Stronger Than Expected Profit For Trelleborg
Trelleborg, the Swedish industrial conglomerate has reported a stronger pre-tax profit than expected for the first half. Although only returning a figure of 439 million Kroner, a fall from the 789 million Kroner reported for the same period in the previous year, the profit exceeded the expected 431 million Kroner. Sales rose from 6.59 billion Kroner to 9.62 billion Kroner over the same period, and operating profit, excluding once only items, stood at 619 million Kroner, 100 million above the same period for the previous year.
Continue ReadingRecalled Tyres Potential Recycling Nightmare
The 13 million recalled Firestone tyres in the USA may be about to create another set of problems.Ford has contracted Recovery Technologies Group (RTG) to collect and recycle 6 million of the tyres. The company is having to use sub-contractors to collect, so may not be fully in control of the collection and it is feared that many tyres may be returned to the road. Additionally, RTG, can currently only shred 500 tyres per day, which equates to 32 years of non-stop shredding. Even if the firm does shred and crumb every tyre, there are serious doubts about the available market for the end product.
Continue ReadingTwo More Cement Plants Authorised To Burn Tyres
Disposal of scrap tyres in the UK has been boosted by the news that two more Blue Circle cement plants have received the official go-ahead to consume tyres. The factory at Dunbar in Scotland will take chipped tyres while the plant at Westbury, Wiltshire, will take whole car tyres. These plants join Blue Circles factory at Cauldon, which is already consuming chipped tyres.
Continue ReadingInsurers Aim To Collect From Firestone/Ford
Allstate and State Farm, two of Americas largest insurers are aiming to recover the costs of claims paid out to victims of traffic accidents involving Ford Explorers and Firestone tyres. An insurance industry spokesman said Firestone and Ford have attempted to avoid the courts and settled claims quietly with the plaintiffs, I would expect the same strategy with the insurance companies.
Continue ReadingTyres and On Site Support From Michelin
Michelin has committed 24 hour support and tyres towards keeping the recovery efforts in New York moving. Specifically an On-Site Service truck in the disaster area 24 hours a day, seven days per week to service emergency vehicles; 250,000 US Dollars (270,338 Euro) worth of Michelin tyres and an on-site technical expert to assist in mobility issues. Additionally, Michelin Group has contributed 1M US Dollars (1,081,775 Euro) to the American Red Cross Disaster Fund. A Michelin Relief Fund has been opened to all 128,000 Michelin employees who may wish to make further donations.
Continue ReadingCART Series To Use Bridgestone Potenza Tyres
From 2002, cars in the Championship Auto Racing Teams (CART) competition will be racing on Bridgestone Potenza radials instead of Firestone tyres. The company says that the Bridgestone brand has had limited exposure to racing fans in the US up till now but, with CART evolving into an international program, it is appropriate to capitalise on Bridgestones reputation as an international race brand.
Continue ReadingBrazilian Joint Venture For Watts
Watts Industrial Tyres (WIT), the UK market leader for industrial tyres, has signed a joint venture agreement with its Brazilian distributor to manufacture and distribute Watts brand solid tyres in Brazil. The company is Souza Pinto Industria e Comercio de Artefatos de Borracha Ltda. and production begins this month at a new factory near Sao Paolo.
Continue ReadingTyre Contract For G&S Tyres
Independent tyre dealer and Bandag retreader G&S Tyres has won the contract to supply all tyre-related services to the London division of the RMC (Ready Mixed Concrete) group. The deal involves the supply of new tyres, Bandag retreads and all associated services for the next two years for RMC Greater Londons fleet of 57 8x4 aggregate tippers.
Continue ReadingKaizaki Makes A Point
Yoichiro Kaizaki, in a circular letter to Bridgestone management, has made it clear, that the sum of up to 50 bn $ claim for damages referred to by some American attorneys is totally false. American subsidiary Bridgestone/Firestone Inc. has already made, according to Kaizaki, an initial charge of 450 million US-$ for the tire recall itself and has now pledged an additional reserve of 450 million US-$. This should be in accordance with what all involved counsels believe will be the maximum cost for the American subsidiary. There is no financial danger for Bridgestone/Firestone Inc. Obviously it is a question of American lawyers trying to increase public pressure on Bridgestone Japan with the intention of talking up the claims for damages in order to encourage an out-of-court settlement. Kaizaki has countered this by saying that from now on every baseless attempt to do this will immediately be discussed in public debate.
Continue ReadingFine For SITA Tyre Recycling Ltd After Environmental Offences
On January 24, SITA Tyre Recycling Ltd., the company running the whole-tyres-to-energy power station which has been closed since June, pleaded guilty at Wolverhampton Magistrates court to five environmental offences. The case was brought by the Environment Agency and SITA were fined a total of £28,500, and ordered to pay costs of £15,392.50. Meanwhile, the SITA tyres-to-energy power station (formerly Elm Energy), based in the midlands in the UK, is unlikely to open its doors again as a tyre-burning facility, at least under SITA ownership. Initial investigations indicated that rectification work would cost 4 million Pounds and a closer examination revised this figure to 6 million. There were doubts too that a viable price could be achieved for a regular supply of tyres. Eventually, the decision was taken to mothball the plant until SITA either finds a buyer, or uses it for something else. 59 of the 60 employees have been made redundant.
Continue ReadingVW Microbus On Goodyear Tyres
The New Beetle aroused great enthusiasm in the United States when introduced and now VW wants to repeat the success story with a concept car called Microbus. At the Detroit Motor Show the reincarnation of the love bus from the 50s and 60s, the symbol for the flower power generation, is fitted with modern 20 inch aluminium wheels and Goodyear tyres size P 245/45 R 20.
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 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 ReadingBears Threaten US Auto Market
Autopolis, the Bear-ish auto industry strategist is likely to downgrade forecasts for the US and North American automotive markets. Despite high sales, production is down by 20% and stocks 40% above normal. This follows an earlier warning of a forecast 11% drop in world-wide (in Western Europe and Asia too) demand, and alerts issued by Autopolis regarding over capacity, and the need to cut costs and improve marketing.
Continue ReadingIndian Tyre Industry Threatened By Imports
The Indian tyre manufacturing industry may be under threat from cheap imports from China. The lifting of trade restrictions with China has already created trading problems for many of Indias smaller industries. Presently imports from China form only 2.87% of Indias imports, but the arrival of cheap, mass produced products from China has indicated the lack of preparedness of Indian industry to meet the new competition. Tyre manufacturing has been highlighted as a potential victim as businesses move from manufacturing to importing.
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