The 2015 edition of the China International Tire Expo opened Wednesday in Shanghai, with around 350 exhibitors – the show’s most ever. The sustained growth represented by these numbers has led to the decision by organiser Reliable International Exhibition Services to transfer CITExpo to the Shanghai World Expo Exhibition and Convention Center (SWEECC), built in the centre of the 2010 Shanghai World Expo site. The show also boasts strong continuity, with around 80 per cent of 2014 exhibitors back in 2015, according to Reliable; in past years the organiser has come to expect a similar proportion of its customers booking their space for the following year during CITExpo.
Cooper Tire & Rubber blames the absence of Cooper Chengshan Tire (CCT) from the company’s books for the 15.4 per cent year-on-year drop in sales experienced during the second quarter of 2015. Excluding the impact of CCT, Cooper Tire & Rubber’s second quarter 2015 sales rose five per cent year-on-year as a result of $64 million worth of higher unit volume gained both in the Americas and International business units.
Although the absence of Cooper Chengshan Tire (CCT) was noticeable in Cooper Tire & Rubber’s net sales during the first quarter of 2014, the tyre maker managed to increase operating margin, and excluding the impact of CCT’s divestment, increased operating income in the opening three months of the year.
In recent weeks and months, Roy Armes has voiced on a number of occasions that Cooper Tire & Rubber still views China as an important part of the company’s future plans, despite its experiences at the Cooper Chengshan Tire (CCT) joint venture factory in 2013. Most recently, the chairman, chief executive officer and president confirmed during a conference call on 4 December that the country “will continue to be an important part of our long-term growth strategy.” But that doesn’t mean Cooper Tire can’t or won’t adjust its activities in China to meet global market conditions. In light of a new round of tariff measures in the US, which came into effect shortly after Cooper Tire sold its 65 per cent share in CCT, the company has shifted some of its production from China to other global locations, and it will continue to do so should conditions favour this strategy.
Cooper Tire & Rubber Company reports that it has completed the sale of its 65 per cent ownership in Cooper Chengshan (Shandong) Tire Company Ltd (CCT) to Chengshan Group Company Ltd on 1 December for approximately US$262 million net of taxes and including dividends in accordance with the previously announced option agreement. Earlier reports suggested […]
Shares of Cooper Tire & Rubber Co. fell 1.9 per cent on 7 November following news that the company’s earnings in the third quarter of 2014 increased to 77 cents from breakeven earnings in the prior-year quarter. The latter figure is significant because it exceeded certain analysts’ estimates. For example the Zacks Consensus Estimate of 72 cents was some five cents below the actual results.
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 Tyres has responded positively to a court decision against Cooper Tire & Rubber’s bid for compensation following the breakup of the Apollo/Cooper acquisition late last year. Cooper sought a US$112 million breakup fee as it viewed Apollo as having breached the merger agreement, however Delaware Chancery Court Judge Sam Glasscock III ruled on 31 October that Cooper itself hadn’t done all it could to satisfy the deal’s closing conditions.
Chengshan Group Company Ltd. intends to acquire Cooper Tire & Rubber Company’s 65 per cent ownership in the two companies’ Cooper Chengshan (Shandong) Tire Company Ltd (CCT) joint-venture. Owing to the fact that the purchase offer is based on a pre-agreed “call option”, which itself is priced on the back of an agreed valuation of US$440 million, this means Chengshan has agreed to pay roughly US$286 million for the company. Cooper’s share price fell a dollar from around $29 to roughly $28 in response to the announcement.
Following the conclusion of Citexpo 2014 on 11 September, all initial figures point to the event being the most successful in the international tyre show’s history…by some way. Indeed, with this year’s unaudited visitor total said to have been around the 11,000 mark, the 2014 show could have grown by as much as 50 per cent since the last event, which attracted just over 7,000 visitors.
Cooper Tire & Rubber Company has reported the results of its long-awaited independent valuation of Cooper Chengshan (Shandong) Tire Company Ltd (CCT). The valuation, which is also the option price, was determined to be RMB 2.722 billion roughly US$440 million at the current exchange rate.
Yesterday Cooper Tire & Rubber Company announced it has extended, for a brief period, the option commencement deadline within the agreement that Cooper, Chengshan Group Company Ltd. and the CCT labor union reached in January of this year, which set forth a process to determine the future ownership of Cooper Chengshan (Shandong) Tire Company Ltd (CCT).
Cooper Tire & Rubber Company chairman, chief executive officer and president Roy Armes has announced details of a reorganisation of the company’s executive leadership centring on the appointment of a new president – International Operations. The changes take effect immediately.
Cooper Tire executives have confirmed that reports of a fire at the company’s Cooper Chengshan (Shandong)Tire Company Ltd. (CCT) manufacturing plant in Rongcheng, China were correct. As far as the details are concerned, writing in an official statement Cooper Tire officials confirmed that the fire took place on 28 May outside of the factory site proper. According to the company, there were no injuries and “minimal damage to property”.
At the time photographs of the fire were published alongside local Chinese reports, however these provided no details of what damage the fire caused or where it actually took place. Cooper has now explained that “the fire involved a scrap tyre area outside the main manufacturing plant structure”. As a result production was temporarily suspended. It has now returned to normal.
A fire broke out at the Cooper and Chengshan’s Rongcheng factory in Shandong Province, Eastern China on Tuesday 27 May. Several local news sources including the Xinhua news agency have reported the news and photographs showing a large plume of smoke rising about the factory have also been published.