Goodyear breaks through financial quagmire, reinstates dividend
Tyre firm celebrates 2013 results, approves board remuneration
The Goodyear Tire & Rubber Company is celebrating achieving “many milestones in 2013, a year that was unlike any other in its 115-year history”. Chairman and CEO Richard J. Kramer highlighted record segment operating income and “strong cash flow” as two examples at the company’s annual shareholder meeting on 14 April 2014. This outstanding performance, he said, enabled Goodyear to achieve two additional significant milestones – reinstating a dividend on its common stock after 10 years and fully funding its US pension plans.
“Without the shadow of the unfunded pension obligation, we can now both invest in our business and provide returns to our shareholders,” Kramer said. “We’re confident that the soundness of our strategy, our ability to execute against that strategy and the performance of our teams around the globe will continue to provide momentum toward our destination of delivering sustainable economic value for the long term.”
Kramer also noted Goodyear’s recent recognition by Fortune magazine as the world’s “Most Admired” motor vehicle parts company based on factors including financial performance, innovation, product quality and social responsibility. “The companies on the Fortune list share many of the same attributes‒sustainable earnings, a focus on innovation, strong cultures and great brands,” he said.
Board re-elected, remuneration approved
During the meeting, shareholders re-elected 12 members of the company’s board of directors to new one-year terms.
Shareholders also voted to ratify the appointment of PricewaterhouseCoopers LLP as the company’s independent registered public accounting firm for 2014.
A shareholder proposal to appoint an independent board chairman was not approved. In an advisory vote, shareholders approved the compensation of the company’s named executive officers. According to salary.com this means the board approved total remuneration equating to US$18.652 million for Richard Kramer and $5.308 million for EMEA president Darren Wells.