On 14 March, Federal Tire said it would hold a general shareholder meeting in three months. Tyrepress China found that the tyre manufacturer will issue a “Report on losses up to half of the paid-in capital” at the general meeting of shareholders. Federal explains that “the accumulated losses of the company in 2022…reached one-half of paid-in capital”. This document shows that the Federal business situation in 2022 seems to have fallen into a trough.
Pirelli & C. S.p.A. has announced that it will repay a 600-million-euro funding line on 25 October 2022 “in advance and in full”. The debt had originally been due 25 January 2023.
Nynas has settled payments to trade creditors with claims remaining, after receiving an initial payment of 100,000 Swedish krone each following the completion of Nynas’s company reorganisation in January 2021. According to a statement published by the speciality oil refiner and supplier on 19 January 2021, those actions are “in accordance with the composition agreement between all creditors and as decided by the District Court of Södertörn”.
The Goodyear Tire & Rubber Company commenced a private offering of US$1.45 billion aggregate principal amount of 8- and 10-year senior notes on 13 May 2021.
On 15 June 2020 Italian tyre distributor Fintyre filed an application for admission into a debt restructuring arrangement with creditors to preserve “business continuity and better safeguard the interests of its creditors and of all the subjects who, for various reasons, have relationships with Fintyre”, according to our Italian group publication PneusNews.it. Related businesses Franco Gomme and Tire Retail (Pneusmarket) are not part of the arrangement.
Pirelli has subscribed to a new 800 million euro line of credit financing with a number of leading Italian and international banks. This line of credit has a five-year maturity and is entirely sustainable, in accordance with Pirelli’s economic and environmental sustainability targets.
On 5 September Moody’s Investors Service downgraded its Probability of Default Rating and senior subordinated notes rating for American Tire Distributors, Inc., to Ca-PD (from Caa3-PD) and C (from Caa3) respectively, following the company’s proposed debt-for-equity exchange offer to holders of the rated notes. All other ratings, including the company’s Caa2 Corporate Family Rating and Caa1 senior secured bank debt (term loan) rating remain under review for downgrade.
Yesterday, Pirelli & C. closed a ‘Schuldschein’ financing – guaranteed by Pirelli Tyre – for a total of 525 million euros. The financing, granted by primary market participants, consists of one 82-million-euro tranche with a three-year maturity, one of 423 million euros with a five-year maturity and one of 20 million euro with a seven-year maturity.
Having previously been ruled out of the running to buy Kumho Tire, Qingdao, China-based manufacturer Doublestar Tire is once again in pole-position to buy the South Korean tyremaker. “Doublestar Tire is the best option in view of a fast restoration of Kumho Tire and its corporation in China and the minimization of our losses”, Kumho’s creditors said in a widely reported statement.
As part of its ongoing challenge for bodyshops to treated fairly, RMI Bodyshops (NAB & VBRA), the UK’s leading trade association for the vehicle body repair sector, has reached a milestone in its debt recovery service.
The association, which provides a variety of services designed to provide support to its members and allows them to focus on the day-to-day running of their business, has now recouped over £100,000 so far this year on behalf of members – without any commissions being deducted.
“RMI Bodyshops (NAB & VBRA) is delighted to announce that less than six months into the year, our debt recovery service has collected over £70,000 of aged debt for NAB & VBRA members with no commission charges,” comments Frank Harvey, head of bodyshop operations.
On 9 January, Pirelli signed a new revolving and term loan multicurrency facility worth a total of €1.0 billion and with a maturity of five years. The facility replaces an existing €1.2 billion revolving line of credit that is due to expire in November 2015 and which, as a consequence, will be cancelled in advance. The new revolving credit line totals €800 million while the Term Loan amounts to €200 million, with an amortisation structure which reflects the Pirelli Group’s cash flow generation and deleveraging trends.
On 23 December, Kumho Tire emerged from the debt workout programme it was placed under at the start of 2010. More than 75 per cent of the company’s creditors, in terms of debt held, decided that Kumho Tire had reached the threshold for ‘graduating’ from the programme. The tyre maker’s debt ratio, which hit a high of 858 per cent in 2010, declined to 290 per cent during the first half of 2014. Its credit rating also improved from BBB- to BBB.
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