Bridgestone Announces 2009 e-reporter Finalists
The eleven finalists who will hone their journalistic skills in the battle to become this year’s Bridgestone e-reporter have been named. This year’s list features aspiring sports reporters from nine European countries, including two UK candidates. The first e-reporter to be given the chance to demonstrate his talents is Spain’s Ferran Lopez Margall, who will cover the opening GP2 event for the season at the Spanish Grand Prix on May 8 to 10. Eight finalists are attending a Formula One race weekend to follow the GP2 Series this season, while three others will get the opportunity to witness the two-wheeled action of MotoGP. All finalists will report on the Bridgestone-supported championships for Bridgestone’s bridgestone.eu/e-reporter website and interview riders or drivers to fine-tune their journalistic skills. The first UK e-reporter to go trackside is Stephanie Black, who heads to Silverstone on the weekend of June 19 to 21. The second Blighty based candidate, Kate Goodacre, will report on the GP2 proceedings in Germany between July 10 and 12.
Continue ReadingCooper Announces Quarterly Dividend
Cooper Tire & Rubber announced on May 5 its intention to pay shareholders of record at the close of business on June 2, 2009 a quarterly dividend of 10.5 cents per share on common stock. This dividend, payable June 30, 2009, will become the 149th consecutive quarterly dividend paid by the company.
Continue ReadingGoodyear Announces Proposed Senior Note Offering
On May 5 Goodyear Tire & Rubber gave word of its intention to initiate a public offering of 7-year senior notes to the aggregate principal amount of approximately US$500 million, subject to market and other customary conditions. The notes, adds Goodyear, will be senior unsecured obligations of the company. The company reports it intends to use the net proceeds from this offering, together with current cash and cash equivalents and unused availability under its credit facilities, for general corporate purposes, which will include the repayment on or prior to maturity of $500 million in aggregate principal amount of its senior floating rate notes due December 1, 2009. Joint book-running managers for the offering will be J.P. Morgan Securities Inc., Citigroup Global Markets Inc., Deutsche Bank Securities Inc. and Goldman, Sachs & Co.
Continue ReadingGoodyear Adds to US Commercial Tyre Range
Two new truck tyres are extending Goodyear’s US market range. These latest products, which the manufacturer is introducing to address the needs of multiple applications that range from city delivery to emergency vehicles and buses plus longer regional runs, are said to offer a deeper tread depth, enhanced tread designs and compounds in order to maximise tyre life in both urban and regional driving conditions. The local haul and regional segments are diverse and about as tough as it gets when it comes to wear on commercial tyres, said Donn Kramer, Goodyear’s director of marketing for commercial tyres. With the amount of scrubbing and curb damage the tyres undergo, fleets need tyres that are robust and able to provide a low cost-per-mile through multiple retreads. We’re excited to bring to market major advancements in tyre technology with the Goodyear G661 HSA and G662 RSA with Fuel Max Technology.
Continue ReadingContiSportContact 3 Demonstrates 5-6% Improvements
Available in 17, 18 or 19” with V, W, Y and Z speed ratings, the ContiSportContact 3 range is the latest in Continental’s range of ultra high performance, sporty tyres. The German manufacturer places special emphasis on the technological developments built on the model of the ContiSportContact 2, measuring the improvements through stringent in-house performance testing. The truism that cars in general have increased the power available to the average driver can be applied especially to the UHP segment, so transferring that increased power to the road with the required levels of control requires of top UHP manufacturers commitment to equal technological advances.
Continue ReadingIs Conti’s Truck Tyre Production Heading East?
Tyres & Accessories sister publication Neue ReifenZeitung recently published reports that Continental has been considering moving its truck tyre production East and linking it with certain Russian tyre makers in the wake of the announced closure of its high tech Hannover-Stoecken truck tyre production plant. For a number of years the Russian tyre manufacturer Nizhnekamskshina has worked together with Continental within the framework of a technical agreement, having previously been involved in a technical partnership with Pirelli. The possibility of forming a 50:50 joint venture has been talked about since 2007, however to date the entire result of this joint effort is that the Russians are building a truck tyre factory and Continental is “only” contributing know-how and organising production processes, as well as delivering all the required equipment. The target is said to be for production capacity to exceed one million all-steel tyres per annum.
Continue ReadingAustralia’s JAXQuickfit Tyres Celebrating 60th Anniversary in 2009
Australian tyre retailer JAXQuickfit Tyres is marks its 60th anniversary in 2009, and in this diamond jubilee year the company is also celebrating its third consecutive year of double-digit growth. From humble beginnings in 1949, Jax Tyre, as it was then known, has developed into AUD$100 million a year business with a network of 72 outlets throughout Australia. And having covered much of its home market, JAXQuickfit says it is now looking at expansion overseas.
Continue ReadingPorsche Increases Stake in VW
Porsche has increased its stake in Volkswagen ordinary shares to 50.8 per cent. Analysts Morgan Stanley say that, while the timing of such a move was impossible to predict, this is absolutely in line with Porsches stated strategy of ultimately moving to 75 per cent of Volkswagen and seeking a domination agreement. With this move, Porsche also acquires indirect control over Scania through VWs 68.6 per cent voting stake in the Swedish truck maker. Porsche has made it clear that is has no strategic interest whatsoever in Scania or any interest in buying Scania shares. However, Swedish law requires Porsche to make a mandatory bid for Scania.
Continue ReadingSchaeffler/Conti Saga – ‘Over By Christmas’?
The announcement had a phenomenal response at the stock market where, following publication of Schaeffler’s statement on EU approval, tendered shares in Continental grew by as much as 50 per cent before levelling off at around 36 per cent up, in response. Why? Because up to this point investors had become decidedly nervous about Schaeffler’s ability to complete the deal and the EU announcement was seen as a sign that the deal as a whole is on track. Due to the well-documented contraction in credit markets bankers had been scratching their heads about where the necessary financing would come from and whether the supporting banks would be able to come up with cash.
Continue ReadingStapleton’s to Buy Central Tyre
Stapleton’s (Tyre Services) Limited has agreed to buy 56 Central Tyre stores from Pirelli UK Limited. The deal, with a price-tag to be determined when the transfer of Central’s properties is completed, sees the tyre retailer and distributor expand its retail operation from 45 stores to a new total of 101 throughout the UK. The proposed transaction includes both retail and commercial tyre fitting outlets and the existing Central Tyre workforce is expected to transfer across to Stapleton’s upon completion of the sale. Initially Stapleton’s plans to concentrate on integrating the new stores into its network, meaning the company will be responsible for STS Tyre Pros, STS Tyre & Exhaust and now Central Tyre-branded outlets. It is not clear if and how this might change in the future.
Continue ReadingSinochem International Buys 51% of GMG
Sinochem International Corporation subsidiary Sinochem International (Overseas) Pte Ltd. has Bought a 51 per cent stake in Singapore-based natural rubber producer GMG Global Ltd. for SG$ 267.98 million (£106.4 million). GMG operates natural rubber business in Africa and elsewhere with plantations in Cameroon and Ivory Coast and processing facilities in Indonesia. Amongst other things Sinochem International expects the deal to help position it for growth in the global rubber market. China contributes to over 20 per cent of the worlds natural rubber consumption but only produces 7 per cent of the production.
Continue ReadingGiTi Tire Europe Unveils TBR Service Network
GiTi Tire is looking to increase its market presence in the truck tyre segment by implementing a TBR service network. The company has since 2006 built up a comprehensive truck and bus tyre product portfolio incorporating two premium quality brands – GT Radial and Primewell – both of which have been QS9000, ISO9001 and TS16949 accredited and are specifically designed and manufactured to meet the ever-changing demands of today’s European commercial vehicle operators. The entire TBR range is carefully selected to ensure the correct pattern is available for each application: regional, long haul, mixed service or municipal. In fact, such is the growth of the company’s sales presence in both TBR and PCR that two strategic business units have been formed to cope with the demand.
Continue ReadingVeyance Appoints Gingo to Board
Veyance Technologies Inc., exclusive manufacturer of Goodyear Engineered Products, has appointed Joseph Gingo, chairman and CEO of A. Schulman Inc., to its governing board. The election of Mr. Gingo increases the size of Veyance’s board to seven. “Joe’s broad experience includes leading our business ten years ago when we were a division of The Goodyear Tire & Rubber Co.,” said Veyance president and CEO Tim Toppen in a statement. “He fully understands our customer-focused, market-back business philosophy and the importance of innovative products and services.”
Continue ReadingAnother New Continental?
July saw all the leading tyre manufacturers report lower than expected earnings as a knock-on effect of high raw material prices and lower new vehicle demand. Everyone saw this coming. The 11.3 billion euro “sneaking” bid ball bearing maker Schaeffler Group pitched to buy Continental AG was distinctly less predictable. In the days that followed Continental’s management went on the defensive and cried foul to financial regulator Bafin, making what had up till then been the largest takeover bid in Europe into the largest hostile takeover the continent has seen this year.
Continue ReadingConti’s Rearguard Action Takes Shape
As an increasing number of voices speak out in favour of the proposed Conti/Schaeffler merger, Continental AG executives have called in a number of high profile investment banks to advise it on how best to defend its position. The most recent addition to this team is Deutsche Bank, which joins Goldman Sachs and JPMorgan as advisors. The strategy behind the defensive manoeuvre appears to have two key objectives: to wrest complete control out of the clutches of the rapidly advancing Schaeffler; and to raise the suitor’s bid. Germany’s Handelsblatt reported that Conti chief executive, Manfred Wennemer told board members 89.74 euros per share (roughly 30% higher than the Schaeffler’s current 70.12 euros per share bid) is a ‘fair market price,’ for the tyre and automotive supplier. Other sources quote board members as saying 90 to 100 euros a share would be better. Could this be the target level the defence team will be seeking to achieve? And if so, how can Conti defend its position?
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