Klarius Invests £1.2 million in UK Manufacturing
Klarius Group, the exhaust manufacturer, reports that it is currently enjoying success despite the challenging market having invested £1.2 million in its UK manufacturing and R&D facilities over the last 18 months. According to the company, the investment has gone into moving production arrangements over to lean manufacturing, fast track product development for exhausts and catalytic converters and in-house logistics facilities. The Klarius Group was formed in August 2007 following the acquisition of the Emissions Control activities of ArvinMeritor Light Vehicle Aftermarket Europe. In its final year of trading prior to the acquisition (2006/2007), the Emissions Control division registered a £7 million operating loss. However, since the Klarius takeover this has been turned around, as evidenced by the Group’s first set of accounts which reveal that Klarius moved into profit well within its first full year of trading. Favourable euro exchange rates have also combined with a strong international sales approach to secure new supply agreements and install new distribution facilities and warehousing across Europe.
Continue ReadingGoodyear Directors Re-Elected at 2009 Annual Meeting
Goodyear Tire & Rubber shareholders re-elected 11 members of the company’s Board of Directors at the 2009 Annual Shareholder Meeting, held on April 7. Re-elected were: James C. Boland, retired vice chairman, Cavaliers Operating Company, LLC; James A. Firestone, executive vice president and president, corporate operations, Xerox Corporation; Robert J. Keegan, chairman, chief executive officer and president, Goodyear;
Continue ReadingSchaeffler Negotiates 1 billion euros of Credit
On 7 April Schaeffler Group finalised a 1 billion euro loan agreement with its banks. “With the 1 billion euro credit line we have gained further flexibility for Schaeffler Group,” said Klaus Rosenfeld, group CFO at the automotive supplier, adding: “The conclusion of the loan agreement is an important sign of trust from our banks.” According to a statement issued by Schaeffler’s press office, all parties involved have agreed on strict confidentiality regarding further details of the loan agreement. While the new financing is likely to help the company shore up its financial position, last year Schaeffler borrowed 16 billion euros to finance the takeover of Continental AG, but when the automotive markets spirally and the company’s share price nosedived Schaeffler was left with high debt service payments in the midst of an automotive industry crisis. This led the company to request support from the German state and federal government. In February co-owner Georg Schaeffler said the group needed up to 6 billion euros in fresh financing.
Continue ReadingSnider Tire Joins Michelin Retread Technologies Network
The North America based Michelin Retread Technologies (MRT) network of servicing dealers has grown through the addition of Snider Tire. The retreader, headquartered in North Carolina, is one of the largest commercial tyre dealers and retreaders in the US. At present the company operates eight retread facilities and 31 commercial service locations, primarily in the Carolinas, Georgia and Texas area. Snider Tire has long been recognised for the quality of its people and service to the fleets, said Francois Corbin, COO of Michelin Americas Truck Tires. We are confident that John Snider and his team will help us continue to provide excellent commercial truck services to fleet customers.
Continue ReadingBridgestone & TIA Educating Consumers With New Video
Bridgestone Americas is helping consumers make informed choices through the production of a short video that will be launched in time for ‘National Car Care Month’ in April. The company has teamed up with the Tire Industry Association (TIA) to work on the seven-minute video, which is available for viewing online. The video, titled ‘Passenger Tire Replacement’, is comprised of three modules: Module 1 discusses tyre sizing and how the information contained on the vehicle tyre placard helps consumers select the best tyre and inflation pressure for their vehicle. Module 2 helps consumers understand tyre replacement guidelines, most importantly the proper installation when replacing only two tyres and the consequences of improper installation. Module 3 educates consumers on the critical issue of tyre rotation, and how proper tyre rotation can save consumers money, fuel and ensure maximum tyre life and performance.
Continue ReadingConti Bringing the World Cup to Your Mobile
Football fans that can’t get by without their mobile phones will soon be able to gain blessed relief from an online service operated by Continental. The manufacturer is launching a new service that provides news and facts on the Conti sponsored 2010 FIFA World Cup South Africa. Information about tyres and other Continental products will also be available. The website for the company’s German home market has already been launched (http://mobil.continental.de) and Conti says sites for other countries will be introduced in the near future. Additional content is also planned, including a search engine for locating garages, workshops and motorway services.
Continue ReadingDownturn and Rising Raw Material Costs Lead to Alcoa Loss
Alcoa has reported a 27 per cent sequential drop in revenue, resulting in a loss of US$480 million for the first quarter of 2009. This figure, says the company, reflects the impact of the economic downturn on its core industrial and commercial markets as well as an historic decline in aluminium prices. Revenues for the first quarter 2009 were $4.1 billion, down from $5.7 billion in the fourth quarter 2008 and down 36 per cent from revenues of $6.5 billion in the first quarter of 2008 (after excluding divested businesses). The sharp drop in revenue resulted from the impact of the economic downturn on Alcoa’s end markets, including the automotive industry.
Continue ReadingAnsteel-Bekaert JV Steel Cord Plant Opens
Last May Belgium’s Bekaert and Chinese steel producer Ansteel established a strategic partnership, and several months later set up a 50/50 joint venture called Bekaert Ansteel Tire Cord (Chongqing) Co., Ltd. Almost a year after the partnership was first announced, the companies have celebrated the official opening of their 150 million euro joint steel cord production plant in Chongqing, China. The new facility is intended to meet rising local tyre industry demand for steel cord, and at present 130 people are employed at the site. This number, says Ansteel and Bekaert, will grow in line with market demand and the realisation of further investment phases.
Continue ReadingBridgestone Americas Announces Motorcycle Tyre Recall
The recall of a number of Bridgestone tyres fitted as OE to Triumph motorcycles in 2008 and 2009 is currently underway. The tyre in question, the Exedra G850 in size 180/70R16 77H, was shipped with the Triumph Rocket III Touring. This particular motorcycle develops very high torque and can cause torque-induced degradation in a body ply, which may result in cracks forming in the rear tyre’s inner liner, leading to a slow leak. This condition does not affect the front tyre.
Continue ReadingPirelli Researching the Use of Rice Husk Ash in Tyre Compounds
From an ecological point of view, the new Pirelli Cinturato P7 offers three headline benefits - a CO2 emission reduction of up to 4 grams per kilometre driven, 30 per cent lower noise emissions and a 4 per cent fuel saving. Pirelli’s clincher (particularly aimed at current and potential OE customers) is that it is already in position to meet the targets set by the new EU regulations that are due to take effect from 2011 and that it does this without compromising on wet or dry performance. However, none of this explains how the company is able to achieve these goals. In mid-February, Pirelli gave details of how its 2009 – 2011 industrial plan means the company will have an increasingly “green” focus. In particular Pirelli committed to developing a series of new materials that for use in tyre compounds. One particular silica rich material is rice husk ash (RHA). Pirelli is already (as far as the technological requirements are concerned) in a position to use this material in tyre production this year. However, the material is currently the subject of a large scale viability study focusing on the availability of the kind of tonnages needed for tyre industral scale tyre manufacturing. Tyres & Accessories understands that Pirelli already has research and development teams in place in Brazil and the areas surround Milan, which just happen to be some of the best rice production areas in the world.
Continue ReadingDouble Win for Dunlop Direzza
The winner of the Street Touring Ultra class at this year’s Sports Car Club of America (SCCA) competition, held in California, may have appeared familiar. The man taking the honours at the event was none other than last year’s winner, Richard Jung. At both the 2008 and 2009 competitions Jung attained victory on Dunlop Direzza Sport Z1 Star Spec tyres. “There has been a lot of hype about new street tyres from some of Dunlop’s competitors for this type of competition, so it was satisfying to get a repeat victory as evidence that the Direzza Sport Z1 Star Spec is still the tyre to beat,” said Jung. “Enthusiasts are getting the message that this Dunlop tyre is proven to be the fastest in competition. You can feel the difference when you push the Star Specs, which is an advantage, because it allows a more consistent feel and reduced the need for suspension adjustments between runs.”
Continue ReadingConti Acquires Serbian Conveyor Belt Manufacturer
Continental AG subsidiary ContiTech has taken over Serbian manufacturer of mining operation conveyor belts, Univerzal Kolubara. According to ContiTech, the group paid less than ten million euros for the company, which has 250 employees. Investment at the Univerzal Kolubara site is planned in order to take advantage of anticipated growth in the mining of brown coal in Serbia.
Continue ReadingMichelin Withdraws From Shanghai Motor Show
The Michelin Group has withdrawn from April’s Auto Shanghai 2009 motor show, reports Chinese news outlet Sina Corporation. The company has attended the show during the past decade and maintained a significant presence there. A member of Michelin’s public relations team stated that the company will cut back on its exhibition presence this year. The whole industry is in difficulty and we also have to do some adjustment and scale-down, the representative explained. Michelin is, however, still scheduled to attend the IAA show in Frankfurt, Germany, in September.
Continue ReadingKeegan Outlines Strategies to “Weather the Economic Storm”
In his address at The Goodyear Tire & Rubber Companys 2009 Annual Shareholder Meeting on April 7, chairman and chief executive officer Robert J. Keegan said he remains confident in Goodyears ability to drive performance during challenging economic conditions and emerge in a position of competitive strength. This confidence, he said, derives from Goodyears game tested leadership team, a proven track record based on strong strategies and continued new product success, as well as actions the company is taking to improve its cost structure and strengthen its cash position.
Continue ReadingATD to Sell 37 Retail Outlets
US based tyre wholesaler and distributor American Tire Distributors Holdings (ATD) intends to sell the 37 retail outlets it acquired in 2008 as part of its purchase of Am-Pac Tire Distributors. In a financial filing with the US Securities and Exchange Commission, the company states: “The acquisition of Am-Pac Tire also added 37 retail stores, predominately in the St. Louis, Missouri and Southern California areas. As these stores are not core to the Company’s business, management’s intention is to divest of these stores during 2009.”
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