TRANSFORMING
THE FUTURE
Mass
Customization
Electrification
Automation
Digitization
Globalization
2019 Annual Report
Hyster-Yale Materials Handling | 2019 Annual Report
Hyster-Yale Materials Handling | 2019 Annual Report
Hyster-Yale
maintains leading
market share
positions in the
Americas and
worldwide
Contents
About the Company . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
Selected Financial and Operating Data . . . . . . . . . . . . . . . . . . . . . . . . . 2
Letter to Stockholders . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
Form 10-K . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17
Directors and Officers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 112
Corporate Information . . . . . . . . . . . . . . . . . . . . . . . . Inside Back Cover
Cover Photo Captions . . . . . . . . . . . . . . . . . . . . . . . . . Inside Back Cover
Mission Statement:
To be an enhanced, globally integrated designer, manufacturer and marketer of a complete range of lift truck
solutions by leveraging its high-quality, application-tailored lift trucks, attachments and power solutions to offer
the lowest cost of ownership and the best overall value .
1
ABOUT THE COMPANY
Hyster-Yale Materials Handling, Inc ., headquartered
in Cleveland, Ohio, is a leading, globally integrated, full-
line lift truck manufacturer . The Company offers a broad
array of solutions aimed at meeting the specific materials
handling needs of its customers, including attachments
and hydrogen fuel cell-powered products, as well
as a variety of other power options for its lift trucks,
telematics, automation and fleet management services .
Lift Trucks: Hyster®,Yale® and Maximal®
The Company’s operating subsidiary, Hyster-Yale
Group, Inc ., designs, engineers, manufactures, sells
and services a comprehensive line of lift trucks and
aftermarket parts marketed globally under the Hyster®,
Yale® and Maximal® brand names . The Company
manufactures lift trucks and component parts in the
United States, China, Northern Ireland, Mexico, the
Netherlands, the Philippines, Italy, Japan, Vietnam
and Brazil .
Lift truck unit volumes drive the Company’s economic
engine, and its worldwide distribution strength drives
volume, market share, economies of scale and installed
truck population . Hyster-Yale had an estimated installed
population base of over 912,000 lift trucks in operation
Total Revenues
Total Revenues
in more than 770 industries worldwide at the end of
(in billions)
(in billions)
2019 . This population, in turn, generates high-margin
aftermarket parts and ancillary services revenue for
both Hyster-Yale and its dealers .
$3.3
$3.3
$2.9
$2.9
$3.5
$3.5
$2.6
$2.6
$2.6
$2.6
$3.2
$3.2
$2.5
$2.5
Attachments, Forks and Lift Tables: Bolzoni®,
Auramo® and Meyer®
$1.5
$1.5
Bolzoni S .p .A . is a leading worldwide designer,
$0
$0
producer and distributor of a wide range of attachments,
17
17
forks and lift tables marketed under the Bolzoni®,
Auramo® and Meyer® brand names . Bolzoni attachments
19
19
15
15
18
18
16
16
meet the handling needs of customers in a broad array
of industries, including paper, beverage, automotive and
white goods . Bolzoni products are manufactured in the
United States, Italy, China, Germany and Finland .
Hydrogen Power: Nuvera®
The Company’s hydrogen power business,
Nuvera Fuel Cells, LLC, is an alternative-power, clean-
energy technology company focused on the design,
manufacture and sale of hydrogen fuel cell stacks and
engines . Nuvera supplies fuel cell engines to Hyster-
Yale Group for use in battery box replacements and for
integrated lift truck engines . It also supplies fuel cell
stacks and engines to external customers, integrators
and partners who use them to develop clean-energy
power solutions .
Goals and Core Strategies
The Company’s objective is to provide a wide range
of high-value solutions to its customers to generate
profitable growth through increasing volumes . These
increasing volumes are expected to generate market
share gains and improved margins . The Company is
working to accomplish these objectives through its
core strategies:
• Be the leader in the delivery of industry- and
customer-focused solutions
• Provide the lowest cost of ownership while
enhancing productivity for customers
• Be the leader in independent distribution
• Grow in emerging markets
• Be the leader in the attachments business
• Be a leader in fuel cells and their applications
Total Revenues
Total Revenues
(in billions)
(in billions)
$2.6
$2.6
$2.6
$2.6
$2.9
$2.9
$3.2
$3.2
$3.3
$3.3
15
15
16
16
17
17
18
18
19
19
$3.5
$3.5
$3.0
$3.0
$2.5
$2.5
$2.0
$2.0
$1.5
$1.5
$1.0
$1.0
$0.5
$0.5
$0.0
$0.0
$200
$200
$150
$150
$100
$100
$50
$50
$0
$0
$(50)
$(50)
Adjusted EBITDA*
Adjusted EBITDA*
(in millions)
(in millions)
$136.6
$136.6
$152.5
$152.5
$82.1
$82.1
$109.2
$109.2
$94.2
$94.2
15
15
16
16
17
17
19
■ Nuvera ■ Bolzoni ■ Lift Truck Consolidated
■ Nuvera ■ Bolzoni ■ Lift Truck Consolidated
18
19
18
*See page 3 for calculation of Adjusted EBITDA, the discussion of non-GAAP items and the related reconciliations to U .S . GAAP measures .
1
Hyster-Yale Materials Handling | 2019 Annual Report SELECTED FINANCIAL AND
OPERATING DATA
2019
Operating Statement Data:
Revenues . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Operating profit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Net income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Net (income) loss attributable
to noncontrolling interest . . . . . . . . . . . . . . . . . . . .
Net income attributable to stockholders . . . . . . . .
Basic earnings per share
attributable to stockholders . . . . . . . . . . . . . . . . . .
Diluted earnings per share
attributable to stockholders . . . . . . . . . . . . . . . . . .
$ 3,291.8
53.9
$
36.6
$
(0.8)
35.8
$
$
2.15
$
2.14
Balance Sheet Data at December 31:
Cash . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Total assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Long-term debt . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Stockholders’ equity . . . . . . . . . . . . . . . . . . . . . . . . . . . .
$
64.6
$ 1,847.2
$ 204.7
$ 544.3
Year Ended December 31
2017(1)
(In millions, except per share and employee data)
2016
2018
2015
$
$
$
3,179 .1
38 .8
34 .3
$ 2,885 .2
74 .1
$
48 .9
$
$ 2,569 .7
32 .9
$
42 .3
$
$ 2,578 .1
103 .5
$
75 .1
$
0 .4
34 .7
2 .10
2 .09
$
$
$
(0 .3)
48 .6
2 .95
2 .94
$
$
$
0 .5
42 .8
2 .61
2 .61
$
$
$
(0 .4)
74 .7
4 .58
4 .57
$
$
$
$
83 .7
$ 1,742 .1
210 .1
$
527 .4
$
$
220 .1
$ 1,647 .9
216 .2
$
565 .5
$
$
43 .2
$ 1,287 .1
82 .2
$
463 .8
$
$
155 .1
$ 1,095 .9
19 .6
$
460 .8
$
Cash Flow Data:
Provided by (used for) operating activities . . . . . .
Used for investing activities . . . . . . . . . . . . . . . . . . . .
Cash flow before financing activities(2) . . . . . . . .
$
$
$
76.7
(42.0)
34.7
$
$
$
67 .6
(110 .9)
(43 .3)
Provided by (used for) financing activities . . . . . . .
$
(51.6)
$
(87 .6)
$
$
$
$
164 .7
(47 .3)
117 .4
$
$
$
(48 .9)
(145 .1)
(194 .0)
53 .1
$
77 .9
$
$
$
$
89 .4
(31 .3)
58 .1
(7 .1)
Per Share Data:
Cash dividends . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Market value at December 31 . . . . . . . . . . . . . . . . . .
Stockholders’ equity at December 31 . . . . . . . . . . .
Actual shares outstanding at December 31 . . . . .
Basic weighted average shares outstanding . . . . .
Diluted weighted average shares outstanding . . .
Total employees at December 31(3) . . . . . . . . . . . . . .
$ 1.2625
$ 58.96
32.66
$
16.667
16.645
16.726
7,900
$ 1 .2325
61 .96
$
31 .85
$
16 .561
16 .540
16 .602
7,700
$ 1 .2025
85 .16
$
34 .35
$
16 .462
16 .447
16 .514
6,800
$ 1 .1700
63 .77
$
28 .30
$
16 .391
16 .376
16 .427
6,500
$ 1 .1300
52 .45
$
28 .23
$
16 .324
16 .307
16 .355
5,400
Note: Certain amounts in prior periods have been reclassified to conform to the current period’s presentation .
(1) During 2017, Hyster-Yale recognized $19 .8 million of equity income from its financing joint venture and $38 .2 million of income tax expense as a result of the new U .S . tax
reform legislation enacted in December 2017 .
(2) Cash flow before financing activities is equal to net cash provided by (used for) operating activities less net cash used for investing activities .
(3) Excludes temporary employees .
2
3
Hyster-Yale Materials Handling | 2019 Annual ReportHyster-Yale Materials Handling | 2019 Annual Report
2019
2018
Year Ended December 31
2017(1)
(In millions)
2016
2015
Calculation of Adjusted EBITDA(4)
Net income attributable to stockholders . . . . . . . .
Nuvera asset impairment . . . . . . . . . . . . . . . . . . . . . . .
Noncontrolling interest income (loss) . . . . . . . . . . .
Income tax provision (benefit) . . . . . . . . . . . . . . . . . .
Interest expense . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Interest income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Depreciation and amortization expense . . . . . . . .
Adjusted EBITDA(4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
$
35.8
–
0.8)
11.3
19.8
(1.8)
43.3
$ 109.2
$
$
34 .7
–
(0 .4)
2 .3
16 .0
(2 .4)
44 .0
94 .2
$
$
48 .6
4 .9
0 .3
44 .9
14 .6
(3 .6)
42 .8
152 .5
$
$
42 .8
–
(0 .5)
(4 .0)
6 .7
(2 .0)
39 .1
82 .1
$
$
74 .7
–
0 .4
29 .4
4 .7
(1 .5)
28 .9
136 .6
Calculation of Return on Total
Capital Employed
Average stockholders’ equity . . . . . . . . . . . . . . . . . . .
Average debt . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Average cash . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Average capital employed . . . . . . . . . . . . . . . . . . . .
Net income (loss) attributable to
stockholders, as reported . . . . . . . . . . . . . . . . . . . .
Plus: Interest expense, net, as reported . . . . . . . . .
Less: Income taxes on interest expense,
net of tax*** . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Actual return on capital employed =
actual net income (loss) before interest
expense, net, after tax . . . . . . . . . . . . . . . . . . . . . .
Actual return on capital employed
percentage(5) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Actual return on equity percentage(6) . . . . . . . .
Year Ended December 31
2019*
(In millions, except percentage data)
2018**
Lift Truck(7)(8)
Nuvera(8)
Bolzoni(8)
Consolidated
Consolidated
$
$
$
628 .2
286 .7
(315 .4)
599.5
58 .3
17 .4
(4 .5)
$
$
$
22 .0
(2 .0)
0 .1
20.1
(25 .2)
(0 .1)
–
$
$
$
140 .7
43 .3
(14 .9)
169.1
2 .8
0 .7
(0 .2)
$
$
$
527 .8
324 .0
(63 .4)
788.4
35 .8
18 .0
(4 .7)
$
$
$
561 .7
289 .0
(161 .2)
689.5
34 .7
13 .6
(3 .5)
$
71.2
$
(25.3)
$
3.3
$
49.1
$
44.8
11.9%
9.3%
n/m
n/m
2.0%
2.0%
6.2%
6.8%
6.5%
6.2%
(4) Adjusted EBITDA in this Annual Report is provided solely as a supplemental disclosure with respect to operating results . Adjusted EBITDA does not represent net income,
as defined by U .S . GAAP, and should not be considered as a substitute for net income or net loss, or as an indicator of operating performance . Hyster-Yale defines Adjusted
EBITDA as income before asset impairment charges, income taxes and noncontrolling interest income (loss) plus net interest expense and depreciation and amortization
expense . Adjusted EBITDA is not a measurement under U .S . GAAP and is not necessarily comparable with similarly titled measures of other companies .
(5) Return on capital employed is provided solely as a supplemental disclosure with respect to income generation because management believes it provides useful
information with respect to earnings in a form that is comparable to the Company’s cost of capital employed, which includes both equity and debt securities, net of cash .
(6) Return on equity is defined as net income divided by average stockholders’ equity .
(7) Lift Truck return on capital employed excludes continuing average investments of $140 .1 million for Bolzoni and $126 .9 million for Nuvera . Investment numbers are based
on a 5-point average .
(8) These entities are presented on a stand-alone basis, and as such, do not sum to the Consolidated financial information .
* **2019 Average stockholders’ equity, debt and cash are calculated using 12/31/18 and each of 2019’s quarter ends .
***2018 Average stockholders’ equity, debt and cash are calculated using 12/31/17 and each of 2018’s quarter ends .
*** Tax rate of 26% in both 2019 and 2018 represents the Company’s target U .S . marginal tax rate compared with the effective income tax rate of 23 .6%
in 2019 and 6 .3% in 2018 .
3
Hyster-Yale Materials Handling | 2019 Annual Report
TO OUR STOCKHOLDERS
Hyster-Yale is in the midst of a business
transformation that we expect will have profound
positive effects on the Company and its stockholders,
products, employees, dealers, customers and suppliers .
These changes are being driven by the implementation
of our core strategies and their underlying projects,
which are expected to have a transformational impact
on our competitiveness, market position and economic
performance . The progress made during 2019 on
these strategies is key to the Company achieving the
ambitious goals we have set to enhance profitability
through sales and margin increases over the next
three to four years .
Several years ago, the Company established core
strategies to achieve our financial objectives and
our vision of being an enhanced, globally integrated
designer, manufacturer and marketer of a complete
range of lift truck solutions . This vision is predicated
on leveraging high-quality, application-tailored lift
trucks, attachments and power solutions to offer the
lowest cost of ownership and the best overall value
to our customers .
sales throughout 2019 and, in combination with a
more selective sales approach, resulted in shipments
decreasing modestly to 100,300 units from 101,900
units in 2018 . The Company ended the year with strong,
but lower, bookings and backlog than in the prior year
primarily as a result of extended lead times on certain
product ranges caused by the supplier issues, which are
now generally resolved, as well as reduced market levels .
Operating results in 2019 also reflected continued
investments in the projects supporting the Company’s
core strategies . Both capital and expense investments in
these projects increased substantially in 2019 . Further
increased investments are expected to continue to be
made in 2020 and then remain at those high levels for
the next few years .
In 2019, the Company invested significantly in
product development programs, including new low-
intensity products and its new modular, scalable product
platform . Investments were also made in sales and
marketing efforts, both internally and to support dealers,
by upgrading and implementing new information
systems and making structural changes to its JAPIC
“One of the things I have really appreciated about working
with Hyster [is] you guys don’t [just] think six months ahead,
you’re thinking and investing [for] the long term.”
A national Hyster® retail customer
The positive impact of these strategies began in
2018, with that momentum continuing into 2019, with
consolidated revenues increasing 3 .5% to $3 .3 billion,
up from $3 .2 billion in 2018, despite an environment
in which the Company’s primary markets were down .
During the year, Hyster-Yale focused on enhancing
margins, which resulted in solid gross profit margin
improvements over 2018 . Operating profit also
increased 38 .9% to $53 .9 million from $38 .8 million in
2018 . Following substantial material cost inflation and
a significant impact from tariffs on the 2018 operating
profit results, in 2019 material cost inflation began to
dissipate, and the U .S . government granted exclusions
for certain duties on Chinese products and components,
both of which contributed to the margin improvement .
This positive momentum was tempered by supply
operations . Additional investments were made in both
the attachment and hydrogen fuel cell businesses as
well . Bolzoni completed the move of its U .S . manufac-
turing facilities from Illinois to Alabama, and Nuvera
made investments in automating its assembly line in the
United States and expanding its presence in China .
As a result of the investments made in its core
strategies, as well as the supply chain constraints,
cash flow before financing was reduced in 2019, and
included elevated working capital levels, which resulted
in the Company maintaining higher borrowing levels
throughout the year . Working capital and debt were still
not at optimal levels by the end of 2019, but they were
lower than the peaks experienced during the year, and
the Company’s balance sheet remained sound .
All of these factors combined led to the increase in
chain constraints that hampered productivity and
operating profit and an increase in consolidated net
4
5
Hyster-Yale Materials Handling | 2019 Annual ReportHyster-Yale Materials Handling | 2019 Annual Report TO OUR STOCKHOLDERS
The Hyster® Big Truck range is built for demanding applications with heavy loads. A Hyster 32-12 Big Truck, with a lifting capacity of
32 tons, utilizes a side-shift fork positioner to store steel coils on a dock at a shipping port in Sweden.
income to $35 .8(1) million in 2019 from $34 .7 million in
2018 . The net income improvement was substantially
lower than the increase in operating profit because of
a significant increase in interest expense incurred on
higher borrowing levels and a substantial increase in the
Company’s tax rate as a result of the impact of several
tax reform provisions .
Core Strategies
To accomplish Hyster-Yale’s objective of providing
a wide range of high-value solutions to its customers,
the Company – which has three highly interrelated,
but independently managed, businesses – has six core
strategies that interact together . These strategies are
aimed at creating a unique and sustainable competitive
advantage in an environment that has a number
of transformational trends concentrated around
globalization, digitization, automation, electrification
and mass customization . Four of the Company’s
strategies – (i) provide the lowest cost of ownership
while enhancing productivity for customers; (ii) be the
leader in the delivery of industry- and customer-focused
solutions; (iii) be the leader in independent distribution;
and (iv) grow in emerging markets – are concentrated
around the Company’s core Lift Truck business, Hyster-
Yale Group . The remaining two strategies – (v) be the
leader in the attachments business and (vi) be a leader
in fuel cells and their applications – are specific to the
Bolzoni and Nuvera businesses . All of these strategies
are designed to increase market share growth and
profitability on a sustained basis .
To ensure that these strategies are effectively driving
the Company’s economic engine, the underlying
projects, which have been initiated over the last several
years, must be effectively executed . Many of these
projects are now moving toward completion . Further,
many of the projects supporting these strategies are
interrelated, and succeeding in one will foster success in
others . The projects cover a broad range of Hyster-Yale
activities, including product development, supply chain,
distribution enhancement, information technology,
manufacturing, sales and marketing . In 2020, each of
the businesses has several key primary growth drivers
that are focused on driving a significant near-term
increase in profits .
Our Core Business – Lift Trucks
The Company’s core business is its Lift Truck
business, Hyster-Yale Group, a well-established business
with two legacy brands, Hyster® and Yale® . The Hyster®
brand celebrated its 90th anniversary in 2019, and the
Yale® brand celebrates its 100th anniversary in 2020 .
Given this longevity, the Company has developed a
deep knowledge of the forklift market and the trends
surrounding it .
These trends drive the Company’s planning process,
beginning with its overall expectations for market
growth . In 2019, the global lift truck market softened,
(1) For purposes of this annual report, discussions about net income refer to net income attributable to stockholders .
5
Hyster-Yale Materials Handling | 2019 Annual Report declining approximately 2% with all markets reporting
decreases except Brazil and China . All product classes
also experienced year-over-year declines except the
lower-value Class 3 segment . The Class 3 segment grew
approximately 3%, a growth level which includes a
trend toward increased use of small motorized electric
trucks instead of manually operated trucks in the lift
truck market . Market levels are still robust, but the
overall market appears to be turning down at a rate
which is currently projected to be moderate and of
limited duration . Given this, the Company is currently
forecasting strong but lower forklift market levels in all
geographic segments in 2020 . The robust global market
is expected to continue over the next few years, with
demand expected to be at a relatively stable level . In
turn, this should permit a more efficient and profitable
production pattern for the Company going forward .
Current trends are also shifting with respect to
customer base and geographic location . While the
lift truck industry is a mature market that experiences
periods of cyclicality, this market has shown steady
growth over the years . Currently, several trends,
concentrated around globalization, digitization,
automation, electrification and mass customization
are providing opportunities for the industry to adapt
and change . Specifically, customers are focusing
on workforce availability, due in part to an aging
workforce and low unemployment, as well as safety
and productivity because of operator costs, all of
which have led to a need for more automated or
robotic products and an increased use of wireless
communications . In this environment of connectivity
and technological advancement, customers are also
more empowered, with buyers more knowledgeable
and more likely to use the internet as part of the
purchasing process .
These trends are contributing to a shift in product
applications, for a changing customer base, as industries
in the developed economies of North America and
Western Europe move away from manufacturing toward
warehousing and distribution due to the growth of
the e-commerce retail business . These changes have
contributed to a long-term secular shift away from
internal-combustion engine (“ICE”) trucks toward electric
trucks . This shift has been reinforced by environmental
concerns and regulations for cleaner power alternatives,
which encourage use of alternative power sources, such
as fuel cells and lithium-ion batteries .
Finally, global economic growth in a low-inflation,
increasingly high-employment environment has driven
an increased need for lower-cost products for lower-
intensity applications . This in turn has led to a greater
use of global supply chains to keep product prices
down, as well as the need for faster supplier responses,
including use of more modular platforms . The global
economy has also led to strong growth in emerging
markets . This change has shifted product demand
A Yale® NTA030 Turret truck is used in very narrow aisle retail
warehouse applications.
from standard to low-intensity use trucks in emerging
economies, which have different needs, value
propositions and applications .
These disruptive trends are changing customer
requirements and leading to new solutions . The
Company believes these changes are catalysts for
creating new value-adding opportunities for growth
and margin expansion . The Company’s strategies
are focused on providing transformational solutions
that meet these new requirements based on five
value proposition factors: safety, labor, energy, space
optimization and total cost of ownership .
In 2019, the Lift Truck business’ operating profit
rose to $85 .6 million from $67 .5 million in 2018, and
operating margin increased to 2 .7% from 2 .3% . Net
income increased modestly to $58 .3 million from $56 .7
million in 2018 . While 2019 results improved over the
prior year, profitability is still well below target levels
6
7
Hyster-Yale Materials Handling | 2019 Annual ReportHyster-Yale Materials Handling | 2019 Annual Report “Hyster-Yale continues to go beyond just manufacturing
high-quality forklift trucks, they provide innovative power and
technology solutions that allow us to improve productivity
while keeping our employees safe. They are a true partner.”
A national Yale® paper customer
largely because of the investments the Company is
making for the benefit of future years, as well as supply
chain constraints . Looking forward, the Company
believes the three- to four-year path to increased
profitability is clear, and it is targeting achieving an
operating margin of 7% and return on total capital
employed (“ROTCE”) of 20% or more in the Lift Truck
business, up from 11 .9% in 2019 . The Company believes
the key to closing the gap in both of these financial
objectives lies in the focused execution of several key
projects which are critical to executing the Company’s
core strategies . Specifically for 2020, these include:
(i) Expanding product lines by: (a) laying the
groundwork for the start of production and
introduction of new modular and scalable product
lines; (b) expanding low-intensity use product lines
with Class 3 warehouse and Class 1 and 5 electric
and ICE counterbalanced products; (c) expanding
the Big Truck line, including the introduction of an
electrified Big Truck; and (d) introducing special
truck engineering (STE) electric truck and fuel
cell models .
(ii) Enhancing sales by increasing direct engagement
with larger customers using industry strategies; and
(iii) Enhancing the Company’s distribution network’s
performance .
Expanding Product Lines
The Company continues to develop solutions
tailored to deliver the lowest cost of ownership to
meet customers’ needs and help enhance customer
productivity . Hyster-Yale’s current core product portfolio
spans all five major product classes, and the Company
continues to invest in broadening its product range
by designing and developing low-intensity, standard
and premium products for its electric-rider, warehouse,
ICE and Big Truck product lines for all appropriate
market segments . Hyster-Yale Group currently has over
400 different forklift models in its range, including
Hyster-Yale Maximal models, with a full range of power
options, including various battery-powered and fuel
cell engine power options for its electric trucks, and
various ICE-powered options, including new Tier V
engines . The Company currently sells a high percentage
of its trucks with customized features to meet the
individual application needs of its customers . Having
the right product at the right price for each application
allows the Company to provide products and solutions
that consistently meet the specific needs of different
customers at appropriate margins, giving customers
the ability to move goods more efficiently and cost-
effectively at a lower life-cycle cost . Using this approach,
the Company has and continues to develop new
Left: A Yale® MO5.0T electric robotic tow tractor equipped with “Driven by Balyo” technology can tow up to 10,000 pounds and
autonomously navigate through warehouse environments. ▲ Right: A Yale® second-level order picker lift truck, being used in a food
distribution warehouse, allows access to an increased number of SKUs.
7
Hyster-Yale Materials Handling | 2019 Annual Report
products for many market segments that are expected
to support its customers’ value propositions and
increase its market share .
At the core of these projects is a transformative set
of new modular and scalable product families covering
both ICE and electric trucks, which are designed to
provide enhanced flexibility for meeting customers’
specific application needs while lowering the customers’
total cost of ownership . The introduction of the first of
these products is expected in the second half of 2020
with the launch of a new range of counterbalanced
trucks . This range will be expanded in future years to
include larger counterbalanced capacities, Big Trucks
and warehouse trucks . These programs are expected
to require significant product development and capital
expenditures in 2020 and over the next couple of
years . They are also expected to lead to significant
changes in supply chain sourcing and in the Company’s
manufacturing processes in various manufacturing
facilities around the world . Increased component
commonality is expected to lead to global sourcing
from reliable partners at reduced costs and improved
quality as these new products are brought to market
over the next few years .
Another major product offering program is the
introduction of low-intensity use trucks manufactured
by Hyster-Yale Maximal in China which complement the
current global offering of standard and premium trucks
produced by Hyster-Yale outside of China . In addition,
the acquisition of HY Maximal added a wider offering
of standard lower-cost, China-produced products,
which have increased the Company’s participation in
emerging markets, including China .
The Company believes that the market for low-
intensity use product is approximately 30% of the
total market . Prior to acquiring Hyster-Yale Maximal,
the Company’s sales of these types of products were
limited, but now the Company has a significant growth
opportunity . Since the acquisition, a line of trucks from
Hyster-Yale Maximal has been designed to provide high-
quality and reliable lower-intensity use trucks for global
markets and standard trucks for the Chinese market .
Some of these trucks were launched in 2019 in selected
markets and are being launched globally over 2020
under the Hyster® UT and Yale® UX brands to serve lower-
intensity customer applications . The launch began with
the 2- to 3 .5-ton Class 5 ICE truck in the JAPIC, Brazil and
Latin America markets during the 2019 fourth quarter
and is expected to expand over the course of 2020 to all
countries and to include electric trucks .
The Company also plans to introduce low-intensity
Class 3 warehouse trucks in 2020 to meet the needs
of the relatively fast-growing Class 3 market . This
growth is being driven partially by a shift from manually
operated forklift trucks to low-cost, low-intensity Class
3 products produced in China . The Company’s growing
range of Class 3 warehouse trucks will be branded
UT/UX and made available globally over time to meet
market needs .
Much of the Hyster® and Yale® low-intensity product
development is being done by Hyster-Yale Group’s
Emerging Market Development Center (“EMDC”), which
is co-located in the HY Maximal facility . The EMDC has
engineers mainly in China and at Hyster-Yale’s facilities
in India . The EMDC is a key element of a broader strategy
of having a presence in China focused on developing a
Left: The recently introduced Hyster® 3.0 UT low-intensity, pneumatic-tire lift truck, with capacity up to 3.0 tons, is shown moving crates
in a warehouse in Turkey. ▲ Right: The Hyster-Yale Maximal assembly line in Fuyang, China, which uses Hyster-Yale’s demand-flow
technology manufacturing process, assembles low-intensity, internal-combustion engine lift trucks for supply both locally and globally.
8
9
Hyster-Yale Materials Handling | 2019 Annual ReportHyster-Yale Materials Handling | 2019 Annual Report The new 52-ton capacity Hyster® laden container handling electric truck is currently located at the Company’s testing facility in Weeze,
Germany. This truck, powered by a hybrid system that utilizes both a lithium-ion battery and fuel-cell engine, awaits shipment to the
Port of Los Angeles to begin its testing phase.
core competency in the design of products that meet
low-intensity requirements, particularly for emerging
markets . EMDC activities are not only an opportunity
to execute the low-intensity strategy, but also a catalyst
for developing deeper competencies in low-intensity
design and additional options for developing sources
for both components and complete products to
improve the Company’s global capabilities . As a result,
the Company now intends to expand on its original
product plans through the introduction of additional
electric and higher-capacity counterbalanced low-
intensity products .
The Company is also expanding its Big Truck line
in 2020 . In addition to developing higher-capacity,
low-intensity trucks in China, the Company also has
a partnership with a local India company for the
production of its large reach stacker product for that
market . This partner is expected to increase local
production of larger, low-intensity lift trucks as well .
A key program in 2020 will add electrified Big Truck
products to the lineup, including a new 7- to 9-ton, dual-
mode (economy and premium performance), lithium-
ion counterbalanced truck for the global market, which
is expected to be launched in late 2020 . This truck will
complement the lower-capacity 2- to 3 .5-ton version to
be launched in early 2020 . Other small truck models are
expected to be launched later in 2020 .
Electrification is a transformational trend as well
since it provides a more environmentally sustainable
and a generally lower cost of operation solution . Using
significant advancements in electric technology,
high-productivity trucks, which use electric truck
components and power solutions, including hydrogen
fuel cells and lithium-ion batteries depending on the
application, can now be designed more ergonomically .
Among other trucks, the Company is in the process of
electrifying a 52-ton laden container handler for the Port
of Los Angeles using a hybrid system that utilizes both
lithium-ion batteries and fuel-cell engines . This truck is
expected to begin testing at the Port of Los Angeles in
the first half of 2020 . The Company is also electrifying
a 16-ton truck with lithium-ion batteries and a high-
voltage electric power train for the Port of Los Angeles .
In combination with expanding electrification
options, Hyster-Yale Group anticipates introducing a
new generation of fuel cell battery box replacements
(“BBRs”) for Class 1, 2 and 3 forklift trucks over the next
few years, beginning with the first model in the second
quarter of 2020 . These are expected over time to move
the Hyster-Yale fuel cell BBR business to break-even .
9
Hyster-Yale Materials Handling | 2019 Annual Report In addition, the Company is launching a new Reach
Truck for the Americas market late in the first quarter of
2020 . To further enhance productivity for its customers,
Hyster-Yale Group is continuing to develop automation
solutions for warehouse trucks, initially in combination
with industry partners . While some of these products
are already in the market today, new solutions for new
customers are expected to be developed progressively
over the next several years . Hyster-Yale Group also
continues to expand sales of telemetry products, with
new generations of lift trucks offering a fully integrated
telematics solution . These new products and solutions,
as well as a number of other new products launched in
2019, are expected to contribute to market share gains
and improved revenues and to enhance operating
margins in 2020, with their full impact reached over
the next two to three years .
Yale Group has made substantial expense investments
in its sales and marketing organizations to enhance
customer coverage and industry strategies through
teams aligned with industry groupings . With these
capabilities now in place, spending on this program
is close to mature levels . Within marketing, industry-
focused resources have been added to develop and
manage the industry strategies . The industry strategies
are largely complete for North America and are being
tailored in 2020 to meet the high-priority needs of
groups of countries around the world . To support
execution of these industry strategies, Hyster-Yale
Group has invested in additional industry-focused
sales capabilities to enhance its success with accounts
that are too small to be handled as National Accounts,
but that are too big for most dealers to compete for
effectively . This industry-focused structure, and the
Hyster-Yale offers a full range of products and solutions for a variety of industry applications. ▲ Left: A Hyster® 60XT, with a lifting capacity
of 6,000 pounds, moves steel plates in a steel manufacturing facility. ▲ Middle: A Yale® 2.5VX premium Veracitor lift truck moves a pallet of materials
at a chemical plant. ▲ Right: A Hyster® J50, with a 5,000-pound capacity, moves cardboard at a paper and packaging facility.
Industry Approach
Customers are increasingly more knowledgeable
about their own application needs . As a result, they
expect their suppliers to be, as well . The Company
believes that detailed attention to customer needs is
a key way to gain a sustainable and profitable leading
position in the marketplace . The Company is committed
to understanding customer pain points and delivering
value-proposition solutions that provide performance
and quality at an appropriate cost to address these
pain points . To do this effectively, the Company has
implemented an industry-focused approach that
provides a full range of detailed products and solutions
for specific industry and customer applications .
To ensure that the full impact from the many
product programs outlined above is realized, Hyster-
related HY Impact selling system supporting it, has been
highly successful in the National Account direct sales
program and is now being deployed at these other large
accounts . By increasing these internal resources for
direct engagement with the customer or by supporting
and augmenting dealer sales efforts, sales programs
are better assured of having the right sales materials,
messages and expertise to properly engage customers
and sell value-adding solutions effectively . These teams
are largely in place in North America, and to a lesser
degree in EMEA . Additional industry-focused sales
capabilities are expected to be added in EMEA and
other areas around the world over the next year . In total,
the Company believes that these investments will put
it in a position to be a leader in the delivery of industry-
and customer-focused solutions worldwide .
10
11
Hyster-Yale Materials Handling | 2019 Annual ReportHyster-Yale Materials Handling | 2019 Annual Report “Last year was challenging but rewarding overall for the
Hyster-Yale dealer network, with better than expected
opportunity in many segments of the industry…”
Coit Edison, Chief Operating Officer, MH Equipment,
Dealer representing both Hyster® & Yale® in the Central United States
Enhancing Distribution Network Performance
The Company believes that independent dealers
committed to investments in technology, service
optimization, personnel development, facilities and
equipment will provide superior customer satisfaction
and a distinct competitive advantage through their
local knowledge and entrepreneurial activities .
However, these objectives require alignment with
the Company’s core strategies and significant dealer
economies of scale . A core objective is to have dealers
that are fully capable of maximizing the potential of the
Hyster® and Yale® brands, and leveraging Nuvera® and
Bolzoni® products in their territories . The Company is
committed to collaborating with its dealer partners to
enhance performance in all areas of their businesses,
including management, equipment sales, parts, service,
rental, leasing and remarketing, to help them exceed
expectations of their customers, achieve profitable
growth and create competitive differentiation . Over
the past several years, focus on dealership succession
planning has intensified, resulting in an increased
number of network consolidations . A recent example
was assisting a dealer, Alta Equipment, which became
a new, publicly traded company on the New York Stock
Exchange in February 2020, facilitate the acquisition of
Northland Industrial Truck (“NITCO”), another Hyster-Yale
dealer . NITCO was in need of a viable succession plan and
this acquisition helped to solidify network succession
across several key markets . Alta’s listing and acquisition
of NITCO, as well as other planned acquisitions are all
growth initiatives and part of Alta’s long-term succession
plan . The Company believes that the strength of
formalized succession plans and their execution will
mitigate risks of distribution disruption . The Company
will continue to work closely with its dealers to help
facilitate these transactions when needed .
Hyster-Yale has been collaborating with its dealers
on initiatives to recruit, train, develop and retain
qualified service technicians, while working with
trade schools, community colleges and high schools
to create awareness around career opportunities
within the material handling industry and within the
dealer network .
In 2019, the Company moved its regional head-
quarters to Singapore to better serve and support its
dealer network in Asia . Also, with the additional capabil-
ities available as a result of the HY Maximal presence in
JAPIC, the Company is applying its expertise to expand
HY Maximal’s global coverage and enhance its dealer
performance in both emerging and developed markets .
Left: Agravis Technik is a Hyster® anchor dealer in Germany. ▲ Right: TSM Global, established in 2014, is a dual-branded Hyster® and
Yale® dealer in Istanbul, Turkey.
11
Hyster-Yale Materials Handling | 2019 Annual Report To help these projects have maximum impact, the
Company may invest in enhanced digital customer
experience systems over the next few years . Taken
together, these projects should help the Company
enhance its already strong dealer network around
the world .
Graphical representation of the process to improve
dealer performance.
Our Attachment Business – Bolzoni
The Company expects to build its leadership in
the attachments business through Bolzoni, a stand-
alone company within Hyster-Yale . Bolzoni is highly
complementary to the Company since it significantly
enhances the Company’s ability to offer tailored
customer solutions . Bolzoni is committed to meeting
the attachment and material-handling needs of a
broad range of lift truck customers, which include
many leading global lift truck manufacturers . For end
customers, the attachment purchase is a key aspect of
a lift truck purchase because the attachment is directly
handling their goods . Bolzoni focuses on ensuring that
the attachment has all the appropriate capabilities to
move those goods undamaged and with maximum
efficiency . Bolzoni expects to achieve enhanced industry
leadership by improving productivity and reducing
costs for customers through the design, production
and distribution of a wide range of products utilized in
industrial materials handling .
In 2019, Bolzoni ended the year with revenues of
$345 .4 million down modestly from $349 .0 million in
2018 . Unfavorable currency movements, a weakening
EMEA market and component supply shortages more
than accounted for this decline .
Bolzoni is pursuing key projects aggressively to
improve its sales and margins and expand its global
market position . One of these key projects is aimed
at strengthening Bolzoni’s ability to serve the North
America market by having responsibility for the former
Hyster-Yale Group Sulligent plant, where it is now
manufacturing attachments, as well as continuing the
plant’s support of Hyster-Yale Group through the supply
of cylinders and various other components . In 2019,
Bolzoni phased out production at its Homewood, Illinois
facility and completed the shift of manufacturing to
Sulligent . The $2 .5 million spent on restructuring in
Hyster-Yale’s leadership in the attachments business core strategy is synergistic to its other core strategy of providing customer- and
industry-focused solutions. ▲ Left: A Bolzoni® paper roll clamp on a Hyster J5.5XN electric lift truck moves paper rolls at a European
paper facility. ▲ Right: A Bolzoni block clamp, attached to a Yale® Veracitor® 40VX premium internal-combustion engine lift truck moves
cement blocks at an outdoor location.
12
13
Hyster-Yale Materials Handling | 2019 Annual ReportHyster-Yale Materials Handling | 2019 Annual Report “For some time, we have been installing the Bolzoni® attachments
Silver Line series on our Yale® lift trucks...after about two years,
we are noticing that they are really giving us very satisfactory
results as far as strength and wearing concerns.”
Mr. Nonni, NONNI Srl, Yale® Dealer, Florence, Italy
2019 was a key driver of the decrease in Bolzoni’s net
income to $2 .8 million in 2019 from $5 .8 million in 2018 .
Bolzoni does not anticipate any further restructuring-
related costs in 2020 .
The North America market, where Hyster-Yale
Group has a strong presence and Bolzoni is less strong,
provides a large opportunity for growth . To help capture
this, Bolzoni plans to introduce a broader range of
locally produced attachments with shorter lead times,
supported by industry-specific marketing . Bolzoni is
currently increasing its sales, marketing and product
support capabilities in North America around this
industry-specific approach . Further, it is establishing
a small assembly facility in Brazil to serve the Latin
America market .
Bolzoni is working to transform its business globally
through the centralization of various company functions
to drive global activity and improve efficiencies .
It continues to implement programs to enhance
attachment sales, including increasing awareness of
Bolzoni’s products among large end users by partnering
with Hyster-Yale’s National Accounts group and offering
customers the option to have Bolzoni attachments
installed on trucks as part of the manufacturing process
to increase quality and reduce lead times .
In addition, Bolzoni has developed a China-sourced
standard product line to supplement its premium series
and plans to continue to expand this line . In the growing
automation market, Bolzoni is also designing and
manufacturing sophisticated attachments which can be
used on automated guided vehicles . These high-tech
attachments are expected to transform the capabilities
of the current range of products . Bolzoni’s current
premium line of products coupled with its standard
products and its industry-focused support activities
are expected to give Bolzoni the ability to increase its
sales significantly in the JAPIC, EMEA, and especially, the
Americas regions . These new programs are expected
to increase Bolzoni’s market position and profitability,
particularly over the next two to three years . As these
programs mature, the Company anticipates Bolzoni will
achieve its 7% operating profit margin target .
Our Hydrogen Power Business – Nuvera
The Company aims to maintain and build further
its technological leadership in fuel cells and their
applications through its Nuvera Fuel Cells business .
The Company’s vision is to establish Nuvera as the
preferred provider of heavy-duty fuel cell engines for
zero-emissions mobility customers . The Company
views its ownership of Nuvera as a transformational
opportunity to be a global leader in a key emerging
technology that can provide enhanced productivity for
certain forklift truck applications, as well as meet new
emissions solutions that are desirable or required in
other industries . Achieving this objective continues to
be reinforced by customer opportunities in the forklift
industry and by strong, global interest in Nuvera®
products by third parties in other industries, particularly
in China . Nuvera believes this interest can be a
significant and profitable near- to medium-term growth
opportunity . Development funding associated with
third-party Chinese development agreements partly
offset production costs for engines, which resulted in a
modestly lower operating loss of $36 .3 million in 2019
compared with $38 .3 million in 2018 . Nuvera’s 2019 net
loss of $25 .2 million was also lower than in 2018 . Nuvera
is focused on continuously improving the quality and
cost of its fuel cell engines, with performance and cost
expected to reach near-term target objectives over
the next two years . To improve its cost base, Nuvera is
focused on standardizing its components, developing
low-cost suppliers and automating various elements of
stack production . Robotic stack assembly lines have been
in development for some time, and Nuvera brought the
first online during the fourth quarter of 2019 .
Nuvera is approaching the point where it will
move from being a venture business focusing on
commercializing leading technology to a product-
based company serving not only the forklift truck
market, but also heavy-duty applications, such as buses,
trucks and automobiles, with an expanding line of
products . Nuvera expects its core technology to move
to a new generation of fuel cell stack design in 2020,
with broad applications in each of these markets . In
13
Hyster-Yale Materials Handling | 2019 Annual Report Left: The new Nuvera® 45kW engine that is being used in the electrified Big Truck for the Port of Los Angeles. ▲ Right: The same Nuvera®
45kW engine will be used in new heavy-duty applications, including, as shown, by a bus in China going through testing of this engine
for an Asian customer.
2019, Nuvera completed the transfer of responsibility
for development of non-fuel cell engine components
and the overall assembly of Class 1 and Class 2 BBRs
to Hyster-Yale Group . As a result, Nuvera is now
focused entirely on fuel cell stacks and engines . Nuvera
continues to work closely with Hyster-Yale Group on
implementing the next generation of fuel cell stack
technology in the new fuel cell BBRs that Hyster-Yale
plans to introduce in the second quarter of 2020, as
well as in trucks with integrated fuel cell engines, which
will begin to be available in late 2020 .
While commercialization of these products has
taken longer than anticipated, the Company is pleased
with the competitiveness of the innovative design in
Nuvera’s core technologies, which has led to partnership
opportunities in heavy-duty vehicles . These heavy-duty
vehicle applications are expected to bring the volumes
needed to help Nuvera reach the economies of scale
to further reduce its costs significantly . During 2019,
Nuvera successfully certified its first 45kW engine in
China, and vehicle certification is now in process . Fuel
cell stacks used in these engines will be manufactured
exclusively by Nuvera, initially at its facility in Billerica,
and then localized in China at a dedicated facility within
HY Maximal in the late 2020 to 2021 period .
In addition, Nuvera and Hyster-Yale Group were
selected to partner with the Center for Transportation
and the Environment, in conjunction with the California
Air Resources Board, on a project for the Port of
Los Angeles . This project involves demonstrating
the operation of a Hyster® 1150-CH Top-Loader Big
Truck using an electrified power train and Nuvera’s
Orion®-based 45kW fuel cell engine . This is the first
demonstration of Nuvera’s easily integrated, high-power
fuel cell engines for use in OEM products .
As Nuvera ramps up production of fuel cell stacks
and engines and leverages its partnership opportunities,
Nuvera’s objective is to reduce its loss in 2020 and to
then achieve break-even . In the longer term, Nuvera is
expected to contribute substantially to the Company’s
overall earnings .
A Forward-Looking Perspective
Hyster-Yale believes it is at an inflection point in
its business . The Company is undergoing a significant
transformation through the execution of projects
supporting its six core strategies, and the return from
these investments is expected to increase over the
next three to four years . Results in 2019 reflected
continued investment in the Company’s core strategies
and progress on their execution . In 2020, the Company
expects the maturation of these investments to begin,
and, as a result, 2020 operating profit and net income
are expected to increase significantly over 2019 .
However, the Company’s projects are structured as
multi-year projects . While the Company is mindful
of near-term results, its focus is on achieving its 7%
operating profit margin target in the next three to four
years . The Company believes many forces are at work,
ranging from globalization to mass customization,
14
15
Hyster-Yale Materials Handling | 2019 Annual ReportHyster-Yale Materials Handling | 2019 Annual Report that are providing the opportunity for Hyster-Yale to
transform itself significantly over the next few years .
At each of its three businesses, the investments being
made are expected to lead to increased operating profit
in future years through higher volumes, decreased
product costs and improved pricing, partially offset by a
higher level of operating expense .
Lift Trucks: With the increasing momentum and
maturity of its core strategies, the Company believes
it can attain the required volume of 122,000 units
produced in Hyster-Yale factories to achieve its financial
objectives . Although Hyster-Yale Group’s 2019 operating
profit margin was below its 7% target, the path to
increased profitability is clear . The Company expects
operating margins to improve as it increases volume
and leverages its fixed costs and operating expenses .
In the near term, Hyster-Yale Group’s operating profit
is expected to improve significantly in 2020 over
2019 . Results in the first half of the year are expected
to be higher than the first half of 2019, with further,
substantial improvement expected in the second half
of the year compared with both the second half of 2019
and the first half of 2020 .
finalized in a way that does not significantly harm the
Company’s business prospects . In addition, in the near
term, the Company is closely monitoring and responding
to the challenges of the coronavirus situation .
Attachments, Forks and Lift Tables: The Company
believes Bolzoni has significant upside sales and profit
potential with its new product and industry-support
plans, particularly in the Americas market . Bolzoni’s
operating profit is expected to improve in 2020, with
further improvements in the following years leading to
achievement of its 7% operating profit margin target .
Hydrogen Power: Nuvera is still incurring
significant losses, but has a clear path forward to profit
improvement . Nuvera’s results are expected to improve
in 2020 over 2019, with shipments expected to ramp
up in the second half of 2020 . Results are expected to
improve significantly at Nuvera over the 2021 to 2023
time period .
Corporate Responsibility: The Company believes
that embracing social, environmental and economic
health in every part of its organization will serve the
long-term best interests of the Company’s stockholders,
while contributing benefits to the Company’s customers
“[We] started out as ‘just’ a customer of Hyster-Yale.
Two years ago [we] took the step to hydrogen fuel
cells. Working directly with Yale and Nuvera, using our voice
as a customer [we have added input to] improve fuel cell
reliability and future designs. [We] now feel truly part of
a team and the real Yale experience!
A Nuvera® fuel cell engine customer
In 2020 and 2021, a large number of Hyster-Yale
Group’s key projects are expected to have reached
completion . The Company believes the increasing
impact of these projects can lead to increasing
profitability for several years to come . The remainder
of the projects are expected to reach maturity mainly
in 2022 and 2023, although a few, particularly those
involving dealer structure and excellence, are more
in the nature of continuous improvement projects
rather than projects which reach maturity at a given
time . Further improved results are expected with
significant increases through 2023 . Hyster-Yale Group’s
objective is to achieve its target of 7% operating profit
margin during this period assuming reasonable market
conditions continue and that the Brexit transition is
and the communities in which it operates . Hyster-Yale
has established specific cost-effective corporate targets
through its 2026 Vision program that will reduce the
Company’s impact on the environment and conserve
natural resources . Hyster-Yale’s Corporate Responsibility
report is available at www .hyster-yale .com and
describes the Company’s commitment to promote a
responsible culture throughout the business and its
product value chain as it moves toward its 2026 Vision .
Valuation: Hyster-Yale’s objective is to create
shareholder value in all of its business units . The
Company is optimistic about its future and believes it
offers a compelling investment opportunity over the
next three to four years because of the strategies it has
in place and its expectations for the execution of its
15
Hyster-Yale Materials Handling | 2019 Annual Report Hyster-Yale Materials Handling | 2019 Annual Report
Hyster-Yale Materials Handling | 2019 Annual Report
key projects over the next few years . However, if all of
the businesses are viewed as one, traditional valuation
metrics can be misleading . The Company believes
its valuation is better thought of as the sum of the
separately assessed values of each of its businesses .
Hyster-Yale Group and Bolzoni are mature businesses
focused on creating value by increasing unit volume and
market share through the execution of core strategies .
Nuvera, on the other hand, is a developing-technology
business focused on commercializing products that are
complementary and additive to the Lift Truck business
and have other industry product applications, as well .
The use of hydrogen as an alternative and clean energy
source is growing and the Company’s objective is to
be a key player in this industry over the long term . As
a result, given the stage of the commercialization of
Nuvera’s products, the Company believes this business
should be valued independently as a venture business .
Dividend and Uses of Cash: In 2019, the Company
increased its annual dividend 2 .4% to $1 .27, or 31 .75
cents per share on a quarterly basis . In the future, the
Company may consider additional dividend increases
as well as share repurchases at prices attractive to
its stockholders .
We believe that a solid balance sheet, financial
flexibility and a good cash position, combined with
our business strategy, reinforces our commitment to
stockholder returns over time and makes Hyster-Yale
a compelling long-term investment opportunity . By
clearly articulating and executing our core strategies in
each of our businesses, we believe an enhanced market
multiple valuation should be reasonable over time .
We have great confidence in the ability of our
management team to achieve the Company’s financial
objectives in the years ahead as our many experienced
and highly motivated professionals build on the
Company’s 2019 financial results .
▲ ▲ ▲
In closing, we would like to note, with sadness, the
death of John Stropki last spring, who contributed
significantly to the Hyster-Yale Board of Directors
beginning in 2013 . He is greatly missed by Hyster-Yale’s
Board and employees . We would also like to welcome
David Williams, who joined our Board in February 2020 .
We are privileged to have him on our Board .
We would also like to give special acknowledgment
to Colin Wilson, who retired in December 2019 as
President and Chief Executive Officer of Hyster-Yale
Group . Over his 30-year career with the Company, Colin
set an outstanding example of responsible leadership
and personable style . His approach had an especially
great impact over the last six years when Colin led
Hyster-Yale Group . We thank Colin for his commitment
and important contributions and wish him the very
best in his retirement .
Finally, we would like to take this opportunity
to thank all of our customers, dealers, suppliers and
stockholders for their continued support . Importantly,
we would also like to thank all of our employees for
their passion, continued hard work and commitment
to meeting the challenges of 2019, while continuing to
focus on our long-term goals and effectively executing
our transformative strategies and projects . We are
pleased with our 2019 sales accomplishments, but
disappointed that a strong year was negatively affected
by several external events . Our employees are working
diligently to enhance our results in 2020, and we look
forward to having our strategic projects increasingly
come to fruition so that we can celebrate great progress
in our journey to enhanced growth and profitability .
Over many years, we have earned the trust of our
customers who depend upon the performance of our
products and solutions every day . We look forward
to continuing to build on that success for many years
to come .
Alfred M. Rankin, Jr.
Chairman, President and Chief Executive Officer,
Hyster-Yale Materials Handling, Inc. and
Chairman, Hyster-Yale Group, Inc.
Rajiv K. Prasad
President and Chief Executive Officer,
Hyster-Yale Group, Inc.
This annual report to stockholders contains forward-looking statements . For a discussion of the factors that may cause the Company’s actual results to differ from
these forward-looking statements, please see page 32 in the attached Form 10-K .
16
PB
Hyster-Yale Materials Handling | 2019 Annual Report
Hyster-Yale Materials Handling | 2019 Annual Report
DIRECTORS AND OFFICERS
Directors and Officers of Hyster-Yale Materials Handling, Inc.
Directors:
Officers:
Alfred M. Rankin, Jr.
Chairman, President and Chief Executive Officer
Rajiv K. Prasad
President and Chief Executive Officer,
Hyster-Yale Group, Inc.
Gregory J. Breier
Vice President, Tax
Brian K. Frentzko
Vice President, Treasurer
Jennifer M. Langer
Vice President, Controller
Anthony J. Salgado
Chief Operating Officer, Hyster-Yale Group, Inc.
Kenneth C. Schilling
Senior Vice President and Chief Financial Officer
Suzanne S. Taylor
Senior Vice President, General Counsel and Secretary
James B. Bemowski
Retired Vice Chairman of Doosan Group
J.C. Butler, Jr.
President and Chief Executive Officer, NACCO Industries, Inc.
and The North American Coal Corporation
Carolyn Corvi
Retired Vice President and General Manager –
Airplane Programs of The Boeing Company
John P. Jumper
Retired Chief of Staff, United States Air Force
Dennis W. LaBarre
Retired Partner, Jones Day
H. Vincent Poor
Michael Henry Strater University Professor of Electrical
Engineering of Princeton University
Alfred M. Rankin, Jr.
Chairman, President and Chief Executive Officer of
Hyster-Yale Materials Handling, Inc.
Chairman of Hyster-Yale Group, Inc.
Non-Executive Chairman of NACCO Industries, Inc.
Non-Executive Chairman of Hamilton Beach Brands
Holding Company
Claiborne R. Rankin
Manager of NCAF Management, LLC, the managing member
of North Coast Angel Fund, LLC
Britton T. Taplin
Self-employed (personal investments)
David B.H. Williams
Partner, Williams, Bax & Saltzman, P.C.
Eugene Wong
Professor Emeritus of the University of California at Berkeley
Executives and Officers of Hyster-Yale Group, Inc. and its Subsidiary Companies
Alfred M. Rankin, Jr.
Chairman
Rajiv K. Prasad
President and Chief Executive Officer
Gregory J. Breier
Vice President, Tax
Brian K. Frentzko
Vice President, Treasurer
Patrice G. Groisiller
Vice President, Product Platforms
Tracy S. Hixson
Vice President, Global Supply Chain
Stephen J. Karas
Vice President, President Asia Pacific
Jennifer M. Langer
Vice President, Controller
David M. LeBlanc
Vice President, Strategy, Planning and Business Development
Charles F. Pascarelli
Senior Vice President, President, Americas
Lucien M.J. Robroek
Chief Executive Officer of Nuvera Fuel Cells, LLC
Anthony J. Salgado
Chief Operating Officer
Harry Sands
Senior Vice President, Managing Director, Europe,
Middle East and Africa
Kenneth C. Schilling
Senior Vice President and Chief Financial Officer
Patric Schroeter
Vice President Finance, JAPIC
Roberto Scotti
President and Chief Executive Officer of Bolzoni S.p.A.
Gopichand Somayajula
Vice President, Global Product Development
Jon C. Taylor
President of Nuvera Fuel Cells, LLC
Suzanne S. Taylor
Senior Vice President, General Counsel and Secretary
Mark H. Trivett
Vice President Finance, Europe, Middle East and Africa
Raymond C. Ulmer
Vice President Finance, Americas
Guihai Wang
Vice President, President, China
Hyster-Yale maintains leading market share
positions in the Americas and worldwide
Hyster-Yale Materials Handling | 2019 Annual Report
Hyster-Yale Materials Handling | 2019 Annual Report
Hyster-Yale Materials Handling | 2019 Annual Report
Hyster-Yale Materials Handling | 2019 Annual Report
Corporate Information
Annual Meeting
Independent Registered Public Accounting Firm
CORPORATE INFORMATION
CORPORATE INFORMATION
The Annual Meeting of Stockholders of Hyster-Yale
Materials Handling, Inc. will be held on May 9, 2018,
at 9:00 a.m. at the corporate office located at:
5875 Landerbrook Drive, Cleveland, Ohio 44124
Annual Meeting
Annual Meeting
The Annual Meeting of Stockholders of Hyster-Yale
The Annual Meeting of Stockholders of Hyster-Yale
Materials Handling, Inc . will be held on May 19, 2020,
Materials Handling, Inc. will be held on May 19, 2020,
at 2:00 p .m . at the corporate office located at:
at 2:00 p.m. at the corporate office located at:
5875 Landerbrook Drive, Cleveland, Ohio 44124
5875 Landerbrook Drive, Cleveland, Ohio 44124
Corporate Information
Independent Registered Public Accounting Firm
Independent Registered Public Accounting Firm
Form 10-K
Ernst & Young LLP
Ernst & Young LLP
950 Main Avenue, Suite 1800
950 Main Avenue, Suite 1800
Cleveland, Ohio 44113
Cleveland, Ohio 44113
Stock Exchange Listing
Stock Exchange Listing
Additional copies of the Company’s Form 10-K filed
with the Securities and Exchange Commission are
available free of charge through Hyster-Yale’s website
(www.hyster-yale.com) or by request to:
Stock Exchange Listing
Market Positions
Market Positions
Form 10-K
Form 10-K
NACoal:
NACoal:
North American Coal is
North American Coal is
among the ten largest
among the ten largest
coal producers in the
coal producers in the
United States.
United States.
Coal is delivered from
Coal is delivered from
developed mines in North
developed mines in North
Dakota, Texas, Mississippi,
Dakota, Texas, Mississippi,
Louisiana, and within the
Louisiana, and within the
Navajo Nation in New
Navajo Nation in New
Mexico to adjacent or
Mexico to adjacent or
nearby power plants or
nearby power plants or
coal processing facilities.
coal processing facilities.
Annual Meeting
Annual Meeting
Additional copies of the Company’s Form 10-K filed
Additional copies of the Company’s Form 10-K filed
with the Securities and Exchange Commission are
with the Securities and Exchange Commission are
available free of charge through Hyster-Yale’s website
available free of charge through Hyster-Yale’s website
(www.hyster-yale.com) or by request to:
(www.hyster-yale.com) or by request to:
The Annual Meeting of Stockholders of NACCO
Industries, Inc. will be held on May 9, 2017, at
2:30 p.m. at the corporate office located at:
5875 Landerbrook Drive, Cleveland, Ohio 44124
Form 10-K
Investor Relations
Investor Relations
Hyster-Yale Materials Handling, Inc .
Hyster-Yale Materials Handling, Inc.
5875 Landerbrook Drive, Suite 300
5875 Landerbrook Drive, Suite 300
Cleveland, Ohio 44124
Cleveland, Ohio 44124
(440) 229-5168
(440) 229-5168
Additional copies of the Company’s Form 10-K filed
with the Securities and Exchange Commission are
available free of charge through NACCO Industries’
website (www.nacco.com) or by request to:
Form 10-K
Investor Relations
Stock Transfer Agent and Registrar
Stock Transfer Agent and Registrar
NACCO Industries, Inc.
5875 Landerbrook Drive, Suite 220
Cleveland, Ohio 44124
(440) 229-5130
Stockholder Correspondence:
Stockholder Correspondence:
Computershare
Computershare
P .O . Box 505000
P.O. Box 505000
Louisville, KY 40233-5000
Louisville, KY 40233-5000
Overnight Correspondence:
Overnight Correspondence:
Computershare
Computershare
462 South 4th St ., Suite 1600
462 South 4th St., Suite 1600
Louisville, KY 40202
Louisville, KY 40202
Stockholder Correspondence:
Computershare
P.O. Box 30170
College Station, TX 77842-3170
(877) 373-6374 (U.S., Canada and Puerto Rico)
(877) 373-6374 (U .S ., Canada and Puerto Rico)
(781) 575-2879 (International)
(781) 575-2879 (International)
Overnight Correspondence:
Computershare
211 Quality Circle, Suite 210
College Station, TX 77845
Stock Exchange Listing
Investor Relations Contact
Investor Relations Contact
Investor Relations
NACCO Industries, Inc.
5875 Landerbrook Drive, Suite 220
Cleveland, Ohio 44124
(440) 229-5130
E-mail: ir@naccoind.com
Stock Transfer Agent and Registrar
The New York Stock Exchange
Symbol: NC
The New York Stock Exchange
Symbol: NC
The New York Stock Exchange
The New York Stock Exchange
The Annual Meeting of Stockholders of NACCO
Symbol: HY
Symbol: HY
Industries, Inc. will be held on May 9, 2017, at
Investor Relations Contact
Investor Relations Contact
2:30 p.m. at the corporate office located at:
5875 Landerbrook Drive, Cleveland, Ohio 44124
Corporate Information
Investor Relations
Hyster-Yale Materials Handling, Inc.
5875 Landerbrook Drive, Suite 300
Cleveland, Ohio 44124
Investor questions may be addressed to:
(440) 229-5168
Hyster-Yale Materials Handling, Inc. Website
Hyster-Yale Materials Handling, Inc. Website
NACCO Industries Website
Stockholder Correspondence:
Computershare
P.O. Box 505000
Louisville, KY 40233-5000
Overnight Correspondence:
Computershare
462 South 4th St., Suite 1600
Louisville, KY 40202
Investor Relations
NACCO Industries, Inc.
5875 Landerbrook Drive, Suite 220
Cleveland, Ohio 44124
(440) 229-5130
Investor questions may be addressed to:
Investor questions may be addressed to:
Investor Relations
Investor Relations
Investor Relations
Hyster-Yale Materials Handling, Inc.
Hyster-Yale Materials Handling, Inc .
Additional copies of the Company’s Form 10-K filed
NACCO Industries, Inc.
5875 Landerbrook Drive, Suite 300
5875 Landerbrook Drive, Suite 300
with the Securities and Exchange Commission are
5875 Landerbrook Drive, Suite 220
Annual Meeting
Cleveland, Ohio 44124
Cleveland, Ohio 44124
available free of charge through NACCO Industries’
Cleveland, Ohio 44124
The Annual Meeting of Stockholders of NACCO
(440) 229-5168
(440) 229-5168
website (www.nacco.com) or by request to:
(440) 229-5130
Industries, Inc. will be held on May 16, 2018, at
E-mail: ir@hyster-yale.com
E-mail: ir@hyster-yale.com
E-mail: ir@naccoind.com
11:00 a.m. at the corporate office located at:
5875 Landerbrook Drive, Cleveland, Ohio 44124
Independent Registered Public
Accounting Firm
Ernst & Young LLP
950 Main Ave., Suite 1800
Cleveland, Ohio 44113
NACCO Industries Website
Additional information on Hyster-Yale may be found at the
Additional information on Hyster-Yale may be found at the
Stock Exchange Listing
Form 10-K
Additional information on NACCO Industries
corporate website, www.hyster-yale.com . The Company
corporate website, www.hyster-yale.com. The Company
The New York Stock Exchange
Additional copies of the Company’s Form 10-K filed
may be found at the corporate website,
considers this website to be one of the primary sources of
considers this website to be one of the primary sources of
Symbol: NC
with the Securities and Exchange Commission are
www.nacco.com
www.nacco.com. The Company considers this
information for investors and other interested parties .
information for investors and other interested parties.
available free of charge through NACCO Industries’
website to be one of the primary sources of
Investor Relations Contact
(877) 373-6374 (U.S., Canada and Puerto Rico)
website (www.nacco.com) or by request to:
Hyster Global:
Hyster Global:
Stockholder Correspondence:
information for investors and other interested
Investor questions may be addressed to:
(781) 575-2879 (International)
Investor Relations
Computershare
parties.
Investor Relations
NACCO Industries, Inc.
Legal Counsel
P.O. Box 30170
NACCO Industries, Inc.
5875 Landerbrook Drive, Suite 220
www.yale.com
www.yale.com
Jones Day
Subsidiary Company Websites
5875 Landerbrook Drive, Suite 220
College Station, TX 77842-3170
Cleveland, Ohio 44124
North Point
Cleveland, Ohio 44124
The websites for NACCO’s subsidiaries are
Nuvera Fuel Cells:
Nuvera Fuel Cells:
Overnight Correspondence:
(440) 229-5130
901 Lakeside Avenue
www.nuvera.com
www.nuvera.com
(440) 229-5130
as follows:
as follows:
Computershare
Cleveland, Ohio 44114
E-mail: ir@naccoind.com
Stock Transfer Agent and Registrar
Bolzoni:
Bolzoni:
Hamilton Beach Brands–U.S.:
Hamilton Beach Brands–U.S.:
211 Quality Circle, Suite 210
Stockholder Correspondence:
www.hamiltonbeach.com
www.hamiltonbeach.com
College Station, TX 77845
Computershare
www.proctorsilex.com
www.proctorsilex.com
P.O. Box 505000
www.commercial.hamiltonbeach.com
may be found at www.nacco.com
Louisville, KY 40233-5000
Hamilton Beach Brands–Mexico:
www.hamiltonbeach.com.mx
Weston Brands:
www.westonproducts.com
Kitchen Collection:
www.kitchencollection.com
North American Coal:
www.nacoal.com
Overnight Correspondence:
Computershare
McDermott Will & Emery LLP
462 South 4th St., Suite 1600
227 West Monroe Street
Louisville, KY 40202
Chicago, Illinois 60606
(800) 622-6757 (U.S., Canada and Puerto Rico)
(781) 575-4735 (International)
(800) 622-6757 (U.S., Canada and Puerto Rico)
(781) 575-4735 (International)
Subsidiary Company Websites
www.bolzonigroup.com
www.bolzonigroup.com
NACCO Industries Website
www.maxforklift.com
www.maxforklift.com
Hyster-Yale Maximal:
Hyster-Yale Maximal:
www.hyster.com
www.hyster.com
Yale Global:
Yale Global:
parties.
Stock Transfer Agent and Registrar
Stock Transfer Agent and Registrar
NACCO Industries, Inc. at a Glance
NACCO Industries, Inc. at a Glance
North American Coal Operations
3341_Cover.qxp_3341_Cov 3/8/17 3:54 PM Page 2
Hyster-Yale Materials Handling | 2019 Annual Report
Hyster-Yale Materials Handling | 2019 Annual Report
3341_Cover.qxp_3341_Cov 3/8/17 3:54 PM Page 2
Hyster-Yale
maintains leading
Principal Businesses
Principal Businesses
market share
positions in the
Americas and
companies.
North American Coal (“NACoal”)
North American Coal (“NACoal”)
Headquarters: Dallas, Texas
Headquarters: Dallas, Texas
North American Coal mines coal primarily
North American Coal mines coal primarily
for use in power generation and provides
for use in power generation and provides
value-added services for natural resource
value-added services for natural resource
companies.
NACoal Operations
worldwide
MINING
MINING
The Coteau Properties Company
Coyote Creek Mining Company
2016
Financial Results
2016
Financial Results
NACoal:
NACoal:
Revenues:
Revenues:
$111.1 million
Operating profit:
$111.1 million
Operating profit:
$5.6 million
Net income:
$5.6 million
Net income:
$8.2 million
Adjusted income:(1)
$8.2 million
Adjusted income:(1)
$25.4 million
Equity:
$25.4 million
Equity:
$105.6 million
Return on Equity:(1)
$105.6 million
Return on Equity:(1)
The Falkirk Mining Company
7.5%
Return on Capital
7.5%
NoDak Energy Services LLC
Return on Capital
Employed:(1)
Employed:(1)
5.2%
5.2%
Hamilton Beach Brands (“HBB”)
Hamilton Beach Brands (“HBB”)
Headquarters: Richmond, Virginia
Headquarters: Richmond, Virginia
HBB is a leading designer, marketer and
Bisti Fuels Company
HBB is a leading designer, marketer and
distributor of small electric household and
distributor of small electric household and
specialty housewares appliances, as well as
specialty housewares appliances, as well as
commercial products for restaurants, bars
Corporate Office
commercial products for restaurants, bars
and hotels.
and hotels.
HBB has a broad portfolio of some of the
HBB has a broad portfolio of some of the
most recognized and respected brands in
most recognized and respected brands in
the small electric appliance industry, including
the small electric appliance industry, including
Hamilton Beach®, Proctor Silex®, Hamilton
Hamilton Beach®, Proctor Silex®, Hamilton
Beach® Commercial and Weston®. HBB also
Caddo Creek Resource Company
HBB:
The Sabine Mining Company
HBB:
Revenues:
Revenues:
$605.2 million
Operating profit:
$605.2 million
Operating profit:
$43.0 million
★
Net income:
$43.0 million
Net income:
$26.6 million
Equity:
$26.6 million
Demery Resources Company
Equity:
$44.1 million
Return on Equity:(1)
$44.1 million
Return on Equity:(1)
51.1%
Return on Capital
51.1%
Camino Real Fuels
Return on Capital
Employed:(1)
Employed:(1)
30.5%
*
*
Contents
Beach® Commercial and Weston®. HBB also
sells products under licensed brands such
About the Company . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .1
sells products under licensed brands such
as Wolf Gourmet® and CHI®**.
Surface Coal Mining Operations
30.5%
Contents
Selected Financial and Operating Data . . . . . . . . . . . . . . . . . . . . . . . . .2
as Wolf Gourmet® and CHI®**.
Value-Added Services
Letter to Stockholders . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .4
Form 10-K . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17
Kitchen Collection
Directors and Officers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .112
Kitchen Collection
Headquarters: Chillicothe, Ohio
Corporate Information . . . . . . . . . . . . . . . . . . . . . . . . Inside Back Cover
Headquarters: Chillicothe, Ohio
Kitchen Collection is a national specialty
Cover Photo Captions . . . . . . . . . . . . . . . . . . . . . . . . . Inside Back Cover
retailer of kitchenware in outlet malls
Kitchen Collection is a national specialty
retailer of kitchenware in outlet malls
throughout the United States.
throughout the United States.
For 2016 Large Surface
Coal Mines Awarded to
Kitchen Collection:
Kitchen Collection:
Revenues:
Contents
Revenues:
$144.4 million
Operating profit:
$144.4 million
Operating profit:
$0.4 million
Net loss:
$0.4 million
Net loss:
$0.4 million
Equity:
$0.4 million
Equity:
$21.4 million
Return on Equity:(1)
$21.4 million
Return on Equity:(1)
(1.6%)
Return on Capital
(1.6%)
Return on Capital
Employed:(1)
Employed:(1)
(1.2%)
(1.2%)
Mission Statement:
To be an enhanced, globally integrated designer, manufacturer and marketer of a complete range of lift truck
solutions by leveraging its high-quality, application-tailored lift trucks, attachments and power solutions to offer
Coal Corporation
The Freedom Mine
The North American
the lowest cost of ownership and the best overall value.
(800) 622-6757 (U.S., Canada and Puerto Rico)
(781) 575-4735 (International)
Legal Counsel
Mississippi Lignite Mining Company
The Hyster® Jumbo Truck production line in Nijmegen, The Netherlands.
Legal Counsel
Legal Counsel
Jones Day
Jones Day
North Point
North Point
901 Lakeside Avenue
901 Lakeside Avenue
Cleveland, Ohio 44114
Cleveland, Ohio 44114
HBB:
HBB:
HBB is a leading company
HBB is a leading company
in retail and commercial
in retail and commercial
small appliances, with
small appliances, with
strong share positions in
Liberty Fuels Company
strong share positions in
many of the categories
many of the categories
in which it competes.
in which it competes.
HBB products are primarily
HBB products are primarily
distributed through mass
distributed through mass
merchants, national
merchants, national
department stores, whole-
department stores, whole-
sale distributors, other
sale distributors, other
retail sales outlets and
retail sales outlets and
the Internet.
About the Company . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
the Internet.
Selected Financial and Operating Data . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
Legal Counsel
New Operation Since 2010
North American Mining
North American Mining
Ernst & Young LLP
950 Main Ave., Suite 1800
Cleveland, Ohio 44113
McDermott Will & Emery LLP
227 West Monroe Street
Chicago, Illinois 60606
Letter to Stockholders . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
Form 10-K . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17
Directors and Officers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .114
Corporate Information . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Inside Back Cover
Discussion of Results . . . . . . . . . . . . . . . . . . . . . . . . . . . .1
Cover Photo Captions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Inside Back Cover
Selected Financial and Operating Data . . . . . . . . . . . . . 2
Letter to Stockholders . . . . . . . . . . . . . . . . . . . . . . . . . . .4
Form 10-K . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11
Kitchen Collection:
Kitchen Collection:
Kitchen Collection is
Kitchen Collection is
a leading specialty
a leading specialty
retailer of kitchen
retailer of kitchen
and related products
and related products
in outlet malls with
in outlet malls with
223 stores throughout
223 stores throughout
the United States at
the United States at
December 31, 2016.
December 31, 2016.
Directors and Officers . . . . . . . . . . . . . . . . . . . . . . . . . 118
Mission Statement: To be a leading, globally integrated designer,
Corporate Information . . . . . . . . . . . .Inside Back Cover
manufacturer and marketer of a complete range of lift truck solutions by
leveraging its high-quality, application-tailored lift trucks, attachments and power
solutions to offer the lowest cost of ownership and the best overall value.
29 trees pre
served for the
future
Independent Registered Public
Accounting Firm
Independent Registered Public
Accounting Firm
Ernst & Young LLP
Legal Counsel
950 Main Ave., Suite 1800
McDermott Will & Emery LLP
444 West Lake Street
Cleveland, Ohio 44113
Chicago, Illinois 60606
Inside Front Cover
Inside Front Cover
From bottom left to top: Hyster®: The Hyster® H170 series can handle up to 8 to 9 tons. One is
From bottom left to top: Hyster®: The Hyster® H170 series can handle up to 8 to 9 tons. One is
shown stacking pallets of wood in a European lumber operation. ▲ Yale®: The Yale® MP 20-25T
shown stacking pallets of wood in a European lumber operation. ▲ Yale®: The Yale® MP 20-25T
Rider Pallet truck series has a basic lifting capacity of 2 to 2.5 tons, and can be used to transfer
Rider Pallet truck series has a basic lifting capacity of 2 to 2.5 tons, and can be used to transfer
goods over a range of distances, such as moving cartons of produce in a food application as
goods over a range of distances, such as moving cartons of produce in a food application as
shown. ▲ Maximal® : A Maximal® Rough Terrain lift truck is available in 2- and 4-wheel drive,
shown. ▲ Maximal® : A Maximal® Rough Terrain lift truck is available in 2- and 4-wheel drive,
with lifting capacities ranging from 1.8 to 5 tons. ▲ Bolzoni Auramo: A Bolzoni Auramo Tissue
with lifting capacities ranging from 1.8 to 5 tons. ▲ Bolzoni Auramo: A Bolzoni Auramo Tissue
Clamp, attached to a Hyster® S155FT cushion tire lift truck with a lifting capacity up to 15,500
Clamp, attached to a Hyster® S155FT cushion tire lift truck with a lifting capacity up to 15,500
pounds (7 tons), is shown handling a large roll of tissue at a tissue manufacturing plant. ▲
pounds (7 tons), is shown handling a large roll of tissue at a tissue manufacturing plant. ▲
Meyer®: Bolzoni’s Meyer®-branded double-pallet handling fork attachment is shown moving
Meyer®: Bolzoni’s Meyer®-branded double-pallet handling fork attachment is shown moving
produce in a European food application by a Yale® European GP35VX internal-combustion
produce in a European food application by a Yale® European GP35VX internal-combustion
(cid:31)
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engine, pneumatic-tire lift truck. ▲ Nuvera®: The new fuel cell battery box replacement,
engine, pneumatic-tire lift truck. ▲ Nuvera®: The new fuel cell battery box replacement,
assembled by the Lift Truck business, uses the Nuvera® fuel cell stack.
assembled by the Lift Truck business, uses the Nuvera® fuel cell stack.
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B
Environmental Benefits
B
E
B
B
This Annual Report on Form 10K is printed using postconsumer waste recycled paper and vegetablebased inks.
B
B
By using this environmental paper, NACCO Industries, Inc. saved the following resources:
B
B
B
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Environmental Benefits
E
Environmental Benefits
Environmental Benefits
This Annual Report on Form 10K is printed using postconsumer waste recycled paper and vegetablebased inks.
E
E
By using this environmental paper, NACCO Industries, Inc. saved the following resources:
This Annual Report on Form 10K is printed using postconsumer waste recycled paper and vegetablebased inks.
This Annual Report on Form 10K is printed using postconsumer waste recycled paper and vegetablebased inks.
By using this environmental paper, NACCO Industries, Inc. saved the following resources:
By using this environmental paper, NACCO Industries, Inc. saved the following resources:
B
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The FSC® Trademark identifies wood fibers
coming from forests which have
been certified in accordance
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with the rules of the
Forest Stewardship Council®.
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The FSC® Trademark identifies wood fibers coming from forests which have been certified
pre
s
pre
11 trees pre
pre
s
pre
served for the
s
29 trees pre
11 trees pre
12,260 gal.
s
pre
future
pre
served for the
served for the
wastewater
s
s
future
future
flow saved
31 lbs. water
borne waste
83 lbs. water
31 lbs. water
not created
borne waste
borne waste
not created
not created
2,671 lbs. net
greenhouse
gases prevented
4,667 gal.
wastewater
12,260 gal.
4,667 gal.
flow saved
wastewater
wastewater
flow saved
flow saved
516 lbs.
solid waste
1,356 lbs.
516 lbs.
not generated
solid waste
solid waste
not generated
not generated
20,442,500
BTUs energy
not consumed
1,356 lbs.
solid waste
not generated
1,887 lbs. net
greenhouse
2,671 lbs. net
1,887 lbs. net
gases prevented
greenhouse
greenhouse
gases prevented
gases prevented
7,782,600
BTUs energy
20,442,500
7,782,600
not consumed
BTUs energy
BTUs energy
not consumed
not consumed
83 lbs. water
borne waste
not created
Cover Photo: The Coteau Properties Company’s Freedom Mine uses a Bucyrus-Erie 2570W dragline to remove overburden before the coal below is
mined. The Freedom Mine is North American Coal’s largest mining operation. The Freedom Mine operates three 2570 draglines, and each can remove
T
as much as 120 cubic yards of overburden in one bucket.
(1) This Annual Report contains references to non-GAAP financial measures. Presentations of, and quantitative reconciliations to, the most directly comparable financial
measures calculated and presented in accordance with U.S. generally accepted accounting principles (“GAAP”) appear on page 14.
(1) This Annual Report contains references to non-GAAP financial measures. Presentations of, and quantitative reconciliations to, the most directly comparable financial
measures calculated and presented in accordance with U.S. generally accepted accounting principles (“GAAP”) appear on page 14.
**Wolf Gourmet® is a registered trademark of the Sub-Zero Group, Inc.
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Ernst & Young LLP
950 Main Avenue, Suite 1800
Cleveland, Ohio 44113
Stock Exchange Listing
The New York Stock Exchange
Symbol: HY
Investor Relations Contact
Investor questions may be addressed to:
Investor Relations
Hyster-Yale Materials Handling, Inc.
5875 Landerbrook Drive, Suite 300
Cleveland, Ohio 44124
(440) 229-5168
E-mail: ir@hyster-yale.com
Hyster-Yale Materials Handling, Inc. Website
Additional information on Hyster-Yale may be found at the
corporate website, www.hyster-yale.com. The Company
considers this website to be one of the primary sources of
information for investors and other interested parties.
Hyster Global:
www.hyster.com
Yale Global:
www.yale.com
Nuvera Fuel Cells:
www.nuvera.com
Bolzoni:
www.bolzonigroup.com
Hamilton Beach Brands–Mexico:
www.hamiltonbeach.com.mx
sources of information for investors and other
On the Cover:
Weston Brands:
interested parties.
Top Right: Hyster's H90FT Fortis® internal combustion engine, pneumatic-tire lift truck has a basic lifting capacity of up to 9,000 pounds and is
www.westonproducts.com
North American Coal Website
equipped with a Bolzoni® paper roll attachment.
Kitchen Collection:
Additional information about North American
www.kitchencollection.com
Top Left: A Yale® NR040 Reach Truck for use in warehouse applications is available in basic lifting capacities between 3,500 and 4,000 pounds.
Coal may be found at www.nacoal.com.
North American Coal:
Bottom Right: A Yale® ERC50VG four-wheel, cushion-tire, electric counterbalanced lift truck powered by a Nuvera® fuel cell battery box replacement.
www.nacoal.com
Bottom Left: A Hyster® H115OHD-CH Dedicated Container Handler, equipped with a wide axle and capable of stacking containers six high, is shown
positioning a container at a port operation in California.
5875 Landerbrook Drive, Suite 300 | Cleveland, Ohio 44124 | www .hyster-yale .com
An Equal Opportunity Employer