‘Money not a Consideration’ for JK Tyre
Indian manufacturer JK Tyre was reportedly one of three large companies that forked out nearly £16 million in sponsorship in order to see the Jordan F1 team hire Narain Karthikeyan. In fact, money was really not a consideration when it comes to F1 sponsorship, the company told the AFP news agency.
Continue ReadingBridgestone Denies F1 Tyre Wear Problems
Formula 1 supplier, Bridgestone, has denied speculation of a major problem with excessive tyre wear. The denial follows last week’s Valencia testing session where Ferrari lingered in the midfield while Michael Schumacher and Rubens Barrichello reportedly complained about a lack of durability. “We got the data we wanted to get,” technical manager Hisao Suganuma told Autosport. The Japanese team then went on to deny that the Valencia specification even nearly resembles the tyre the team will use for qualifying and the Australian Grand Prix. “We are happy with the (pre-season) data we have so far,” he added.
Continue ReadingTyres & Accessories to Cooperate with Tire Review
The publishers of Tyres & Accessories and leading US publication, Tire Review, have announced that the magazines have entered into an editorial cooperation agreement. The exclusive arrangement will see the magazines share editorial content including news, feature articles and interviews. In addition, the magazines will work together on projects requiring a global perspective.
Continue ReadingDunlop Extends its MotoGP Involvement
Team d’Antin MotoGP has announced that it will use Dunlop tyres in 2005. The team will enter Roby Rolfo on a Ducati Desmosedici GP04. The 2005 MotoGP World Championship starts in Jerez on 10 April. Team owner Luis d’Antin and Roby Rolfo recently visited Dunlop Motorsport’s European R&D headquarters in Birmingham. “We are delighted that Dunlop has decided to support our programme,” confirmed Luis dAntin “it will be a very interesting challenge for our team to help Dunlop move forward with their MotoGP tyre development.”
Continue ReadingInvestment Group Buys Leading US Distributor
Global investment group, Investcorp, has decided to acquire American Tire Distributors Inc (ATD) from its majority shareholder, Charlesbank Capital Partners. According to the Tire Review report, no further details were released. ATD is the largest independent tyre distributor in the US, with 70 distributions centres in 35 states. These service some 40,000 tyre dealer locations across the country.
Continue ReadingChinese Manufacturers Sign Carbon Black Deals
China’s two largest tyre manufacturers have signed contracts to receive carbon black from the same supplier. China Energy will supply 1,000 and 800 tons to Hongzhou Chong Che Tire Company and Gui Zhou Guiyang Tires, respectively. Dong Hua Rubber Limited and Dong Tian Rubber and Chemicals Limited have also made contracts of 1,000 and 800 tons of carbon black, respectively. China Energy, Carbon Black Holdings, says it has received contracts amounting to 8300 tons of its speciality carbon black. “In the past two years, we have been focusing our business on China’s fast-growing automobile industry. And it looks like this strategy is starting to pay off,” chairman and CEO, Mr Wang Guo Yuan commented adding: “Our carbon black helps the tyre makers to address the needs for improved tread wear, lowering rolling resistance, lower heat build-up. Therefore, our carbon black is being utilised for various types of tyres.”
Continue ReadingAccuride Acquires Transportation Technologies
Accuride Corporation has announced that it has completed the acquisition of Transportation Technologies Industries, Inc. (TTI). Accuride, already one of North America’s largest heavy and medium truck wheel suppliers, aims to become the trucking industry’s main one-stop component sourcing solution. Terry Keating, Accuride’s current president and chief executive officer, will continue to serve as president and CEO of the combined company. Accuride also announced the completion of the amendment and restatement of its senior secured bank credit agreement. As part of the amendment, the company refinanced substantially all of its existing bank facilities. Citigroup Global Markets Inc. and Lehman Brothers Inc. jointly arranged for the new five-year $125 million revolving credit facility and the new seven-year $550 million term loan facility.
Continue ReadingPirelli to Buy 300 million More TI Shares
The shareholders of Olimpia SpA have agreed to allow the purchase of a further 700 million Telecom Italia shares. As chief partner in the company (holding 50.4 per cent) Pirelli could buy up to 300 million share, while the other parties (Edizione, Hopa SpA, Banca Intesa SpA and UniCredito Italiano SpA) will be able to buy 100 million each. Olimpia investors already hold 17 per cent of Telecom Italia’s shares. 700 million shares equates to roughly six per cent of Telecom Italia.
Continue ReadingYokohama Recalls Truck Tyres
Yokohama Tire Corp. is recalling 69 Yokohama brand medium truck tyres because of shoulder area compound problems, Tire Review has reported. The company said the defective tyres contain a “non-specified compound in the shoulder area of the tyre” and “during extended running, the shoulder area of the tyre could lift, resulting in degraded ride and handling” and potentially a tread separation.
Continue ReadingPirelli and Furukawa Set Up Brazilian JV
Pirelli’s Brazilian subsidiary of its Telecom systems business has signed a joint venture agreement with Japan’s Furukawa Industrial, to produce fibre optic cables in Brazil. The new company, to be called SPF (Sociedade Produtora de Fibras Ópticas S.A) is split 51:49 with Pirelli responsible for the majority. The decision to merge was taken in order to “catch all the opportunities that could derive from the recovery of the Brazilian telecommunications market after last year’s slowdown,” a company statement explained.
Continue ReadingSumitomo to Build Radial Plant in Thailand
Sumitomo Rubber Industries has said it will build a radial tyre plant in Thailand, Japan Today has reported. The new factory will be built in an industrial complex 100 kilometres south of Bangkok and will aim to produce 12,000 tyres per day two years after it begins operating in 2006, the report says. The facility will be the company’s third plant in Asia as Sumitomo Rubber already operates factories in Indonesia and China. The company reportedly made the decision to build the new plant in Thailand in response to growing global demand.
Continue ReadingVilleneuve: ‘It’s All Down To The New Tyre Rules’
The outcome of the first races of the 2005 Formula 1 series will depend on how well teams adapt to the new tyres regulations, Jacques Villeneuvre has said in an article on his web site. “I think at least the first four or five races will be very interesting. There will be more suspense during the grand prix and I can tell you that everything will depend on how the drivers and teams will manage the new tyre rule.” “After some testing in Valencia and Barcelona we’re making good progress and starting to understand how the Michelin tyres and new aero are working,” he added.
Continue ReadingMichelin:Apollo Venture to be Operational In 2006
The $100 million joint venture tyre between India’s Apollo Tyres and Groupe Michelin will begin in early 2006, according to the operation’s chairman and managing director. Onkar Kanwar said construction work on the radial medium truck and bus tyre plant, in Pune, India, has started and should be operational in the first quarter of next year, Tire Review reported, citing wire reports.
Continue ReadingAnalysts Raise Continental Target Price
Market analysts at Morgan Stanley, have raised Continental’s stock price target from 52 euros to 60 euros. The Morgan Stanley analysts clearly believe that the shares have more potential than they first thought: “We are raising our price target based on the expectation that our current earnings forecasts are likely too conservative and have significant risk to upward revisions following fourth quarter results.
Continue ReadingNokian Tyres Expands into Eastern Europe
Nokian tyres has acquired its Czech importer and a tyre wholesaler, Andel Export-Import. In a statement the company explained that the acquisition will enable it to concentrate its Eastern and Western European logistics operations in Prague. In 2003 Andel Export-Import’s net sales totalled approximately 3.4 million euros. “The acquisition ensures the sales growth for Nokian branded tyres in a strategically important and fast growing Eastern European market. We will get the control of the whole logistics chain and a very healthy company,” said Kim Gran, president and CEO of Nokian Tyres.
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