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Bandag’s Third Quarter Figures: Europe Remains the Problem

Bandag, Inc. was able to increase its turnover in the third quarter to $260.2 million; up by 5.2 per cent compared to the second quarter of this year and reaching a new record high. Compared to the same quarter last year turnover grew by 6.1 per cent. However, net income plummeted by 50.8 per cent. Bandag, Inc. based in Muscatine, Iowa, only achieved a net income of $9.2 million compared to $18.7 million for the same quarter last year. This net income equals a 3.5 per cent margin on Bandag’s turnover. Compared to the previous quarter the net income only fell by 12.4 per cent from $10.5 million. Obviously Europe remains the problem, as can be read up in Bandag’s current quarter report.

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MPV Sales To Boost Indonesian Tyre Market – Report

An analysis from Frost & Sullivan of the Indonesian replacement tyre market says that the high number of sales of multi-purpose vehicles will mean an increase in sales of tyres. “MPVs are the major types of vehicles being sold in the Indonesian market and considering their role as transportation vehicles in difficult road conditions this segment expects to drive the overall growth of the tyre aftermarket,” notes Frost & Sullivan Research Associate Brijesh Sheregar. The Frost & Sullivan report reveals that revenues in this market totalled $1.09 billion in 2005 and can reach $2.86 billion in 2012.

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Tyrespot Wins RMA Green Dealer Award

Tyrespot Ltd has confirmed its credentials as an environmentally-friendly company by scooping the inaugural Green Dealer Award presented by the Retread Manufacturers Association (RMA). The Award was presented to Tyrespot managing director John Shaw by RMA director David Wilson at the Rubber Industry Dinner held at the Marriott Renaissance Hotel in Solihull on 29 September.

The Green Dealer of the Year Award is a new award introduced by the RMA to recognise tyre dealers who have been particularly supportive to the retreading industry and who continue to market passenger retreaded tyres both actively and successfully.

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McConechy’s Profits Down

McConechy’s Tyre Services has blamed one-off restructuring costs for a fall in underlying profits. The company, which has 50 branches, recorded an operating surplus of £642,588 in the 12 months to 30 April, down from more than £1.2 million in the previous 12 months. Sales were flat at £31.5 million.

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Elgitread: Preparing for Market Breakthrough

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It is taking quite a long time for those involved in the Chinese retreading markets to get up to speed in comparison with the rapid developments in the other tyre-related sectors. The first signs of developments can particulalry be found in the OTR tyre segment. Truck tyre retreading isn’t yet seen as a generally necessary way of saving money and energy. However, tread manufacturers such as Elgitread from India are preparing for a breakthrough in China. That’s why representatives have travelled to the far East to exhibit at the CITExpo year after year although their business in China remains relatively low-level. Elgitread has created a worldwide network of business partners over the past years including five equity production sites – although so far China is not counted among the production sites.

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Qizhou Rubber Focuses on OTR Tyres and Retreading

After the company was founded in 1998, the Qingdao Qizhou Rubber Co., Ltd. has developed and produced various kinds of commercial tyres. Now it seems the company is going in a new direction and will specialise more in its OTR tyre business.

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Kraiburg Recommends Winter Tread Designs

The trend of changing to special winter tyres in the cold season is also increasing in the European commercial vehicle sector, according to Kraiburg Austria. According to demand from the retreading material supplier, it is not just the experienced winter users that now recognise the advantages of a powerful traction tyre, with which they can safely travel through deep snow. In addition to customers in the Alpine regions of Germany, Austria and Switzerland and even Scandinavia, the so-called “lowlanders” are changing more and more from all-season tyres to “genuine” winter tyres. One reason for this is the recent change in German law (StVO (German Road Traffic Regulations) § 2, para. 3a), which could put the insurance cover at risk or make it necessary to bear potential expenses, should the tyres be seen as the cause of accidents or traffic-jams when used under winter road conditions.

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Renault to Offer Goodyear Duraseal Technology

Renault Trucks is Europe’s first truck maker to offer Goodyear Duraseal Technology. Customers ordering vehicles from the brand-new Renault Kerax construction range launched at the IAA Truck Show in Hanover, will have the choice of Goodyear Omnitrac mixed service tyres featuring Duraseal Technology. According to Goodyear, this means less downtime and reduced tyre costs.

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OTR Tyres Install Europe’s Biggest Remould Press

Leading earthmover tyre specialist OTR Tyres Ltd, has just installed the largest bead to bead fully automated tubeless remould earthmover tyre press in Europe at their factory near Alfreton, Derbyshire. The company reports that the new equipment weighs in at over 75 tonnes and, following installation at OTR’s Somercoates headquarters, is ready to produce massive 2700 R49 tyres. OTR has been supplying, servicing and retreading EM tyres for more than 25 years, but the current shortage of earthmover tyres has seen the company invest over £750,000 on the latest equipment, much of it designed by OTR to suit customer demand.

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Van Essche Leaves Bandag NV

After 10 years as part of the Bandag organisation, director of marketing for Europe, Danny Van Essche, has left the company. He was also part of the company’s European Leadership Team. Van Essche expressed thanks to his colleagues and partners in the last decades and pointed to the “many successful initiatives realised by Bandag to support the retreading industry in Europe.”

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Yokohama Offers Warranty on Bandag Retreads

Yokohama Rubber Co., Ltd., is offering an extended casing warranty on Bandag retreads. Dusseldorf-based Yokohama Europe GmbH, and Brussels-based Bandag NV will undertake the warranty programme as part of a marketing collaboration arrangement between the two companies. A brochure released by the two companies summed up the arrangement like this: “Yokohama has extended the casing warranty of its truck and bus tyres to run for their total lifecycle: First life as a premium Yokohama tyre; Second life as a valuable Bandag retreaded Yokohama tyre.”

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Question of the Month: Retreading

Has the rise in Chinese and other low price imports affected your passenger car or CV retreading business? What are the lasting effects of these developments? Recent ATMA (Indian tyre association) statistics show dramatic year-on-year increases in the export of OTR tyres from the subcontinent, is this segment of the retreading business being affected too? To add your opinions to those of thousands of regular T&A and tyrepress.com readers click here. Please don’t forget to leave your contact details so we can follow up the most interesting comments.

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Going the Extra Mile

With the European Commission predicting that 81 per cent of freight transport will be delivered by road by 2020, long-distance or highway tyres have become a real focus for the premium manufacturers. Prior to the M749’s official debut at the Hanover IAA Commercial Vehicle show, Tyres & Accessories visited Bridgestone’s Aprilia proving ground to see the Japanese manufacturer’s new highway tyre in action.

Bridgestone’s latest drive axle offering is clearly presented to fight off the company’s number one competitor and therefore it promises much. According to Bridgestone officials the new M749 is more cost efficient because of superior mileage, excellent rolling resistance, and a “high capacity” for re-grooving and retreading. The demonstrations Bridgestone staff gave on the track were particularly designed to show the product also has strengths in “handling and wet safety.”

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Internet Savvy T&A Readers

Tyres & Accessories readers are ahead of the game when it comes to running online tyre businesses. The latest T&A question of the month survey found that 52.4 per cent of respondents generate at least part of their turnover using the “information superhighway.”

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