Agreement On Japanese Co-operation For Yokohama and Continental
Yokohama Rubber and Continental AG have confirmed a contract for the creation of a joint venture to supply original equipment to Japanese motor manufacturers and to develop Continental in the Japanese replacement market. The 50/50 joint venture will be called Yokohama Continental Tire and will aim to sell OE tyres to Japanese and Korean vehicle manufacturers. Importation and distribution of Continental tyres, to be sold through Yokohama outlets in Japan, will begin in April.
Continue ReadingSchroeder Acquires Dayton Wheel Products Inc.
Dayton Wheel Products, the manufacturer of wire wheels in Centerville, Ohio, has been acquired by Charles G. Schroeder. This is only the third time the business has changed ownership in its 85 year history. The company recently launched a range of alloy wheels, but Schroeder says that Dayton wire wheels have a discerning customer with whom quality will always count - over 80 per cent of customers in the USA ask for Dayton wire wheels by name. The new owner plans to develop the business by concentrating on quality products and capitalising on the loyalty and enthusiasm of his workforce. The company employs 43 people.
Continue ReadingAlliance Between Honeywell And GT Petrochem
Leading polyester producer Honeywell Performance Fibers is forming an alliance with Indonesian tyre cord manufacturer GT Petrochem Industries. The aim is to link Honeywells polyester fibre product line with GT Petrochems conversion facilities to provide a world class tyre cord fabric to the global tyre industry. The two companies have been working closely together since 1996 and the alliance will ensure the supply of quality tyre reinforcement products at competitive prices.
Continue Reading2001 Net Loss For Kumho Group
Kumho Industrial recorded a net loss for 2001 of 221.5 billion Won (US$169.5 million) on a turnover of 2.68 trillion Won. This loss is an increase of 114 per cent over the year 2000 loss of 103.4 billion Won. Half the loss is accounted for by sales of assets, such as buildings, at a loss. On the positive side, Kumhos tyre business performed very well, turning in a profit. Kumho is currently involved in negotiations to sell its tyre division for US$1.5 billion in order to reduce group debt.
Continue ReadingNet Profit To Triple This Year For Bridgestone
A poll of analysts suggests that Bridgestones net profit for 2002 will treble. The forecast is for a net profit of 57.7 billion Yen (500.5 m Euro), compared with the 2001 figure of 17.7 billion Yen (152.3 m Euro). Analysts believe that the corporation is slowly putting the Firestone debacle behind it and there are hopes of a reconciliation with Ford. Other factors causing optimism include the weak Yen and an increase in Bridgestones business with GM.
Continue ReadingNHTSA Refuses Firestone Request
The NHTSA has turned down a request by Firestone to open an inquiry into a possible vehicle fault on the Ford Explorer. Firestone alleges that the Explorer has a greater propensity to roll over than other SUVs. The NHTSA admits that SUVs have a higher tendency to roll than other vehicles, but is adamant that the data held by the organisation does not substantiate Firestones claim regarding the Explorer.
Continue ReadingJapanese Duo Boost Chinese Output
Bridgestone and Toyo have both announced plans to boost output in China, destined for the Chinese domestic market. Bridgestone will raise production in total by 40%, with its Tianjin factory producing 13,000 tyres per day, an increase of 30%. Meanwhile, Toyo is looking at methods of increasing production at Jiangsu by 60%.
Continue ReadingInterim Managing Director For Kwik-Fit
In light of questions from bidders about the influence of Sir Tom Farmer on the bidding for Kwik-Fit, Sir Tom and two other directors of the business are taking leave of absence during the expected sale of the fast fit chain. Sir Tom has been named as a possible buyer and is rumoured to be backed by HBOS and the Royal Bank of Scotland. One of the potential bidders for the business which employs 11,500 people at 2,400 outlets, is Deutsche Banks venture capital division. The interim managing director will be Dominic DiMarco, Fords executive director of diversified consumer services.
Continue ReadingNew Jobs At Michelin
Michelin has announced that it will take on more than 1,000 new staff in France in the coming year. These new positions come in addition to the 1,000 new posts planned after the introduction of the 35 hour working week.
Continue ReadingWhite House Requests Rethink On Pressure Monitoring
The White House Office of Management and Budget has asked the NHTSA to review the requirement for new vehicles to be fitted with tyre pressure monitoring equipment fitted to the wheel and tyre assembly. The OMB states that most TPMS work on data sent by the ABS system, and that the added cost of the new system, may lead manufacturers to stop fitting ABS to vehicles on a cost based argument. The NHTSA proposes that vehicle manufacturers phase in a direct pressure monitoring system, replacing existing indirect systems, over the next four years.
Continue ReadingModernization Cordenka Converting Plant In Obernburg Completed
The modernization program of Cordenkas tire cord converting plant in Obernburg (Germany) has recently been completed. Cordenkas converting concept focuses on saving the tire manufacturer additional processing steps by supplying Cordenka rayon filament for the reinforcement of high-performance tires as cord or cord fabric.
Continue ReadingMichelin PAX System Provided As A Standard Feature On The Renault Scénic
Michelin PAX System became a standard feature on the top-of-the-range versions of the Renault Scénic (Fairway and Sport Way). According to the vehicle manufacturers forecasts, these two models could represent 40 % of Scénic sales in France, or around 35,000 vehicles per year in the first year. PAX System remains available as an option in the rest of Europe.
Continue ReadingStapleton’s Acquires WSTyremasters
The news is now official; Letchworth-based Stapletons Tyre Services has completed the acquisition of WSTyremasters (WST), one of its largest competitors. This makes Stapletons by far the largest UK car tyre wholesaler. Neither side would reveal any financial details of the transaction. The agreement, reached between Stapletons and ATS Ltd, WSTs parent company, covers all of WSTs trading interests. It has also been fully supported and endorsed by Michelin, which owns ATS. The deal includes six WST distribution centres in Bristol, Watford, Dereham, Burton, Manchester and Glasgow, 115 members of staff and the exclusive UK distribution rights to the Ambassador budget tyre brand. The agreement has been rumoured for some time, but was only formally concluded on Tuesday. This is a highly significant strategic acquisition for Stapletons which gives a very clear demonstration of our ambitious expansion and development plans for the UK, said managing director Ashley Croft.
Continue ReadingDifferent Opinions From Analysts Regarding Goodyear Shares
Following a conference given by Goodyear boss Sam Gibara in New York, there was a difference of opinion among analysts. While Deutsche Bank recommended Goodyear shares now as a buy - the bank also recommends Michelin, Continental and Cooper as buys because it foresees improvements for the whole industry. On the one hand there have been price increases to the dealers while, on the other hand oil prices were 15% cheaper than last year. Analysts from UBS Warburg however see Goodyear shares as a hold. The turnaround plans presented by Goodyear are clear and the analysts believe that these can be achieved. On the other hand they refer to the fact that the Goodyear management has made many promises in the past that they could not fulfil. Therefore from their point of view the message is wait and see. They say that the fair price for Goodyear shares at the moment is 25 US-$; at the stock exchange the shares are worth 24.50 US-$.
Continue ReadingGoodyear Is Forced To Announce More Lay Offs
Goodyear made a loss of 174 million US-$ in Q4 and announced, we feel bound to say as usual, the lay off of about 3,500 employees worldwide in order to reduce costs in the region of about 100 million US-$.
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