Although Cooper Tire & Rubber will retain offtake rights for tyres produced by the Cooper Chengshan (Shandong) Tire Company Ltd (CCT) plant in China after its ownership is fully transferred to Chengshan Group Company Ltd., the tyre maker is nevertheless looking for an alternate supply of tyres in China. Several options are under consideration; company chairman, chief executive officer and president Roy Armes outlined these at Cooper’s third quarter earnings call on 7 November.
Apollo announces final Manchester United football challenge
The third and final skill test in the ‘Apollo Challenge’ has begun. Together with Manchester United F.C., tyre maker Apollo Tyres is encouraging football aficionados to demonstrate just how on target their shooting is with the Apollo Accuracy Challenge. This particular challenge sees Manchester United midfielder Ashley Young demonstrate the importance of accuracy, a quality Apollo Tyres argues is the most important skill for any footballer.
Bekaert-Pirelli steelcord deal expected to close in Q1 2015
Upon releasing its latest financial results, Pirelli provided an update on the deal to sell its steelcord business to Belgium’s NV Bekaert SA. The European Commission approved the transaction at the start of August, and Pirelli reports that it still remains subject to approvals in China and Turkey. The deal is expected to close between the end of 2014 and the first quarter of 2015.
Although profits are up at Pirelli so far this year and revenues are down, during the third quarter of 2014 the situation reversed itself. Revenues grew 3.0 per cent to €1,541.8 million in the three months between 1 June and 30 September; highlights of the quarter include a continuation of top-line growth continued in Europe and the NAFTA regions, and an acceleration in Asia Pacific. With year-on-year growth of 17 per cent, the Italian tyre maker outperformed the market’s 12 per cent growth. EBIT increased 1.9 per cent during the third quarter to €203.5 million, with 0.1 per cent shaved off the EBIT margin, which was 13.2 per cent for the period. Net income declined 1.7 per cent year-on-year to €106.2 million.
Pirelli recognized for ‘Climate Disclosure Leadership’
Pirelli has been recognized in the “Climate Disclosure Leadership Index Italy 2014” (CDLI), which evaluates the completeness of a company’s strategy against climate change and the transparency of its communication to stakeholders. Pirelli scored 99/100.
The result was announced 5 November in Milan during the presentation of the CDP Italy 100 Climate Change Report 2014, prepared by SDA-Bocconi with the support of IMQ, and focused on the ways in which the 100 biggest listed Italian companies face and manage climate change.
Mitas to outline the Continental agri brand’s future
As reported on 29 October, Mitas a.s. intends to use its press conference at the EIMA agricultural exhibition as a platform for sharing plans in key areas. The Czech Republic-based tyre maker also says it will unveil its business strategy and discuss the future of the Continental agricultural tyre brand under Mitas at the event on 13 November.
Massa Pneus acquisition expands Continental’s French tyre retail network
In its third quarter financial report, Continental shares that as of 27 June this year, its French retail business Continental Holding France SAS acquired 100 per cent of the shares in both MPI SAS and Reparation Pneumatiques Du Sud Est (Répneu) SAS. The group of companies has close to 1,000 employees working at its 114 sites. With this purchase, the network of outlets Continental operates in the French market grew to more than 400 sites.
Official openings held at Yokohama’s plant in India
In February 2014, Yokohama India Private Limited reported the inauguration of its new factory in Bahadurgarh, with the Chief Minister of India’s Haryana State, Shri Bhupinder Singh Hooda, doing the honours. However it seems two official openings are better than one, and Yokohama Rubber shares today that an official opening ceremony was held at the plant on 1 November. And a further ceremony – the second or third, depending on who you ask – was held the following day for tyre dealers from around India.
An all-new tyre brand from Hankook Tire was unveiled at the SEMA show in Las Vegas yesterday. This new range from the Korean tyre maker will be sold under the Laufenn name, and although its initial launch is restricted to ten markets in North America, Latin America and the Asia Pacific region, Hankook describes Laufenn as a “global tyre brand” and says it will be introduced in Europe and other regions “in the coming years,” although a European launch in 2015 looks highly unlikely.
Enlarged Slovakia tech centre opens as Continental prepares to increase R&D headcount
Continental is gearing up to increase its research and development workforce by 15 per cent at its Púchov site in Slovakia after the official opening of its expanded facility there. The company held an opening ceremony at its new Tires Technology Center today in the presence of Slovak Republic Prime Minster Róbert Fico, Continental Tire Division head Nikolai Setzer and representatives from local management and the workforce. The additional research and development capacity at Púchov was realised through a €7.5 million investment.
From shoe to sidewall – Timberland tyre range launches at SEMA
Some people, perhaps, tie their laces, gaze yearningly at their footwear and wonder – why can’t I buy a brand of tyres to match my boots? If you relate to this scenario, then today is your lucky day. Singapore-based Omni United, owner of the Radar tyre brand, has entered into a collaborative agreement with lifestyle brand Timberland. The two companies are producing a range of tyres under the Timberland name, and the ultimate aim is for the rubber used in the tyres to make its way into Timberland footwear; Omni says the compound used in the tyres is suited to this purpose, and the end of life Timberland tyres will be returned through a network of recyclers led by Liberty Tire Recycling. The arrangement and the new brand were announced at the Specialty Equipment Market Association (SEMA) show in Las Vegas on 4 November.
Prison sentence for distributor of fake Yokohama wheels
The distributor of counterfeit Yokohama racing wheels has been sentenced to time in prison after being found in the possession of more than 1,000 aluminium wheels. The Intermediate Peoples Court of Guangzhou, in China’s Guangdong Province, also fined the distributor on 19 August.
Third-quarter income up 14.1 per cent at Continental
Following what it calls a “solid third quarter”, Continental Corporation has confirmed its forecast for the 2014 fiscal year. The tyre and automotive systems manufacturer reported net sales of €8.7 billion in the period between 1 June and 30 September, a year-on-year increase of 3.8 per cent. EBIT decreased 28.0 per cent to €637.8 million in the three-month period, with EBIT margin declining from 10.6 per cent in Q3 2013 to 7.4 per cent, however net income rose 14.1 per cent to €495.1 million. Earnings per share amounted to €2.47, up from €2.17 a year earlier.
Michelin has announced that the company has reduced its capital through the cancellation of 1,010,336 treasury shares. The move follows a decision attributed to the chief executive officer on 27 October and, according to the company, is pursuant to 20th resolution of the firm’s (Compagnie Générale des Etablissements) 16 May 2014 shareholders meeting.
Jean-Dominique Senard continues as Michelin managing general partner
Michelin has announced Jean-Dominique Senard will continue as Michelin managing general partner. The news follows a meeting of the board of directors of Société Auxiliaire de Gestion (SAGES), in its capacity as non-managing general partner of Compagnie Générale des Etablissements Michelin (CGEM) on 6 October 2014. During this meeting SAGES submitted a proposal for approval to the Supervisory Board to renew Jean-Dominique Senard’s term for another four years from 22 May 2015 (the previous terms official expiry date).