Vredestein Banden Bought by Apollo Tyres
Apollo Tyres has agreed to buy Vredestein Banden following approval from the trustee in bankruptcy at the Almelo Court in the Netherlands which rubber stamped Apollo Tyres’ offer to acquire a 100 per cent stake in Vredestein Banden B.V. (VBBV), a 100 per cent subsidiary of Russia’s largest tyre manufacturer Amtel-Vredestein NV (AVNV). No details of price or further conditions have yet been released, however, according to an official statement on the matter, the parties will only be in a position to disclose this after “certain conditions have been met and certain approvals, including regulatory and statutory approvals are granted, wherever required.” According to a statement Apollo Tyres’ board of directors gave their approval to the management to proceed with the acquisition of Vredestein Banden today (29 April 2009). Dutch newspaper, De Twentchse Courant Tubantia quoted Vredestein Banden CEO Rob Oudshoorn as saying: “We are relieved and happy…We have had good connections with Indian market leader Apollo for 15 years.
Continue ReadingGoodyear Losses Ahead of Analysts’ Predictions
Goodyear Tire & Rubber Company has reported first quarter 2009 sales of $3.5 billion, down from record sales of $4.9 billion in first quarter of 2008. However, Goodyear only reported net losses of $333 million, compared with Goodyear net income of $147 million (60 cents per share) in the 2008 quarter. While obvious significant the losses certainly weren’t as bad as they could have been for two reasons. Firstly, they were, according to financial news sources, ahead of mainstream analysts’ opinions; and secondly because the total losses are roughly equal to the increases in raw material costs the company experienced in the first quarter ($332 million, up 31 per cent). The explanation for greatly reduced turnover was said to be the tyre market’s sharply reduced demand in at the start of 2009, however as various sources are predicting that the US market has bottomed-out and raw material prices are believed to have stabilised, Goodyear could be in for a better second quarter.
Continue ReadingApollo Net Profit Down 52%
Apollo Tyres’ India operations profits were less than half that of last year according to the year-end financial report released today by the manufacturer (April 2008-March 2009). While net sales grew 10 per cent from 36.9 billion to 40.7 billion rupees in the period, operating profit came down to 3.3 billion from 4.7 billion rupees and net profit more than halved from 2.1 billion to 1 billion rupees. Despite the relative gloom of the full year figures, Apollo came closer to matching the January-March 2008 quarterly operating profit in the same period this year, down merely 40 million rupees from 2.14 billion to 2.1 billion. The board of directors recommended a dividend payout of 45 per cent to shareholders.
Continue ReadingGoodyear Added to JPMorgan SMid Money List
Goodyear Tire & Rubber was one of three companies whose stocks financial services firm JPMorgan added to its small and mid-cap money list on April 24. According to JPMorgan, Goodyear was added to the SMid Money list, as it is likely to benefit from a market rotation into cyclicals from defensives. Following the announcement shares in Goodyear surged 11 per cent to US$10.91.
Continue ReadingJK Tyres to Supply BEML by March 2010
JK Tyres continues moving closer towards establishing an OTR tyre facility through which it will supply earthmoving equipment manufacturer Bharat Earth Movers Ltd (BEML). It is more than two years since the tyremaker was first named as a potential supplier for BEML, yet in late April JK Tyres reaffirmed its intention remains to establish a factory in the south-western city of Mysore for this purpose. According to reports published by Indian news sources, the company will invest a total of Rs 2.7 billion (£36.8 million) in the project, 1.2 billion (£16.3 million) in an initial phase scheduled to be completed in March 2010. This stage one operation will provide a capacity of 4,000 OTR tyres a year; output will primarily benefit BEML, who has contributed Rs 1 billion in loans towards the project.
Continue ReadingNew CEO/President at Kumho Tire
Kumho Tire has announced the appointment of Jong Ho Kim (J.H. Kim) as its new CEO and president. He will be based at the company’s headquarters in Seoul, South Korea. Mr. Kim has held numerous sales and marketing positions since joining Kumho in 1976 including nine years in the USA, initially as general manager, then managing director and finally as the vice president of sales for the company’s American operations. He then assumed the role of executive vice president of sales and marketing for the parent company back in Korea.
Continue ReadingMichelin Gaining US Market Share – CEO
According to Michelin North America CEO Dick Wilkerson, the company’s Michelin brand products are “much more resilient than the other brands” in its product portfolio. This comment, made to a newspaper in the company’s US hometown of Greenville, South Carolina, indicates that its facilities in South Carolina are not facing a similar fate to the soon to close BFGoodrich plant in Alabama.
Continue ReadingHercules Tire Appoints Bill Trimarco as CEO
On February 4, Ohio, USA based Hercules Tire Company announced a new man at the helm. Effective March 2, William Trimarco will take over from Lawrence Seawell as the company’s chief executive office. Hercules reports that Seawell, who has held the role since late 2005, recently resigned to pursue other opportunities. “We are thrilled to have Bill Trimarco as the new CEO of Hercules,” said Howard Romanow, managing director of parent company FdG Associates and member of the Hercules Board of Directors. “We have known Bill for ten years and have long respected his operational and leadership skills. We think his experience with complex, value-added distribution, international sales and foreign sourcing makes Bill a great fit to lead Hercules, and we look forward to working with him to help execute the company’s business plan.”
Continue ReadingNew HiQ Director Appointed
Goodyear Dunlop has announced the appointment of new HiQ director Juergen Titz, the man who masterminded the successful Goodyear Dunlop ‘4Fleet Group GmbH’ fleet business division in Germany. Titz has also been responsible for leading Goodyear Dunlop Europe´s consumer fleet activities as well as its European Retail approaches. In total, he has 11 years experience within the Goodyear Dunlop group, and has been a key advisor in the growth of the HiQ franchise programme as part of his pan-European role. He will now move to the UK on a full-time basis with his wife and two children. Mark Brickhill, Group managing director, stated, “Juergen’s experience of fleet management and retail development across Europe will play a key role in Goodyear Dunlop’s drive to grow our own HiQ National Franchise Programme in the UK [covered extensively on Tyrepress.com throughout 2008]. The continued growth of HiQ is a core element of our vision to build strong retail and servicing partnerships across the country”
Continue ReadingNew CEO for Corus
The Board of Tata Steel has appointed Kirby Adams to succeed Philippe Varin as CEO of Corus and of Tata Steel Europe, the holding company of Tata Steel’s European operations. Varin is stepping down on April 6, 2009, after six years in the role. American-born Adams was formerly chief executive of BlueScope Steel, headquartered in Melbourne, Australia. He has also served as chairman of the International Iron and Steel Institute and has considerable international experience in the metal and mining industry. He will join the Boards of Tata Steel Europe and Tata Steel, subject to necessary approvals. Once Adams has obtained the necessary visa, he will re-locate to London and commence working from early March 2009. Adams will report to Tata Steel managing director B. Muthuraman.
Continue ReadingBridgestone Europe Takes Full Control of Bandag EMEA
On January 2 Bridgestone Europe NV/SA announced it has assumed full control of Bandag EMEA through the purchase of all of the shares in that company from Bridgestone Americas.
Continue ReadingTrax JH Appoints International Development Chief
Trax JH Ltd has announced the appointment of Martin Blakey in the new role of international business development manager. Blakey’s appointment has been made in support of the company’s growth and export market development ambitions, which aim to propel Trax into a leading position in the field of European manufacturers of balance weights.
Continue ReadingPirelli US CEO to Deliver Keynote Address
Pirelli’s US chairman and CEO Hugh Pace is to deliver the keynote address at the ACS Rubber Expo in Louisville, opening the American Chemical Societys (ACS) Rubber Division “Rubber Mini Expo and 174th Technical Meeting” on Tuesday, 14 October, 2008. The address, entitled “The Tire Industry: Globalization and Regulatory Harmonization”, will focus on how new technologies and the expansion of commerce have led to global markets and how regulatory standards have impacted those markets. The Mini Expo will be held at the Kentucky International Convention Center from 14-16 October, and will feature 168 exhibitors along with an array of international industry-leading companies. During the Expo, devoted exclusively to rubber and its related products, ninety technical papers will be presented. Approximately 2000 attendees from around the world will take part in the event.
Continue ReadingKarl Naylor New Grouptyre MD
Grouptyre has appointed Karl Naylor as Managing Director following the departure of Peter Harries, who has left to take up a key opportunity elsewhere within the tyre industry. During 14 months with Grouptyre, Harries has worked on processes designed to build upon the company’s leading role in the tyre wholesaling industry. In this period Grouptyre has enjoyed sales growth of over 15 per cent.
Continue ReadingBridgestone UK Receives Award from European CEO
Bridgestone UK has received a special award from the global tyre manufacturer’s new European CEO Toru Tsuda for its outstanding business performance in the first half of 2008. Bridgestone, which is based in Warwick, continues to focus its efforts in working with independent tyre retailers and its well established Truck Point programme to strengthen its brand and market share aspirations. With 20 Bridgestone sales companies in Europe, the CEO award is presented to the company that excels in all areas of business improvement, focusing specifically on increases in like-for-like sales, market share, category mix and profitability.
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