Goodyear And The Dunlop Acquisition
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Related news: Goodyear Top Management Under Pressure Goodyear And The Dunlop Acquisition Michelin to Use Pneu-Logic Tyre Inspection Technology Kisby’s Easy Autocentres Acquires 27 HiQ Outlets
National Tyre Services Limited (Zimbabwe) has invested $20 million on the commissioning of a third curing chamber at its Harare Bandag factory. The investment comes at a time when other companies are closing shops or relocating to other countries. NTS Zimbabwe is an official re-distributor of Dunlop tyres and is now the largest customer in southern Africa for Bandag products.
Goodyear has announced plans, from its headquarters at Akron, to increase the prices of all its consumer tyres by between four and five percent from the 1st December. This is as a direct result of increasing raw material charges. The increases affect the North American market and apply to Goodyear, Dunlop and Kelly and all associate brands.
In Germany, VW/Audi has embarked on a press publicity campaign for winter tyres. The program runs for October/November and includes tyre and wheel assemblies with tyres from companies Bridgestone, Continental, Dunlop, Goodyear, Michelin, Pirelli and Mabor Winter Jet, a Continental house-brand. The interesting point is that, when the tyre is purchased, a storing service is offered, accompanied by a free guarantee. The 24-month guarantee includes protection against punctures, damage caused by kerbing and vandalism. The guarantee is not restricted to VW or Audi cars. More information will be available under www.reifengarantie.de, although the page is not yet up and running.
Kumho Tire Company is the eleventh new tyre manufacturer to support the Tire Retread Information Bureau (TRIB). Other new tyre manufacturers who are currently TRIB members include Bridgestone/Firestone, Cooper, Dunlop, Goodyear, Hankook, Hercules, Kelly-Springfield, Michelin, Sumitomo and Yokohama. “We are very pleased that Kumho Tire Company has decided to support TRIB. They, along with our other new tyre manufacturer members, realise that TRIB’s efforts on behalf of retreading benefit the entire truck tyre industry,” said Harvey Brodsky, TRIB’s Managing Director. Brodsky said that TRIB is actively contacting all other new tyre manufacturers throughout the world with an invitation to join the Tire Retread Information Bureau.
Dunlop tyres size 265/70 R 15, made between 1995 and 1999, are being examined by the NHTSA, following two rollover accidents in which people were injured.
On September 5th, Goodyear Dunlop UK officially opened its new purpose-built head office and national distribution centre, called TyreFort, in Birmingham. The building houses 300 associates, including Goodyear and Dunlop sales and marketing functions and shared functions such as finance, IT, etc. The National Distribution Centre is a 500,000 square foot warehouse, capable of storing one million tyres, and operates 24/7. In a spectacular opening ceremony, Marco Molinari, Chairman and Group MD for the UK welcomed guests, local dignitaries and customers and the official opening was performed by Mike Roney, President, Goodyear-Dunlop Western Europe.
In South Africa, a V8 speedster called Spirit of Dunlop, shod with locally-produced SP Sport 7000D tyres, achieved an average speed of 388.538 km/hr over a measures kilometre, monitored by Motorsport SA. This is an unofficial, but recognised, World Land Speed Record for standard production tyres, says Dunlop Tyres South Africa. It also beats the South African Land Speed Record of 372.401 km/hr, which has stood since 1990. The Spirit of Dunlop was driven by three times SA Production Car Champion Grant van Schalkwyk.
J.D. Power and Associates has released details of its 2002 Replacement Tyre Buyer Behaviour and Satisfaction Study. Over 9,400 motorists in the USA who have recently purchased a tyre were questioned and the results were as follows. In the passenger tyre section, which includes cars and compact vans, Michelin came out top for the fourth year running, followed by (in order) Toyo, Uniroyal and Kelly (tied), Cooper and Goodyear (tied). Brands rated as performing at or below the industry average were, in alphabetical order, Bridgestone, Dayton, Douglas, Dunlop, Firestone, General, Sears and Yokohama. In the light truck category, Michelin and Cooper tied for first place, followed by BFGoodrich. Other brands were ranked at or below average and these were, again in alphabetical order, Firestone, Goodyear and Uniroyal. When it came to rating retailers, Les Schwab Tire Centers came out top for the third year running, followed by Big O Tires and Goodyear Auto Centers.
Zimbabwe’s only tyre manufacturer, Dunlop Zimbabwe, is at the centre of a political row. A member of the ruling Zanu PF party visited the company after reports on the state-owned Zimbabwe Broadcasting Corporation alleged that Dunlop was closing down as part of a plan by white-owned businesses to stir up unrest against the government. This has been refuted by a source close to Dunlop, which says that the company is suffering because of Zimbabwe’s shortage of foreign currency and government controls over tyre prices, but there are no plans to close down. The company, which employs around 800 staff, imports 90 per cent of raw materials needed to make tyres and wants to raise tyre prices. It has already suspended credit sales to customers in order to minimise losses.
Dunlop Tyres International (formerly Dunlop Africa) has sold off its international products division to Specialised Belting. The price was not revealed. The international products division includes conveyor belt and hose manufacturing and the sale, according to Dunlop CEO Mike Hankinson, follows Dunlop’s decision to concentrate on the core business of tyre manufacturing
Slovenian tyre manufacturer Sava, since 1998 owned 60 per cent by Goodyear, presented their new high performance tyre “Intensa” for middle and upper class vehicles to the press and an international group of 360 retailers, from 21 nations, in Planica at the end of March. The directional tyre, which will replace its predecessor “Rapidex”, has been developed in co-operation with the Luxembourg R&D-department of Goodyear and will appear in 27 different sizes from 185/65 R 14 86H up to low profile dimension 235/40 ZR 17 90 W.The new tyre is made at a production plant that is regarded as one of the best and most powerful within the Goodyear organisation. In the past year the 1,400 employees manufactured seven million tyres – however just 57 per cent of these had the brand name Sava on their sidewall. The other 43 per cent were other group brands – Goodyear, Dunlop, Fulda, Debica and, until the end of 2001, some sizes of Kelly. All these brands are produced in parallel at the plant located in Kranj. The turnover of Sava could be increased 13 per cent up to 210.7 million US-Dollar under the leadership of Richard A. Johnson, former European finance boss of Goodyear. This year Sava aims to reach a result of 7.3 million units and a turnover of more than 233 million US-Dollar. Today, it is almost exclusively passenger car and light truck tyres that are manufactured in the production facility. The production of truck tyres has been shifted towards other plants in Poland and Turkey in recent years. Further foreign markets for the brand, which is well known in Central and Eastern Europe, include Western Europe, but especially South America, Middle East and Asia. Further highlights in the event programme were the guided tour through the factory in Kranj as well as a visit to the World-Cup final in ski-flying which is traditionally held in Planica.
Shareholders of Pacific Dunlop in Australia have voted to change the company name to Ansell Ltd. The name change is to reflect the organisation’s future focus on its protective products divisions.
South Pacific Tyres, the jv between Australia’s Pacific Dunlop and Goodyear of the USA, is set to increase production at its plant in Upper Hutt, New Zealand. Production at the plant is due to rise by 65 per cent over the next year, creating 140 new jobs. In unit terms, output will rise by one million tyres, to 2.4 million tyres a year. Production will go from 24 hours a day, five days a week, to 24 hours, seven days. 60 new sizes of tyre will be introduced into the factory, many coming from South Pacific factories in Australia.
Based in Rio Saliceto, about 20 miles west of Modena, Italy, Butler Engineering & Marketing originated in 1998. It started as an entrepreneurial venture by a few people with a common vision to change the way tyres were fitted, bringing into line the technical developments of the tyre, wheel and automotive industries.The first four years were dedicated to product development and contacts with the main customers were established. Then, in 1993 and 1994 the network of agents was brought up to a satisfactory level, according to the company’s potential in terms of manufacturing capability.It was in late 1994 that the growth boom started. The company now employs 70 professionals. Turnover in 1995 doubled, while in 1996 another increase of approximately 50% was achieved. Since then a steady increase in turnover and output has occurred.Butler specialises in manufacturing tyre changers, which are very original and innovative in terms of design, construction and operation. All Butler tyre changers can easily be identified because of their special features; in fact, they have a unique ergonomical design and are almost all powered by compressed air. Power and comfortable controls allow an effortless and effective operation, even with the toughest and most delicate tyre-rim combinations.All parts of the machine touching the wheel or tyre are made of plastic or rubber, to avoid any kind of damage. For instance, an exclusive and patented mount/demount head, made from synthetic material, is always in touch with the rim edge, thus reducing considerably the stress generated during a mounting or demounting operation.The Butler range of equipment also includes a complete series of electronic wheel balancers, made according to the latest technology, eg the ADI (Automatic Data Input). Butler has established a mutual cooperation with the R&D departments of important car, tyre and wheel manufacturers, which are using Butler tyre changers to test the mountability of the most advanced tyre/rim combinations.Approvals or agreements have been signed with Mercedes, Porsche, Bridgestone/Firestone, Dunlop, Continental and others. BBS and Lorinser are promoting the Butler Airdraulic to all their wheel dealers. At the assembly plants of Ferrari, Porsche, M5, Audi 8, Fiat and others, the first equipment tyres are mounted with Butler Airdraulic tyre changers.Technical improvements are not focused just on machines, but also on tools like the so-called ‘HM’ (Half Moon) tyre bead lever, which dramatically improves the operator’s comfort and efficiency.A consumer’s video has been produced to increase the knowledge and skill of operators on handling the toughest and most delicate low profile tyres and aluminium rims with the Butler Airdraulic tyre changer. “The Butler Passport to Higher Performance” is an important contribution to spreading knowledge on how to handle rims and tyres.It is a manual containing general and specific information about rims, tyres and the proper way to handle them. Also it includes a section related to the use of Butler tyre changers. This manual is available on the Butler home page www.butler.it where other interesting information can be found.
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