Goodyear Completes Purchase of Slovenia’s Sava Tires

Goodyear Tire & Rubber Company has completed its previously announced acquisition of the remainder of Sava Tires, a tyre manufacturing company in Kranj, Slovenia.

According to Goodyear chairman and chief executive officer, Robert J. Keegan, the purchase “strengthens the company’s position as the second-largest tyre maker in Europe and enhances its low-cost sourcing capabilities.”

“We are very pleased to complete our purchase of Sava Tires,” continued Mr Keegan.
“Sava Tires and its quality products are playing an important role in our success in Europe.”

Sava Tires exports more than 80 per cent of its production, the majority going to other European countries.

In the first quarter of 2004, combined sales for Goodyear’s two European based tyre businesses increased more than 20 per cent compared with the same period last year. And combined segment operating income increased to 144 per cent.

Goodyear acquired its original 60 per cent stake in Sava Tires in 1998, and bought an additional 20 per cent in 2002. This 80 per cent had previously been transferred to Goodyear Dunlop Tires Europe.