$17.9 Million For Nasser
Former Ford Chief Executive Officer Jacques Nasser received $17.9 million in compensation last year when he was replaced at the helm of the second-largest automaker amid losses and declining sales.
Tag Archive for: Firestone
Judges Threatens Firestone Lawyers
Product NewsA judge presiding over a Ford Explorer lawsuit, in which a student was left paralysed, has threatened lawyers acting for Firestone with a fine and a custodial sentence for deliberately causing a mistrial. The lawyers referred to the fact that the student bought a bag of marijuana before the accident, despite the fact that the judge had expressly forbidden any mention of the drug in case it prejudiced the jury. The judge has asked the lawyers to demonstrate why he should not fine them each $500 and impose six months in jail for “knowingly violating a court order in an attempt to obtain a mistrial.”
GM OE Contract For Bridgestone
Product NewsAccording to reports in the Japanese press, Bridgestone/Firestone has signed a contract with General Motors in the USA to supply tyres as original equipment. The report estimates that the Japanese manufacturer will supply GM with 2.5 million tyres annually for half a million cars and supply could begin this month.
NHTSA Investigation Into General Tyres Ends
Product NewsThe National Highway Traffic Safety Administration has ended its investigation into alleged failures of General Ameri*550 tyres, saying that it could find no safety defect. Ford was using the tyre to replace Firestone tyres and it was alleged that the failure rate of the General tyre was higher than that for Firestone. Many of the supposedly faulty tyres showed abuse and neglect on the part of their owners, it was revealed. When the investigation started, Ford removed the General tyre from its list of acceptable replacements. The Ford replacement programme officially ended at the end of March.
More Woes For Firestone and Ford
Product NewsA Federal Judge has refused an application by Ford and Firestone to dismiss 121 cases brought against the companies where the cases involved accidents in Venezuela and Columbia. Judge Barker ruled that the defendants had not proven that the cases would get a fair hearing in those countries. The decision is not binding on other courts, but may influence similar cases being brought elsewhere in the USA. Firestone was “extremely disappointed” by the ruling, and Ford said it was “unprecedented”. Both defendants are likely to appeal the case.
Shredded Firestones Put To Use
Product NewsFirestone tyres recalled in the USA are being put to good use, with rubber crumb used as artificial turf. A Montreal-based company called FieldTurf is producing the artificial turf for the Lions’ new stadium at Ford Field, Dearborn. A spokesperson for FieldTurf said that it had been specified that the rubber crumb came exclusively from Firestone tyres, in line with Bill Ford’s stance on corporate environmental responsibility.
Michelin Surpasses Competitors
Product NewsMichelin consolidated net sales for 2001 amounted to 15.775 bn Euro (+2.5 per cent over 2000). The operating profit reached 1.04 bn Euro (-10.5 per cent) and net profit was 314 million Euro (-28.4 per cent). With 6.6 per cent operating profit as a percentage of sales in a very difficult and competitive economic environment, Michelin easily outperformed its two biggest competitors Bridgestone and Goodyear. Bridgestone is still suffering from the consequences of the Firestone recall and Goodyear has reported losses in 2001. In a press conference in Paris Michelin boss Edouard Michelin spoke about the previous business year and Chief Financial Officer Michel Rollier gave detailed figures – also for the various divisions. It was the first time that Michelin has presented the company’s figures in such a major press conference, which was followed by two others in London and New York.
Net Profit To Triple This Year For Bridgestone
Product NewsA poll of analysts suggests that Bridgestone’s net profit for 2002 will treble. The forecast is for a net profit of 57.7 billion Yen (500.5 m Euro), compared with the 2001 figure of 17.7 billion Yen (152.3 m Euro). Analysts believe that the corporation is slowly putting the Firestone debacle behind it and there are hopes of a reconciliation with Ford. Other factors causing optimism include the weak Yen and an increase in Bridgestone’s business with GM.
NHTSA Refuses Firestone Request
Product NewsThe NHTSA has turned down a request by Firestone to open an inquiry into a possible vehicle fault on the Ford Explorer. Firestone alleges that the Explorer has a greater propensity to roll over than other SUVs. The NHTSA admits that SUVs have a higher tendency to roll than other vehicles, but is adamant that the data held by the organisation does not substantiate Firestone’s claim regarding the Explorer.
Delisting For Dunlop Africa?
Product NewsDunlop Africa, the only tyre company listed on the Johannesburg Stock Exchange is moving closer to delisting. Its competitors being subsidiaries of global players Goodyear, Bridgestone/Firestone and Continental. The proposal is due before the Competition Commission this week and if accepted, Dunlop will delist from the JSE Securities Exchange on February 25. The group announced its plans in December, citing Dunlop’s status and the lack of liquidity in its shares as the reasons for delisting. The company believes that the transparency required by the listing specifically the need to release results every six months disadvantaged Dunlop with its competitors.
African Expansion For Maxiprest
Product NewsSouth African tyre distributor and retreader Bridgestone/Firestone Maxiprest is set to expand with distribution ventures in Namibia and Mozambique. The company has taken a 51 per cent stake in Namibian distributor Quality Tyre and a 60 per cent stake in another tyre distributor, based in Mozambique. BF Maxiprest already has subsidiaries in Zambia and Zimbabwe.
Another Setback For Reifen 2002 As Bridgestone/Firestone Cancels
Product NewsThe tyre fair “Reifen 2002” in Essen has suffered another serious blow. Following Michelin’s pull-out, Bridgestone/Firestone has also cancelled its participation. Other tyre makers told our magazine unofficially that the large number of house exhibitions is placing too great a burden on budgets.
It Is Not A Firestone Problem
Product NewsA California jury in a civil case raised against Ford, has found that the Ford Explorer is “defective by design”. The first time a jury has found Ford liable. According to plaintiff’s attorney Garo Mardirossian, “The floodgates have now opened up. It’s not a Firestone Tire problem. It’s a car problem.” The jury rules that the vehicle involved in the case was not only faulty at the time of the accident, but was faulty at the time of shipping from Ford. This flies in the face of statements to the contrary from the NHTSA.
Consolidation Of Bridgestone Warehouse Hub
Product NewsBridgestone/Firestone has acquired total ownership of stores at Zeebrugge (Belgium). The 59,000 square metres have an option to be extended to 79,000 square metres and will operate as the European hub for the importation of 1.8 million truck and bus tyres per year, which are then redistributed to destination warehouses throughout Europe. Future developments may result in the same logistical flow being applied to passenger car, light truck and off road tyres.
New MD For Bridgestone/Firestone
Product NewsJohn McNaught, 52, has been appointed managing director of Bridgestone/Firestone UK and will assume his role on Monday 4th February. He has worked in the UK tyre industry since 1976 when he started with Goodyear. He moved to Central Tyres, part of the Pirelli organisation, in 1985, rising to the position of operations director and then switched to National Tyre Service, part of Continental, as a regional director. Mr McNaught became the managing director of National Tyre Service in 1998 and managed the sale of the business in 2001. Since August last year he has worked as director of commercial products for Continental Tyres. Bridgestone’s marketing director, Chikuma Otsuki has been acting managing director since the retiral of Jim Wilson.
