Maxim Crane Works’ rental volume for 2002 dropped to $340.2 million, down from $394.4 in 2001, according to documents filed recently with the Securities and Exchange Commission. Total revenue was down year-over-year from $420.1 million to $357.1 million.
Maxim’s net loss for 2002 was $103.8 million, up nearly two-and-a-half times from $42.2 million in 2001.
Maxim’s financial condition began to deteriorate in early 2001 “due to higher labor and maintenance costs, capital expenditures and an overall economic recession in the United States,” the documents said, along with softness in the industrial and nonresidential construction markets.
On March 14, 2003, Standard & Poor's lowered its corporate credit and senior unsecured bank loan ratings on the company following the filing of an exchange offer that Standard & Poor's viewed as coercive. The exchange offer was expected to close last Friday. At that time, Standard & Poor's will lower the rating on the discount debentures to 'D' and withdraw all ratings on the company. Failure to complete the transaction could result in a bankruptcy filing, according to Standard & Poor’s.
Pittsburgh-based Maxim is No. 7 on the RER 100.