Bandag Positive Despite 2006 Complications

Bandag EMEA has released a press statement in which they describe their outlook for 2007 as ‘optimistic’. Despite what the company describes as a difficult year for the business unit, with setbacks including the loss of their major fleet customer GE TIP, Bandag believes this year will be one of opportunities, with the growth of their dealer base in 2006, which reached 5.8 per cent, continuing this year.

The company’s stated main mission for this year is to reduce the operating costs incurred by end-user fleet customers, and Bandag believes its ‘Strategic Alliance’ with its dealers will make this aim a reality. The pending merger between Bandag and Bridgestone is also anticipated to allow both the retreader and tyremaker to make the most of their own strengths. Bridgestone Americas is expected to acquire Bandag during the second quarter of 2007. When the merger has been finalised, Bridgestone/Bandag will hold 34.4 per cent of the US truck tyre replacement market.

The past year has also seen the development and launch of several new tyre products, including those suited for winter and off road driving and for low profile tyres. With Bandag to be incorporated whole as a Bridgestone business unit the company is confident that 2007 will be a year in which Bandag continues to find success with its range of fleet programmes and applications.