Known for its style, speed and performance marketing values, Pirelli & C. S.p.A. is a multinational company based in Milan, Italy, listed on the Milan Stock Exchange since 1922, with a temporary privatization period by the consortium led by the Chinese state-owned enterprise ChemChina.
Every year China’s Shandong Province honours foreigners that add to the region’s social, economic and educational progress with its ‘Qilu Friendship Award’. This year the Shandong Province government has presented the Qilu Friendship Award to 18 foreign professionals and experts in recognition of their contribution. Included within this exclusive group is Pirelli Asia Pacific CEO Giuseppe Cattaneo.
While it is widely known that the UK’s winter tyres market will receive a bump this year – indeed, the question is now not whether there will be an increase in sales, but how large the increase can be, given the limitations of supply – a consensus seems to be forming that there will be room for greater future growth, given the performance of the segment in countries of similar climates. ATS Euromaster has contributed to this opinion today, stating that the results of a Dutch survey into road traffic accidents show that UK fleets would be safer if they fitted cold weather tyres. The survey by traffic psychologist Adriaan Heino revealed that cars with cold weather tyres were involved in significantly less accidents during winter than those which remained on ‘summer’ tyres.
They’ve become an endangered species of late, but in a not too distant past scarcely a garage or workshop wall lacked a photo calendar featuring skin aplenty. Typically gifted by a garage or fast fit supplier, the girls in each annual edition smiled down on customers and appreciative mechanics alike throughout the year. Pirelli’s calendar can also trace its ancestry back to this staunchly heterosexual ‘girly calendar’ era – indeed, Pirelli states the original idea behind the calendar was to “simply to create a great gift to motivate the sales force.”
Today (30 November) Pirelli signed off on a new revolving line of credit, which provides the company with 1.2 billion euros over a duration of five years. According to the company, the new facility will replace existing lines of credit worth a total of 1.475 billion euros, launched in 2005 and 2007 with maturities in 2011 and 2012. These therefore will be cancelled in advance. An official statement on the matter explained that the new 2015 maturity is aligned to the timing of Pirelli’s recently presented industrial plan.
Moscow has is the venue for this year’s the launch of ‘The Cal’ – Pirelli’s 2011 Calendar. In its almost half-century, the Pirelli Calendar has gained an enviable reputation for presenting some of the world’s most beautiful women. This time round, however, under the artistic direction of Karl Lagerfeld the Calendar has diversified to include something for everyone – in a departure from the previous 37 editions, men feature alongside the female models in the 36 photos that make up the 2011 Calendar. Tyres & Accessories brings you full information tomorrow.
Joining the list of vehicle manufacturers endorsing cold weather tyres in the UK is Ford, who is teaming up with Pirelli to help drivers nationwide “avoid any slip-ups” this winter. And the two companies seem certain that British motorists can benefit from winter tyres – Ford and Pirelli reckon more than 30 days with average temperatures sitting below seven degrees Celsius await us between January 1 and February 28, yet should their forecasting talents be found wanting the companies will refund half the tyres’ cost. Any customer buying four Pirelli cold weather tyres through a participating Ford dealer before December 31, 2010 is eligible to register his or her details and receive a 50 per cent refund on the tyres’ purchase price if the weather proves to be warmer.
Pirelli’s sale of its broadband business is a done deal. On November 29, the Italian company reported the sale of Pirelli Broadband Solutions SpA to Advanced Digital Broadcast Group has been finalised and the transaction is now completed and closed. Advanced Digital Broadcast paid approximately 25.1 million euros in cash and 400,000 listed shares, equal to approximately 7.2 per cent of its capital, for the broadband business. With regard to these shares, Pirelli & C. has undertaken a lock-up commitment for the first two months following the closing, as well as a put option for Pirelli & C. and a call option for ADB, which can be exercised within two years.
India’s Ceat Ltd. now holds global ownership of the ‘Ceat’ brand name after purchasing the rights from Pirelli & C. SpA for nine million euros. The company is said to have made an upfront payment of 4.5 million euros to Pirelli with a bank guarantee for the balance. The purchase allows Ceat to export tyres under the eponymous brand anywhere in the world, and Ceat shares jumped 7.4 per cent to 138.85 rupees as details of the deal became known.
Pirelli has agreed to take over the assets of Sibur Russian Tyres after signing a memorandum of understanding (MOU) with Russian Technologies and oil major Sibur Holding in Moscow on Friday 26 November. The deal, which is likely to position Pirelli as major player in the Russian market, comes after domestic market leader Niznekamskshina, (owned by another oil major, Tatneft) confirmed it had been in merger talks with Sibur in August. However, the latest MOU even goes as far as leaving the door open for a partnership that may offer Pirelli “a further opportunity for development and consolidation through the possible acquisition of or merger with Nizhnekamskshina.”
Pirelli has its ‘Cal’ – the latest of which, incidentally, is being unveiled in Moscow on November 30 – and the company’s Metzeler brand also has a calendar of its own. London’s Ace Café was chosen as the launch venue for the 2011 edition of Metzeler’s ‘Classics’ calendar, and the tyre maker reports an enjoyable evening was had members of the Metzeler ‘community’.
Thanks to the liberal use of carbon fibre, Lamborghini’s new open-top Gallardo LP 570-4 Spyder Performante is even lighter than its roofed counterpart. In total, the 5.2 litre V-10 supercar has shed 65 kilogrammes. You can get your hands on one for under £190,000, and for this money the Italian manufacturer will even throw a decent set of tyres into the bargain. To be precise, the convertible Gallardo will come fitted with the same 19-inch wheels found on the Gallardo Superleggera and versions of Pirelli’s PZero Corsa range especially developed for this new top model in the Gallardo range. Size 235/35 tyres grace the front wheels while 295/30 is fitted at the rear.
Rome based newspaper Il Messaggero reports that Pirelli & C. SpA is negotiating a 1.2 billion euro loan in order to refinance its debt. Although Pirelli has yet to comment on this news, Il Messaggero says the tyre maker has hired Banca IMI SpA, BNP Paribas SA, UniCredit SpA, Royal Bank of Scotland Group Plc, Bank of America Merrill Lynch and Societe Generale SA to arrange the debt. This deal is, the paper adds, expected to be completed within a few weeks.
Having brought its first Formula One tyre test to a satisfactory conclusion, Pirelli reports that its next private test will take place in Bahrain from 12 – 16 December. There will be another private test session in Europe during January, before all the teams reconvene at the beginning of February for the first official test.
Paul Hembery, Pirelli's motorsport director commented: "We've passed our first test with full marks. All the teams have done plenty of laps and everyone has worked very hard. We've focused on the development of the front tire and that has given us the most satisfaction. On Monday, we begin to analyze the data collected over the last two days"
First the good news: Sales of truck tyres to European OEM customers during October 2010 were significantly above those of a year earlier. According to market data made public by Pirelli and Michelin, OE truck tyre sales rose by at least 75 per cent year-on-year (Pirelli’s figure is 75 per cent, Michelin reports segment growth at an even healthier 81.2 per cent). Strong growth in the original equipment business was not matched by the aftermarket, however. Pirelli reports a three per cent drop in European replacement market truck tyre sales during October, while Michelin’s figures show the decline to be 1.5 per cent.
Pirelli has announced that 12 teams will test out its new Formula One tyres on Friday and Saturday. Tyre spotters amongst you will notice the slick tyres in medium and soft compounds are distinguished by a coloured stripe on the sidewall. Each team will have eight sets of tyres available to them for the two days of testing
The test in the United Arab Emirates marks Pirelli’s return to F1 after a 19-year absence. The Italian tyre company has brought 384 tyres and 30 people to Abu Dhabi for its debut. Pirelli’s Formula One team concluded the first phase of testing, following eight private tests and 7000 kilometres on challenging circuits all over Europe.
If you would like the latest news from the Chinese tyre industry in Chinese, visit our partner site TyrepressChina.com. Or click below to continue on Tyrepress.
