Increase In Turnover For Pirelli
Turnover for Pirelli SpA in the first half of the year rose by 9.7 per cent to 3.946 billion Euro (3.598 bn Euro for first half 2000). Profits rose too; operating profit before interest and taxes was up 14 per cent to 243 million Euro (2000 1H: 213 m).
Continue ReadingPortrait Of Marangoni Tyre GmbH
The German subsidiary of the Italian tyre producer Marangoni was founded six years ago in Wedel near Hamburg. The foundation of Marangoni Tyre GmbH took place at the beginning of May 1999, with General Manager Dirk Rohmann and Area Manager Martin Werner the only two people to work for the German company daughter up till now. One of their most important tasks is to increase the low awareness and attention the tyre brand receives from the end users at the moment. It was for this reason that the company held an international press conference in Rapallo in March 2000 that was attended by more than 100 journalists from all over Europe. The effect was a very positive one; Marangoni tyres have been represented in some summer- and winter-tyre-tests of international magazines, in which they performed quite well. The number of countries that are managed from Germany has increased from 16 to 22 in the previous one and a half years. New countries are: Ireland, Iceland, the Netherlands, Slovakia and Romania. The present market share in Germany amounts up to one percent – representing 400,000 tyres. The products are delivered directly on trucks from Italy. Twelve distribution partners handle the local distribution in Germany. In the western part the coverage is more ore less complete, whereas in the eastern part there are still some holes, that are due to be filled by spring next year. Furthermore Rohmann and Werner want to employ a third person who will keep a close contact with the 250 German tyre dealers where Marangoni products are sold.
Continue ReadingRubber Manufacturers Association Cuts Tyre Forecast
Underlining the news from Goodyear, the US trade group the Rubber Manufacturers Association has cut its forecast of tyre shipments for 2001 from 316 million tyres to 303 million. Last years figure was a record 321 million tyres. July tyre shipments to car manufacturers were 5 per cent down on the same month last year, while commercial market shipments fell by 32 per cent. The RMA predicts shipments of 304.4 million tyres next year and 317 million in 2003.
Continue ReadingEurope Tries To Have Brazilian Retread Ban Removed
The European Commission, and BIPAVER are in negotiation with Brazilian and Argentinean authorities to try and raise the prohibition of the ban on retread imports which the EC considers protectionist and a restriction on Free trade. The EC is preparing to take the case to the World Trade Organisation, which will allow compensation claims to be made and possible commercial retaliatory barriers to be imposed.
Continue ReadingAVS Decibel From Yokohama
Japanese tyre manufacturer Yokohama presents, as a highlight, its new tyre, the AVS decibel, which will be distinctive due to its smooth running – even at high speeds and after thousands of kilometres. It will unite athletic driving with pleasantly quiet running noise, as well as providing dynamic performance and stability. The market launch is planned for 2002. The AVS decibel will replace its predecessor, the AVS TW.
Continue ReadingMagneti Marelli To Close UK Aftermarket Operation
Following a review of its UK activities, Magneti Marelli has announced that its UK aftermarket operation will close on December 31st. This comes as a result of weak demand within the UK replacement parts market. Business managers will work with customers up until then to assist in areas such as alternative product sourcing. Selected products, such as the aftermarket lighting programme, will continue for key accounts, supplied through the central warehouse in Milan. Magneti Marellis other aftermarket businesses in Europe are unaffected.
Continue ReadingLower Profits Warning From Nokian
Nokian Tyres has warned that its profits for its tyre chain in the fourth quarter, and for the year as a whole, will be lower than expected, although group sales and profits developed as expected during the autumn. The reason cited for lower sales was the mild winter so far in Nordic countries, which depressed sales of winter tyres.
Continue ReadingLatest News From Berliner Reifenwerke GmbH
Until today, the German Berliner Reifenwerke GmbH has been an example of the incompetence of authorities, banks and others. NEUE REIFENZEITUNG has already reported developments in detail, up to the appointment of the official receiver. Part of around 80 million Deutschmarks, which were originally supposed to build up Berliner Reifenwerke, have either been thrown away or squandered in order to support the lifestyles of some company leaders, and of which the creditors are unlikely to see a penny again. But things are not so bad, because the investment bank Berliner Investitionsbank has already managed other flops. The truly sad thing is that loyal employees of many years’ standing have been dismissed, and they are now without jobs or prospects. The fact that Berliner Reifenwerke – today called Berliner Runderneuerungswerke –, is still alive, can be attributed to both the official receiver and the RuLa shareholders’ delegates. Berliner Runderneuerungs GmbH was founded by RuLa and, because time is short, the plant is being leased from the official receiver, but for the moment this factory will stay in mothballs. Although the huge pressure of time has been relieved, conclusive decisions are needed for the medium-term, as the whole plant cannot be leased for a long term if the contractual partner is an official receiver. Soon, investors will run off.
Continue ReadingFour Wheel Steering From Delphi
Delphi Automotive Systems launched a pre-production four wheel steer development named Quadrasteer today. The system will improve turning capability at all speeds and stability at high speed. The electronic system is claimed to reduce turning circles by up to 20%.
Continue ReadingNew Communications General Manager At Continental
Dr. Heimo Prokop (43), director of communication at VAW Aluminium AG (Bonn/Germany), is to become the new director of communication of the Continental Group, Hannover, beginning the new job on 1st April at the latest. He succeeds Peter Schwerdtmann, who has already left the tyre manufacturer. Prokops main task will be the internationalisation and intensification of the communication activities of the Continental Group, underlining that it has changed from a pure tyre producer to a company that also offers chassis management solutions.
Continue ReadingGood EBIT Margin From Michelin
The tyre giant Michelin has today released more figures. The EBIT margin reached 7.6 % on a turnover of 15.4 billion Euro. Michelin reached this expected good result in spite of the fact that increases in raw material costs ate into the results over the year at many other tyre manufacturers. The truck division, which accounts for about 27 % of the total turnover, confirmed excellent double digit EBIT margins. For this year it is expected that Michelin will again achieve at least the same level of results as it did last year. But there is hope that oil prices are falling, which could give the company even better margins. The net debts stood at 4.9 billion Euro at the end of the year 2000.
Continue ReadingNew Acquisitions By Continental
According to rumours, Continental is negotiating to acquire Temic (an electronics company with a turnover of about 900 million Euro) as well as with German conglomerate Siemens to acquire their daughter company Sachs, which produces shock absorbers and turns over around 2,200 million Euro. It is far from clear how Continental could finance such a deal, which would cost at least 2,000 million Euro. In spite of the low share price and low market capitalisation, it should not be assumed that Continental would get money from new shareholders for a reasonable price. On the other hand, Continental announced months ago that the group is willing to sell ContiTech, which has a turnover of 1,800 million Euro, but so far no company has offered Continental a reasonable price. At the moment, the whole group, with a turnover of 10,000 million Euro, is worth significantly less than 3,000 million Euro at the stock exchange.
Continue ReadingChinese JV Company “Will Make Warrior And Michelin” Tyres
The joint venture has been confirmed between Michelin and the Shanghai Tyre & Rubber Co. to make radial tyres, steel cord and compounds. The new company will be called Shanghai Michelin Warrior Tire Co. and the JV is worth US$200 million. Michelin has a 70 per cent stake and STRC 30 per cent. Reports from China say that the company will continue to produce Warrior brand tyres and, at some time in the future, Michelin group products.
Continue ReadingVauxhall Masterfit Reaches 250
Vauxhalls dealer franchise fast fit operation now operates 250 outlets in the UK. The expansion of the fast fit chain within the dealer network emphasises the importance of the fast fit market to the viability of the UK car distributor network. The sector is growing in importance as it increases market share, taking fast fit tyre and exhaust business from the shrinking independent fast fit sector.
Continue ReadingBank Analysts View C3M Factory Tyre Production
At its so-called annual strategy day, Michelin had only partly good news to tell. Following the disastrous Firestone tyre recall, the price increases in the US-replacement market appear to have stuck. However, recent price increases in the US truck tyre replacement market have not held and this is squeezing the EBIT margins. For the first time ever, analysts were allowed to see a tyre made by the C3M process. Michelin is convinced that it can increase market share significantly in the UHP market with the help of C3M, while analysts from Deutsche Bank see C3M as a key driver to achieve an EBIT margin of 10 per cent in 2005, compared to 7.6 per cent in 2000.
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