Continental Archives - Page 135 of 229 - Tyrepress

Hannover-based Continental AG is a leading automotive supplier and – according to the company – is “the choice of leading car manufacturers, offering award-winning tyres that deliver responsive braking in all weather conditions.”

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Avoiding Stone Damage with Conti’s HTL1

Continental’s HTL1 super wide trailer tyre was introduced into North American markets in early July, and the company reports that users there are already praising a particular benefit delivered by the on/off road and construction use tyre. Although most fleets choose a super single trailer tyre to reduce weight or increase fuel economy, Continental Tire North America states customers have reported the HTL1’s stone ejection system increases tyre longevity other super single trailer tyres they have used.

17th August 2009/by Tyrepress Editors

S&P Downgrades Conti Following Neumann’s Departure

Dow Jones reports that Standard & Poor's has reduced Continental AG’s credit rating two notches in light of concerns it has over the influence major shareholder Schaeffler has on the company's strategy and credit quality. The downgrading occurred a day after Karl-Thomas Neumann stepped down from Conti’s Executive Board following a power struggle with the Schaeffler, and according to Standard & Poor’s, Neumann’s resignation "heightens our concerns of a negative influence of Schaeffler on Continental."

14th August 2009/by Tyrepress Editors

Work on Conti China Vehicle Parts Factory Underway

Continental is building a new manufacturing facility for its Automotive, Chassis & Safety and Powertrain divisions in China. The 74,000 square metre plant is located in Shanghai’s Jiading Industrial Zone, site of its new Continental Asia Headquarters and dedicated Engineering Center. Production at the new facility will mainly be dedicated to supplying vehicle manufacturers in China, Japan, Korea and Europe, with the first deliveries expected to take place in the middle of next year.

13th August 2009/by Tyrepress Editors

Get Out and About With Continental Tyres

Continental Tyres is promoting discount deals for family days out at over 300 attractions across the UK this summer.

13th August 2009/by Tyrepress Editors

Just-auto publishes Fifth Edition of Global Tyres Market Review

Just-auto has published a new report on the global automotive tyre industry, including revised forecasts for the market until 2016. The 91-page fifth edition reviews emerging trends, such as the rising interest in run-flat, UHP and what the report calls ultra-fuel efficiency tyres, and offers exclusive interviews with senior executives of Bridgestone, Continental and Goodyear. The report is available on the marketsandcompanies.com website for download at a cost of £575.

13th August 2009/by Tyrepress Editors

Continental Reshuffles Executive Board

Following a meeting of the Supervisory Board of Continental, the company’s Executive Board has been reshuffled. Effective immediately, the Supervisory Board appointed Dr. Elmar Degenhart, formerly president of the Schaeffler Group’s Automotive Division, as chairman of the Executive Board.

13th August 2009/by Tyrepress Editors

Continental Reports 32% Sales Drop; Achieves “Intermediate Goal”

Continental reported mixed news in its half-year financial results. Sales are down 31.6 per cent to 9.063 billion euros from 13.254 billion in the same period in 2008, but the company’s press release was keen to play up its Adjusted earnings before interest and tax (EBIT) figure of 248.7 million euros, representing an effective return to profitability, albeit with a figure considerably down from 2008’s first half Adjusted EBIT figure of 1.184 billion euros – of course, in the context of the worldwide financial crisis, this drop is less than surprising, and the positives to be gleaned from this years figure are numerous. (“Adjusted” is defined by Continental as the EBIT figure, “before amortization of intangible assets from PPA, changes in the scope of consolidation, and special effects, including severance payments from the worldwide cost-cutting programme in 2009.”)

12th August 2009/by Tyrepress Editors

Deutsche Bank Praises European Tyre Makers’ Margins

In its global automotive news brief, Deutsche bank has noted that while the three major European tyre companies experienced "very weak" volumes during the first half of the financial year, each of them reported strong resilient margins. Continental achieved an adjusted operating margin of 11.0 per cent, which was stable on the first half of 2008, Michelin 4.0 per cent (8.6 in the first half of 2008) and Pirelli Tire 7.6 per cent (8.8 per cent in the first half of 2008).

12th August 2009/by Tyrepress Editors

Conti Calls on Students to Assist in Tyre Wear Research

Engineering students at one German university are contributing to future tyre development through a programme with Continental. The manufacturer is cooperating with students from the University of Karlsruhe on research into passenger car tyre durability, and work so far has including the designing and construction of a test unit that was subsequently fitted and operated with different, realistic road surfaces.

10th August 2009/by Tyrepress Editors

Reports: Conti Execs Fear Contracts Will Follow Neumann out the Door

Continental AG said contracts, customers and employees could be lost if Dr Karl-Thomas Neumann is pushed out of his chief executive position. Quoting a document submitted to representatives of supervisory board members, Dow Jones Newswires reported that the group’s communications committee for management said: “We know that some of our customers are considering moving their business to rivals…We also run the risk of the attrition of further managers, at all levels, and the company losing its attractiveness as an employer.”

7th August 2009/by Tyrepress Editors

Keeping Costs Down with Conti

Bitumen supplier Nynas has exclusively fitted Continental tyres to its fleet of 120 tractor units and trailers for the past 15 years, and the decision to do so appears to be paying off – the company’s annual tyre budget is said to be lower now than a decade ago. A combination of good tyre husbandry – an annual independent audit by entyrety shows the company as being amongst the top performers in terms of its tyre management process – and the tyres chosen are to thank for this happy situation. Nynas reports achieving good wear from the tyres, while benefitting from their low weight and the contribution they make towards fuel efficiency: it is said that each truck can carry up to a tonne more payload every week, with fuel consumption of 8.64 mpg for tankers running at 44 tonnes.

28th July 2009/by Tyrepress Editors

Analysts: Continental’s New In-Vehicle Infotainment System is ‘Revolutionary

While the top level executives at Continental AG, Schaeffler Group and the panel of banks they owe huge sums of money to slog it out over who will run the companies, for many who work within their subsidiaries it is business as usual. And while one of the fiercest battles in German corporate history rages at the upper echelons of the business, Conti’s in-car division is apparently doing something right. According to a report released today by Frost & Sullivan, Continental’s AutolinQ in-vehicle connectivity and infotainment platform is set to “revolutionise the automotive world, ushering in new business models that are simpler, more flexible, and better set to maximise payoffs for all players along the telematics value chain.” However, questions of connectivity, the overall selling model, cross industry collaboration and application types must be ironed out first.

28th July 2009/by Tyrepress Editors

Schaeffler Accused of Blocking Continental Merger

Continental AG chief executive, Dr Karl-Thomas Neumann, has reportedly written to the Schaeffler Group’s family owners alleging Schaeffler has tried to block the two companies’ merger with “incorrect assumptions about the company’s value and a reluctance to agree to key points.” According to the Financial Times, the letter alleged that Schaeffler’s banks had “communicated an unrealistic value of 12 billion euros (£10.325 billion; $17 billion) for the automotive supplier.

FT reports that Dr Neumann is now “heading for a showdown with Schaeffler at [the] supervisory board meeting next week, when he will push for a decision on several key points as a basis for a merger of the companies.” The financial newspaper described a proposal document Dr Neumann has presented to supervisory board members ahead of the meeting. In it he demands that the combined group strive toward an investment grade rating as quickly as possible: “From 2010, the group should have a maximum net debt of three times operating profit (earnings before interest, tax, depreciation and amortisation) and equity ratio of 25 per cent, the document says.”

23rd July 2009/by Tyrepress Editors

Reports: Continental Considers 1 billion euro Capital Increase

Continental AG is reportedly considering a 1 billion euro (£865 million; $1.4 billion) capital increase. According to an article published in the Financial Times, Conti CEO Dr Karl-Thomas Neumann is to make the proposal at a supervisory board meeting next week scheduled in advance of the company’s combination solution announcement, expected at the end of July. Neumann’s suggested capital raising is being described as “an alternative to a merger with Schaeffler,” FT said.

According to the newspaper recent plans for Continental to regain control of the merger through a reverse takeover of its 90 per cent shareholder have been “torpedoed” by Schaeffler Group. Schaeffler is reportedly negotiating with its backs to delay loan payments for two years. Under current terms it would have had begin repaying a first 500 million euro debt tranche in January 2010. Meanwhile, Continental is said to need a “quick merger or a capital increase” owing to the fact that it has 800 million euros in debt maturing in August and a further 3.5 billion euros maturing in 2010.

21st July 2009/by Tyrepress Editors

Analysts Hail ‘10x Better Than Expected’ Continental Results

Morgan Stanley has raised its estimates for Continental AG shares following what the analysts described as “much stronger than expected second quarter results” According to Morgan Stanley the pre-announced second quarter results reveal an adjusted group EBIT figure “10 times higher than…expected.” The 5.9 per cent EBIT margin therefore compares very favourable with the analysts’ 0.6 per cent forecast.

Furthermore, this positive surprise appears to be split 50 per cent between the Auto and Rubber groups, where sales in the Chassis & Safety division and “strong winter tyre sell-in won the quarter.” However, the analysts also warn that while the company has obviously benefited from “early winter tyre sell-in…this cannot be extrapolated into the third quarter where we think profit will certainly be lower.”

20th July 2009/by Tyrepress Editors