Turnover for 2005 should be between 40 and 45 % higher than last year, which was a record year with 284 million euros. As for net revenue, it should be higher than 30 million euros. Excellent results on the Euronext are proof of the group’s good health: since January 1 2005, operating income has practically tripled. Alexandre Saubot, Executive Vice-President of the Group talks about his experience with the Fortis Bank with Philippe Duny, Alternate Manager Enterprises at Fortis Bank Lyon.

"Today the Haulotte Group is specialied in people and material lifting equipment", explains Saubot. "It is a growth market. It went through a serious crisis at the beginning of the century, but we are currently out of it, with a satisfactory growth rate, and our activities should increase more than 40% this year. "

Become number one

Development is one of Haulotte's main objectives. "Our objectives are quite simple. Today, there are three primary players on the market, two American players and us. We are number three and, like all number threes, we hope to become number two. Once we are number two, we will surely aim for number one."

The Haulotte Group has not always had the wind in its sails. At the turn of the century, the market had a sudden, very serious crisis. "In 2001-2003, the market was set-back more than 60%. "A very difficult period where we had to show our ability for management, rigor and adaptation. In industry, it is harder to weather out cycles of this size than it is in other sectors. I think that we have proven our ability to manage during these cycles, both when the market was falling and when it picked up again in 2004."

Ability to manage crisis

"Even though the crisis was serious, we were practically certain that growth would pick up again in 2004 or 2005. After analysis of the equipment park and rate of renewal, we were able to define a standard market and remain confident about the recovery. It allowed us to build on the short term, with crisis management, as well as on the long term, while preparing for the up-turn. The hard part was being ready and at the same time, not starting off too soon or too big, as compared to the market. Of course, there was a bit of luck involved."

A long-term relationship

Philippe Duny: "It is true that we came into contact with Haulotte at a moment when the economic situation was not at its best. However, the vision, the trust in people and project analysis induced us to work with the group."

"It is not during the crisis that we need our bankers the most, but rather for preparing the rebound, to accompany growth", adds Saubot. "We made two important decisions. The first, in 2002, was to set up credit facilities for 100 million euros, in which Fortis strongly participated. Our customers also needed to recover from the difficult period. The second action with Fortis concerned our international development. Our market and scope of action is worldwide, and we need bank partners wherever we are established. Today, we have about fifteen subsidiaries around the world. Working with a local bank that does not know who you are, is not the best way to work. On the other hand, dealing with one of the group’s partners who is established in many countries has enormous advantages: simplified price-setting, optimal operations, increased confidence and above all, an easier start-up. A new structure has to be operational in a short period of time, and every time that we went through a local bank, we saw that it was always longer and more complicated."

"We have also signed a partnership agreement for financing the Haulotte Group’s sales with the European Vendor Program", adds Duny. "Our subsidiary, FortisLease, offers financing to Haulotte’s customers in a dozen countries with a partial guarantee from the manufacturer and support for equipment resale in case of default on the part of the borrower."

Vitality, expertise and network

Saubot called on Fortis not only for its expertise, but also for its international network. "Today I would say that Fortis’ main added-value lies in its skilled teams. Their international network and its ability to provide services on a national scale in new countries, is also a great advantage for us. The situation is simplified with a ‘moral guarantee’ provided by one’s own bank. For example, we have set up a partnership with Fortis in order to offer financing to our customers in France, in England, in Spain, in Germany, in Poland and in Benelux." The case of Poland is particularly interesting. "Fortis uses leasing to accompany Haulotte on this market. It is a true partnership in terms of help for development. A mutual interest agreement," states Duny.

Saubot is very satisfied with the relationship with Fortis. "Today, major French banks are not capable of offering this type of service or not particularly adapted to a group like ours. Fortis provides us with service that is adapted to our specific problems. We are happy to go this route with them and for the solutions that they have provided."