Goodyear sells NZ service network

Goodyear Tire & Rubber’s New Zealand unit, Goodyear & Dunlop Tyres, intends to sell its retail tyre and automotive service centre chain. The company is selling its 52 Beaurepaires outlets in New Zealand to local company Beau Ideal Ltd for an undisclosed amount. The deal is expected to close by the end of the month, the company said.

The centres and their 180 employees will shift to Beau Ideal, owned by TyreLine Distributors’ founder Grant Rushbrooke. Beau Ideal will also assume ownership of Goodyear’s local retail marketing and licensing programmes. Beau Ideal indicates it plans to continue operating and expanding Beaurepairs in New Zealand.

“We will continue to sell, distribute and offer through our wholesale distribution network the same outstanding consumer tyres for cars, 4WDs and light trucks, as well as commercial tyres for trucks and buses,” said Goodyear’s New Zealand sales and marketing director Campbell Gough. In a statement, the company also said: “The decision comes after a lengthy review of business strategy and a decision to focus the New Zealand business of marketing and wholesaling tyres, and improving services to tyre dealers and aviation customers.”

Goodyear’s New Zealand unit posted a 2011 loss of NZ$9.3 million (£5.0 million) against sales of $154 million (£82.7 million), according to its latest financial statements. Last June, the company announced that it would shift emphasis on consumer tyre sales to “enhance cost competitiveness and ensure long-term value and success.” Last year Goodyear also sold its Beaurepaires commercial tyre service business.