Ark. Best buys rest of Treadco FORT SMITH, Ark.—Following through on its promise earlier this year, Arkansas Best Corp. will purchase all of Treadco Inc.'s outstanding stock it does not already own for $9 per share in cash.
The two firms agreed to the merger March 16. Subject to certain conditions, Arkansas Best commenced a cash tender offer for all Treadco's publicly held shares.
Arkansas Best owns approximately 49 percent of Treadco. After closing the tender offer, a wholly owned subsidiary of Arkansas Best will be merged into Treadco.
Shapiro Capital Management Co. Inc., Treadco's largest independent stockholder with about a 22-percent stake in the firm, agreed to support the transaction.
TANA to offer employee guide
RESTON, Va.—The Tire Association of North America will offer a new publication titled, How to Comply with Federal Employee Laws.
``There are thousands of federal employee laws, and tire dealers must have the latest information in order to remain compliant,'' said TANA President Jim Shook. ``This new publication is an easy-to-read reference guide, providing dealers with accurate, updated information.''
The 258-page guide, recommended by the Washington Kiplinger Letter, is offered to TANA members for $24.95. The association is offering the guide in conjunction with the Small Business Legislative Council.
Beverly Group buys retread shop
FLAMBOROUGH, Ontario—Beverly Group Inc. has purchased Goodyear Canada Inc.'s truck tire retreading plant in Cambridge, Ontario, and is planning further moves to boost annual output to 30,000 retreads by year-end.
Beverly Tire, 49-percent owned by Goodyear Canada since January, bought the Cambridge plant in March for an undisclosed amount. Its capacity will be increased 50 percent to about 15,000 units per year in the next two or three months.
Beverly also will convert to Goodyear's retread system at its Toronto plant, which has a capacity of about 15,000 units a year.
Maryland dealers fight state bill
ANNAPOLIS, Md.—Dealers and other repair shop owners have made some progress in trying to remove unacceptable provisions of a proposed Maryland law aimed at eradicating automobile chop shops.
After a public hearing March 18, the Senate's Judicial Proceedings Committee recommended that S.B. 84 be sent back to the state-appointed task force that authored it for further study, according to Mike Kress, president of the Maryland Tire Dealers Association.
The task force may also be enlarged to include tire dealers, service station operators and others objecting to the bill's present provisions, Mr. Kress said.
If enacted as originally proposed, the measure would require tire dealerships and other repair outlets to keep a record of every vehicle and auto part serviced for at least three years.
Goodyear reviews Kelly stores' fate
AKRON-Goodyer is evaluating what it plans to do with the remaining handfull of stores owned and operated by its Kelly-Springfield Tire Co. unit, but some are likely to be sold to interested dealers.
The outlets originally were set up for employees in locations near Kelly factories. Since the integration of Kelly into Goodyear's Akron operations last year, the fate of the stores has been in questions.
Tire Business has learned that two highly profitable Kelly-owned stores in Fayetteville, N.C.-site of a large Kelly-Goodyear tire plant-already have been sold to the principals of Fayetteville-based Brigg & Sons Tire.
Chuck Mick, Goodyear's vice president of dealer sales, North American Tire, said the company still has Kelly stores in Tyler, Texas, Freeport, Ill., and Cumberland, Md., Kelly's former headquarters city.
In some cases, ``if a strategic value exists, we'll think about selling them to dealers,'' he said.