Gold-Mine For Pirelli
Pirelli sold a 90% share (Cisco holds 10%) in the very young company Optical Technologies. OT has around 100 employees and a first half-year turnover of US$ 12 m. Turnover for the whole year is expected to be US$ 30 m. Optimistic observers speculated that the price would be around US$ 1 bn, while Pirelli in fact received slightly over US$ 3 bn (after tax) in cash. According to the management, acquisitions in the tyre field are unlikely, but it may be that Pirelli can bring forward the introduction of its MIRS system faster than expected. Pirelli is, and will remain, in partnership with Michelin and Goodyear to promote the PAX system.
Continue ReadingQuality Award For Dunlop
Dunlop Germany has been awarded a top level Formula Q award by the Volkswagen Group. Dunlop was the only tyre producer to gain the award for Supply Reliability, Productivity and Error-free Quality. Every year Volkswagen awards 20 of its 8,000 suppliers for their outstanding performance.
Continue ReadingProduction Cut By Bridgestone/Firestone
In a move unconnected, according to Bridgestone/Firestone, to the recall, production is being cut at three tyre production plants in response to oversupply. Cutbacks will affect LaVergne, Tennessee, Oklahoma City, and at Decatur, Illinois. Some 450 employees are also being laid off indefinitely at the Decatur plant, centre of attention in the recall.
Continue ReadingCarbon Black Price Increase From Degussa-Hüls
Degussa-Hüls AG, the worlds second largest pigment black manufacturer with production sites in Europe, North America and Asia, has announced a price increase of 1,500 (one thousand five hundred) Euro per tonne for its extra conductive carbon black grade, effective from January 1st , 2001.
Continue ReadingOne Of The “Big Three” Will Lose Volvo Truck Business
As soon as the merger between Volvo and Renault has received final approval from the US competition authority, Volvo will cut down the number of suppliers. It is said that one of the big three (Bridgestone, Michelin and Goodyear), which are suppliers of truck tyres, could lose the business.
Continue ReadingGoodyear Supply Problems Continue
Goodyears fill rates in the USA remain low. Dealers are very unsatisfied and are making their opinions strongly known.
Continue ReadingStock Prices: Risers And Divers
In the fourth week of 2000 the share prices of the tyre manufacturers Bridgestone, Continental, Cooper and Goodyear have hit a 52 weeks low. In this week alone, Toyo Tyres fell 10%, Bridgestone 6% and Goodyear 5%. Just a week before Toyo had marked an increase of 12% while again Goodyear (-8%), Michelin (-8%) and Cooper (-8%) did not fare so well.
Continue ReadingViborg Gets Take-over OK
The Viborg Group/Dorana has been given the go-ahead to take over Gummi Mayer by the European Competition Authorities.
Continue ReadingBridgestone’s Excellent EBIT Margin
Despite the fact that the EBIT is down 5% and the net profit down 15% compared with 1998, Bridgestones EBIT Margin of 11.3% of sales is the highest among the major players in the tyre market.
Continue ReadingChange of rights for Tyrexpo Asia
E.C.I. have confirmed the acquisition of the rights to the Tyrexpo Asia exhibition from Tarsus Exhibitions.
Continue ReadingA New Road And Track Tyre From Cooper-Avon
Cooper-Avon has announced the launch of a newly developed road and track tyre, the CR500, which will be fitted to Caterhams new Superlight R500 model. The tyre has been jointly developed by Cooper-Avon and Caterham and is heavily influenced by Avons radial tyre racing success.
Continue ReadingChanges at ContiTech
The new Managing Director of ContiTech Vibration Control is Heinz-Gerhard Wente (49). Wente succeeds Dr. Volker Härtel, who has assumed new functions in Strategic Technology within the Continental group. The new Managing Director of ContiTech Power Transmission Systems is Konrad Müller (48). Also a member of the board of this division is Hans-Jürgen Duensing, formerly of ContiTech Conveyor Belt Systems.
Continue ReadingFast Fit At Peugeot
In 1997 Peugeot introduced a Fast Fit service (tyres, brakes, exhausts, batteries) at its car dealers in France. Now the concept, which is called Rapide, has been adopted in Germany.
Continue ReadingDedicated Dunlop Tyre Lines Available At Goodyear Retailers
In the USA, Goodyear has announced that three new dedicated Dunlop tyre lines will be available from Goodyear and Gemini outlets. These are the Dunlop Citation, the Citation HP (both for passenger cars) and Dunlop Pioneer for 4x4 vehicles.
Continue Reading100 Years Of Firestone
Harvey Firestone established his sales company for tyres and technical rubber products in the summer of 1900 and began production of tyres in Akron, Ohio, three years later. Thanks to a big order from Ford for the famous model T, the company was immediately successful and grew rapidly. In the twenties, Firestone was, for some years, the biggest tyre manufacturer in the world. Due to a badly-managed recall in the late seventies, the company ran into extreme difficulties; it tried to avoid the recall, but eventually its hand was forced, severely damaging the companys reputation as a result. After this episode, the Firestone management was forced to sell assets every year to plug the biggest holes in the balance sheet. John Nevin was appointed CEO, but despite his extremely strict guidance, which was focused purely on shareholders, he did not manage to turn the company around. In 1988 Bridgestone acquired Firestone, turning the Japanese company into a true global player overnight. This was Firestones only realistic hope for survival. Today, Firestone is once again a world-famous and accepted tyre brand, very successful in the US and also in Europe. The revitalisation of the brand was made possible through its involvement in motorsports, especially the Indy series in the US. In May, the famous Indianapolis 500 race was won by a car fitted with Firestone tyres - this was the 51st such victory for Firestone in the history of the Indy 500. Full details can be found in the June edition of NEUE REIFENZEITUNG.
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