Conti could Issue 1.5 billion euros in Shares: Reuters Reports
Reuters reports have suggested that Continental will issue 1.5 billion euros’ worth of new shares before the end of the year in an attempt to “increase capital,” according to one unnamed source. Schaeffler had initially opposed the plan, since it will reduce the proportion of its shareholding in the company from approximately 90 per cent to 66 per cent. However, in light of a 10 billion euro debt incurred when Conti purchased VDO from Siemens, in addition to its own dedt-pile, Schaeffler now says that the company must “repair its balance sheet” before a merger takes place. The next supervisory board meeting, postponed by Continental until mid-October according to Reuters, could be interesting (see also ‘Schaeffler to Propose Prof Dr Ing Reitzle as Supervisory Chair’).
Continue ReadingSchaeffler to Propose Prof Dr Ing Reitzle as Conti Supervisory Chair
Continental AG announced today that the major shareholder, Schaeffler KG, will propose Professor Dr Ing Wolfgang Reitzle as the new chairman of the supervisory board, if he is appointed to the board of Continental AG. Maria-Elisabeth Schaeffler, owner of Schaeffler KG, endorsed the move: “We are very pleased that we have been able to persuade Professor Reitzle to take on this challenging mandate. He is the ideal person to tackle the tasks ahead at Continental AG. His profound knowledge of the industry and his international entrepreneurial experience are excellent prerequisites for this post. We have complete trust in him.”
Continue ReadingKlarius "Dragons'" Recruitment "Den" Offers Trials to Graduates
One of Europe’s largest automotive aftermarket manufacturers, Klarius has held a recruitment day inspired by the BBC television series, ‘Dragon’s Den’, in which promising graduates are given the opportunity to “pitch” themselves directly to the company’s board of directors. The day offered a variety of UK and European trial positions – which could potentially become permanent – for the successful candidates.
Continue ReadingApollo Tyres Outlines Global Top 10 Ambitions
Apollo chairman, Onkar S Kanwar is not one to avoid big statements when it comes to talking up Apollo Tyre’s ambitions. The Gurgaon-based company is currently estimated to be worth Rs 4,985-crore (£627 million) and is in an expansion mode. While the firm already has a presence in Europe and Africa, it seems it is continuing to look for acquisitions outside India as a route to increasing its presence in the global market.
Continue ReadingGambhir Opens Ambassadorship with MRF Tyres
Left-handed opening batsman, Gautam Gambhir has become the new face of MRF Tyres in India joining the deep pool of cricketing talent previously associated with the brand, which includes Steve Waugh, Brian Lara and Sachin Tendulkar. Gambhir – or “Gauti” to his friends and mildly sycophantic media commentators – was introduced as MRF’s ambassador at a glitzy Chennai ceremony on Friday, 4 September.
Continue ReadingInfinity Brand Pushing Forwards with Bond International
Infinity, a brand belonging to the Al Dobowi Group, is continuing to carve out a growing spot within the UK passenger car tyre market. Its relationship with Bond International, with whom Al Dobowi has developed a significant relationship in the four years since it was appointed the exclusive UK distributor four years ago, was the focus of an event hosted by key members of the Infinity Europe and Al Dobowi companies in the plush surroundings of York Racecourse earlier in the year.
Continue ReadingKumho May Sell Vietnam Plant
Kumho is in negotiations with Bridgestone to sell its recently finished tyre manufacturing plant in Vietnam, according to a report issued by Jaccar, a global investment firm. Kumho invested $155 million in the plant, which was completed in 2008 and has an annual production capacity of 3.15 million tyres. The tyre-maker has said it planned to export tyres manufactured in the Vietnam plant to southeast Asia, Europe and the US. Jaccar reported Kumho is negotiating the plant’s sale due to liquidity crunches resulting from the current “global financial turmoil.” (Tire Review)
Continue ReadingAmtel Drops the Vredestein Name
Amtel-Vredestein N.V. formally changed its name to Amtel N.V. at an Extraordinary General Meeting held in Enschede yesterday (2 September), freeing the newly re-merged Apollo-Vredestein from its previous associations with the Russian company. The execution of the deed of amendment through which the actual name change will take place as well as corresponding changes to the company’s website, corporate materials etc. will reportedly take place “as soon as possible.” The meeting also agreed proposals to dismiss Petr Zolotarev and Vadim Pesochinsky from the executive board and to appoint Alexander Fayn as sole member of the board. According to a statement detailing the meeting, Fayn gave a broad outline of the company’s restructuring plan.
Continue ReadingGerman Scrappage Scheme Ends
Market analysts are predicting that the German market scrappage scheme is likely to have come to end today as demand for cars purchased under the scheme now exceeds supply. According to a Deutsche bank report published today the scheme has been responsible for 9000 unit sales a day since its introduction and – as of today – only 5000 applications remain.
Continue ReadingGoodyear Celebrates 111 Years with Innovations, Inspirations
Goodyear turns 111 this year, and is celebrating by recounting its Top 111 Innovations, Inspirations and Historic Firsts.
Continue ReadingConti to Close Alabama Plant
Continental AG plans to close its powertrain and interior components plant in Huntsville, Alabama, by the end of 2010.
Continue ReadingConti Completes 100% Acquisition of Matador Rubber
Continental has completed its acquisition of Slovakian company, Continental Matador Rubber S.r.o. following the purchase of the 34 per cent stake held by the Cyprus-based minority shareholder, M.I.L. Investments Ltd for $67 million (£41.1 million).
Continue ReadingToyo Tires is Back on Track
When at the start of the year Japanese manufacturer Toyo Tire & Rubber Co., Ltd. put the brakes on expenditure in response to the global economic and financial crisis, the package of measures implemented were received with a shock: layoffs, massive budget cutbacks, withdrawal from the Tokyo Motor Show, restrictions upon travel for management and so on. Later it became public knowledge that top managers voluntarily forewent their bonuses. Since that time a collective sigh of relief has been breathed that some of the restrictions didn’t turn out to be as severe as first anticipated, and for Toyo’s factories in particular the tide has turned. "Our plant utilisation in Japan is already approaching a hundred per cent," comments Tatsuo Mitsuhata (44), executive vice president Toyo Tire Europe. The company’s Japanese competitors are somewhat lagging in this respect and their recovery not occurring as quickly as Toyo’s.
Continue ReadingGreen Shoots or a False Dawn?
Recent positive economic indicators coming out of Europe, Asia and the US have given analysts reason to forecast a recovery in the global logistics industry. However for global freight and parcel volumes and revenues to rebound significantly – and therefore the tyre sales which rely on logistics firms’ prosperity – analysts at Datamonitor suggest there will need to be “major improvements in consumer confidence, industrial output and subsequent international trade volumes.”
Continue ReadingReport: 20% UK Tyre Companies Are Loss Making
1 in 5 companies in the UK Tyre Manufacturers & Distributors industry are now making a loss making according to analysts at Plimsoll Publishing. The report’s author, David Pattison, commented: “Increasingly we are seeing companies making a loss for the first time in their history and I think they can rightly claim they are victims of difficult trading conditions.” However, 30 companies are reportedly making a loss for the second and even third year running. According to Plimsoll, “these companies are either blatantly undercutting the rest of the market to enhance or maintain market share or, more likely, have delayed making…painful decision[s]…No one wants to trim costs, lay off staff, cancel dividend payments and the like but continuing on regardless is fast becoming unviable.”
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