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.”
Continental AG is investing in a hot retreading production plant in Western Europe, the company has announced. A statement explained that this decision aims to underline the “great importance of retreading business for Continental” and adds weight to its ContiLifeCycle concept. No details of the amount of investment have been released. The location of the new production site will be announced at a later date.
Continental’s top class football sponsorship includes the official sponsorship of UEFA Euro 2012. In its role as exclusive tyre partner the company will equip coaches transporting the players with its HSR2 premium tyre, while a specially configured HSU1 tyre will be fitted to forty fan buses in the four Polish host cities of Warsaw, Poznan, Gdansk and Wroclaw. The German tyre manufacturer will also supply service technicians through its Conti360° network to carry out daily tyre checks for the increased safety of players and supporters.
Major Continental shareholder Schaeffler AG has reported a “good start” to 2012. On announcing the company’s January to March results on 29 May, CEO Dr. Juergen M. Geissinger said “we have successfully continued our growth strategy during the first quarter of 2012 despite an increasingly challenging environment. With sales increasing by six per cent, our growth has again outpaced the market. We have managed to stabilise our profitability at a high level.”
After years of relative quiet regarding speculation about ownership of Continental AG, a relatively weak first quarter at the company’s majority shareholder (Schaeffler) has kick started the rumour mill. The thinking is that the shareholder will off-load some of its share to free up cash flow and support the valuation of Conti as it re-enters the Frankfurt-based DAX German stock exchange.
Mitas Tyres Ltd will exhibit two new tyres, the HC70 and AC70T, and the Continental SVT CHO (Cyclic Harvesting Operation) harvester tyre on its stand at Cereals 2012. The HC70 is an adaptable 70 series tyre designed for use on 90hp to 180hp tractors. The AC70T has deeper lugs, making it suitable for heavy field work. The show will take place at Boothby Graffoe, Lincolnshire on 13 and 14 June.
Continental has introduced a road legal track day tyre into the UK, and the company says this latest product sets a new benchmark for high performance cars. The tyre is the ContiForceContact, which visitors to February’s Geneva Motor Show may have seen fitted to the Conti-liveried Artega GT sports car that competed in last year’s Nürburgring 24-hour race. The ContiForceContact is the German manufacturer’s first road legal track day tyre.
Bridgestone Corporation reports that recent research conducted by its Bridgestone Americas operations may indicate that the Russian Dandelion can become a commercially viable, renewable source of high-quality, tyre-grade rubber.
Kumho’s new Ecsta LE Sport KU39 is an asymmetric ultra high performance tyre designed for Europe’s top car marques; the manufacturer reports the tyre was developed using the latest KADAS prediction tools and on Europe’s most demanding test tracks. The Y speed rated product’s key selling points are its enhanced performance, braking in wet conditions and controlled ride and refinement. Kumho says its high grip tread compound ensures maximum traction and braking performance, while its specially designed casing provides impressive high speed stability.
Since 2003, Continental has held an increasing share in the Malaysian tyre business it ran together with Sime Darby Allied Products Berhad. Now the German company has acquired the outstanding 30 per cent share in Continental Sime Tyre Sdn. Bhd still owned by its joint venture partner, and the operation has become a fully-owned subsidiary of Continental Corporation. To mark the business’s 100 per cent Conti-owned status, it has been renamed Continental Tyre Malaysia Sdn. Bhd. Upon reporting the transaction, Conti comments that the share acquisition underlines the “long term interest and the commitment of Continental to Asean and to the Asia Pacific Region.”
Despite trends pointing towards ever-increasing rim diameters, tyres for smaller vehicle categories still enjoy strong customer appeal. This is due not only to rising demand in Central Europe but also to the trend towards growing numbers of smaller cars in the compact and medium-size categories. Traditionally strong in the OE business, thus Continental expects a healthy response to its latest summer tyre, the ContiPremiumContact 5.
Birmingham-based Truck Tyre Solutions (TTS) made its debut at this year's CV Show as part of the company's profile development programme. With a distinctive stand display the company's main objective was to further enhance brand awareness of the Firenza truck tyre range for which TTS act as the appointed exclusive distributors throughout the UK. A full selection of the Firenza truck range were on display for inspection and TTS sales director, Carl Falconer states that there was an encouraging response to the brand throughout the show. He added: “It is a good mid-range performing tyre that continues to gain recognition from our fleet customers.
Continental has announced plans to increase the number of it employs in China by 5,000 by the end of 2012, further to its announcement in 2011 that it would expand its staff by 25 per cent. According to the company this forms part of a strategic plan to support its growth in China, the automotive supplier will hire employees across various areas including engineering, manufacturing and functional roles. In order to achieve this goal, Continental is in the process of extending its recruiting programs, which include Campus Recruitment 2013, Continental University Competition, Continental Day in major cities, and sponsorship of Formula Student China.
A week ago, Continental gave word that its performance in the first quarter of this year was “very good”. The company has now released its full report for the quarter, providing additional details on the three-month period to 31 March.
At its Annual Shareholders’ Meeting on 27 April, the Continental Corporation reported a “very good start” to this year. During the first quarter of 2012, the company experienced a double-digit year-on-year growth in sales to 8.3 billion euros, with sales in both its tyre and automotive markets stronger. Reported EBIT, at 766 million euros, exceeded the previous year’s figure considerably, and with a margin of 10.6 per cent, adjusted EBIT before acquisition-related amortisation and special effects amounted to roughly 875 million euros, up from last year’s figure of 734 million euros. Continental will publish its first quarter report in full on 3 May.
Following positive experiences at its Mt. Vernon, USA plant, Continental has implemented a ‘Work-in-Process’ (WIP) Visibility solution from AeroScout at its tyre plant in Sarreguemines, France. AeroScout, a specialist in enterprise visibility solutions, first supplied the Wi-Fi RFID-enabled solution to Continental Tire the Americas as part of expansion plans for the Mt. Vernon facility; AeroScout says its product helped enable the site achieve a 20 per cent reduction in component tyre losses. Continental anticipates the French project will increase daily output at Sarreguemines by 4,000 units.
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