The Financial Experts’ Favourite – Michelin
Reports from financial and industry analysts generally agree that the tyre industry, among others, is facing a difficult time with market conditions having worsened recently. Despite this, the Deutsche Bank AG, London is recommending Michelin shares as a buy, even though the organisation is downgrading its 2001 profits forecast for the French manufacturer by 3%.
Continue ReadingCooperation Between Cooper-Avon And Kenda
An agreement has been reached whereby Taiwanese tyre manufacturer Kenda will make passenger car radials for Cooper-Avon. Cooper says that a number of brand names will be manufactured, including Cooper and Avon, initially T-rated tyres and, again initially, for sale in Europe. The agreement frees up valuable capacity for high performance tyre production at Cooper-Avons Melksham plant, says Managing Director Ron Shield.
Continue ReadingNew Member of TecDoc
American automotive supplier Delphi has become the latest member of the TecDoc automotive parts information platform. With a turnover of 29 billion US-Dollars in 2000, Delphi Automotive Systems is the biggest automotive supplier in the world. Altogether 114 companies worldwide, representing 130 brands, now support the TecDoc platform, covering 100 percent of the European spare parts market.
Continue ReadingEarly Entry Into 500cc Bike Racing For Bridgestone
Bridgestone has announced that it will supply tyres next year to competitors in World Grand Prix 500cc motorcycle racing, one year earlier than originally planned. The company only began testing the tyres this January, in conjunction with Kanemoto Racing; the team that will ride on Bridgestones next season, fitted to NSR 500 bikes from Honda Racing. Bridgestone has supplied tyres for 125cc racing for the past decade and the latest move is designed to enhance the companys image in the ultra high performance tyre sector.
Continue ReadingKelly On The Way Out
In Europe the Kelly brand will be removed as part of a plan to reduce the number of Goodyears brands in Europe. Kellys removal is expected to be followed by other brands (Sava, Debica), with appeal only in Eastern Europe. The decision to scrap Kelly comes only seven months after the brand was comprehensively relaunched in the UK at Tyrexpo Europe.
Continue ReadingEnhanced Warranty In Cooper Settlement Agreement
Cooper Tire and Rubber Company has filed tentative agreement to settle 32 lawsuits brought against the company in the past 10 months. This involves a five year plan offering free replacement tyres for all Cooper produced steel-belted radial tyres, made between 1985 and 2001, that suffered tread separations.
Continue ReadingWorries Over German Winter Tyre Sales
The tyre industry in Germany will not be able to attain its goal of sales of 18 million winter tyres, although sales of 16.5 million are possible. Signals coming from dealers reveal another worry, as it seems likely that, of the 16.5 million tyres delivered, 4 million will remain unsold to end users.
Continue ReadingThe Influence of Tyre Tests On Sales Figures In The Retail Business
The tyre tests appear normally twice a year in spring and in autumn. Millions of people at least notice them, and among these many even study them very intensively. The topic discussed here is the tyre tests which appear regularly every year in the big end consumer-oriented automotive magazines in Germany. Their judgement has a significant impact on the consumers. The tyre manufacturers know this for a fact and promote positive test results in their advertising campaigns. A note as very recommendable, for example, serves as a kind of award, which has a strong convincing effect in the tyre retail shop. However, if the product fails in all important magazines the result will be the opposite and the whole thing can end in disaster. Tyre manufacturers fear these situations, specially when they have introduced a new product to the market. Tyre retailers use positive test results often as an additional argument in a sales discussion with the customer. There is just one small problem: the exact influence of tyre tests on sales in the retail shops – in the sense of knowing the precise percentage of customers who buy a special tyre just because of the test result – is very difficult to measure. But there are some qualitative characteristics of tests that can be found out without problems:Tyre tests have a different relevance and coverage. The effect of tyre tests on customers is of a limited time – especially in the winter-season. The sell-in of the retailer is just as influenced indirectly (backwards) by tyre tests. Experiences from the previous tests play a role. The influence of winter tyre-tests is regarded as much higher than those of summer tyre tests by retailers and customers. Tyre tests have an effect on a certain segment of customers: people who are already concerned about the problem of safety.
Continue ReadingAnnouncement Secures Future Of Nissan Plant In UK
Nissan has made the decision to build its new Micra model at its Sunderland, UK, factory, rather than France, following approval of a 40 million Pound grant. The news is expected to secure 500 jobs at the plant and has been welcomed by the Government as evidence of Nissans long-term commitment to the north east. It is thought that Nissan will demand that, in the future, more of its component suppliers for cars made at Sunderland submit invoices in Euro rather than Sterling.
Continue ReadingScottish Winter Tyre Safety Campaign Results
The annual tyre safety campaign in Scotland moved from October to December last year. A four day clinic programme held in supermarket car parks revealed that 20% of motorists had tyres with tread below 1.6mm. The clinic programme was followed by a week of police enforcement on the roads, which showed an illegal tyre level of 14.4% – almost exactly matching the UK average of 14%.
Continue ReadingNew Flagship Tyre From Bridgestone
At the Geneva motor show, Bridgestone unveiled the Potenza S-03 Pole Position; its new flagship tyre for the super sports passenger car segment. Bridgestone says that the new tyre incorporates technology developed in the F1 arena. It replaces the S-02 series and will be on sale from April.
Continue ReadingCar Sales In Western Europe To Fall
Automotive consulting firm Autopolis has produced a report which predicts that the western European car market is going through a decline at the moment. 1999 was a record year, with 15.1 million vehicles being sold, but last year the market dropped by 2% and Autopolis says that the fall will continue this year and next, with sales dropping to 13.4 million cars – a decline of 11% in three years.
Continue ReadingDirector Of Global Infrastructure For Goodyear
Goodyear Tire & Rubber has appointed Steve Buckus as director of global infrastructure. In his new role he will head up the companys IT group and lead efforts to globally integrate Goodyears IT infrastructure. Buckus has 20 years experience in the IT infrastructure field, and his previous post was as director, distributed systems for FedEx Services.
Continue ReadingNew Brake Venture Plans For Future
Sumitomo Electric Industries, Denso Corporation, Aisin Seiki and Toyota have announced a joint venture to share technology in a brake development and sales operation. Aisin Seiko will hold 40% of share, each of the other contributors taking 20% each. The new products will address requirements of ABS, Vehicle Stability Control, and the need for regenerative brake systems in hybrid and electric vehicles. Operations are due to begin in October 2001 with a sales target of 250 billion yen in 2005.
Continue ReadingRomanian Acquisition For Michelin
Nomura International, which holds a substantial equity stake in Romanian tyre manufacturer Tofan, has announced the sale of parts of the company to Michelin. The French company has bought the Victoria car tyre plant, the Silvania truck tyre factory, a retreading unit, a number of warehouses and the Tofan-owned distribution network. The purchase price was not revealed but a number of tyre manufacturers are said to have been interested. Tofan will continue to manufacture agricultural and implement (brand name: Danubiana) tyres and this business will be expanded, says Nomura, which remains a significant shareholder.
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