Cooper And Pirelli Restructure Alliance (Update)

Cooper Tire & Rubber and Pirelli have announced the restructuring of their three-year-old alliance in the US market. The object is to improve the competitive strength of both companies and both agree that, while the alliance had proved generally positive, a new approach would be beneficial in pursuing separate brand strategies. From July 1st, Pirelli will resume responsibility for sales and customer servicing of the Pirelli brand in the USA, while Cooper will continue to manufacture certain sizes of Pirelli tyres for sale in the US, as well as providing logistics support.

The two companies will investigate the feasibility of Pirelli manufacturing selected UHP Cooper tyres in the future. It is intended that the transition regarding existing Pirelli dealers will be smooth, ensuring that customer service is not adversely affected. The changes in the alliance are mutually acceptable and both companies continue to regard themselves as partners in technical and other related matters.

D. Richard Stephens, President of Cooper Tire, and Francesco Gori, General Manager, Pirelli Tyre Worldwide, issued a joint statement, as follows: “Our companies have learned to know and appreciate each other since the beginning and are looking forward to a new and different phase of our alliance which will benefit customers for both brands.” Under the terms of the original alliance, signed in February 1999, Cooper managed the sales and distribution of tyres in the replacement markets of the USA, Canada and Mexico.