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May 10, 1999 02:00 AM

BEVERLY TIRE BUYS 5 STORES

Chris Collins
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    FLAMBOROUGH, Ontario—Beverly Group Inc. has acquired five Russell Tire outlets in Ontario, bringing to 17 the number of outlets the Goodyear-affiliated dealership operates. The Flamborough firm, which operates as Beverly Tire, plans to acquire one more retail store and build a commercial tire outlet near Kitchener this year, Beverly President Bill Farmer said. The latter move is part of Beverly Tire's plan to increase its commercial tire and retreading business in southern Ontario.

    In its second major deal since the beginning of the year, Beverly Tire in mid-April purchased Russell Tire stores in Guelph, Cambridge, Waterloo and two locations in Kitchener, all of which will be renamed Beverly Tire locations. The purchase price was not disclosed.

    In March, the dealership also acquired a truck tire retreading plant in Cambridge, Ontario, from Goodyear Canada.

    In January, Goodyear Canada Inc. purchased 49 percent of Beverly Tire, and ``We recognize the need to improve our service capability for customers in the Kitchener-Waterloo area,'' Mr. Farmer said, ``and we are currently developing plans to increase our presence.''

    Jim Bethune, Beverly Tire's senior vice president, called the tri-cities area of Kitchener, Waterloo and Cambridge a ``very quickly growing market.'' The company plans to acquire one more retail outlet soon, then ``sit tight for the rest of the year.''

    Mr. Bethune said the new commercial outlet—with a full range of truck tire products and services—will be built south of Kitchener near Highway 401, Ontario's most important east-west expressway.

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