler-Weidemann machines. Buhler estimates the building of an assembly plant to employ a minimum of 150 people will come under consideration within a year or two.

   CONTACT:  Buhler Industries Inc.
              John Buhler, 204/654-5700
                           204/654-2503 (FAX)