Michelin finalizes TCI acquisition GREENVILLE, S.C.—Michelin North America has completed its purchase of Akron-based Tire Centers Inc.
Effective April 30, Michelin will operate TCI as a stand-alone business. Scott Snyder is TCI's president and CEO.
Pirelli earnings off, but sales up
MILAN, Italy—Pirelli S.p.A. reported a slight drop in preliminary pre-tax earnings on a 10-percent increase in sales for the first quarter of 1998.
Pirelli's tire sector sales fell 11.2 percent, reflecting the negative effects of currency exchange rates and the exclusion of results from the firm's European agricultural tire business, which now operates as part of a joint venture with Sweden's Trelleborg A.B.
Pirelli reported preliminary earnings of $83.2 million on sales of $1.62 billion for the three-month period ended March 31. Tire sector earnings were off 6.3 percent to $48.6 million on sales of $682.5 million, a 7.1-percent earnings/sales ratio.
Firestone ag unit offers warranty
DES MOINES, Iowa—Firestone Agricultural Tire Co. is offering a two-year free replacement warranty on radial rear farm tires.
The new warranty guarantees to replace free of charge any new rear Firestone radial tire that becomes unusable for any reason within the manufacturer's control during the first two years, if worn less than 25 percent. After two years, the replacement price will be prorated based on years of service.
This policy covers new original tread Firestone-brand ag tires purchased or manufactured after April 1, the company said.
Group Michelin's sales rise in qtr.
PARIS—Lively sales in North America helped lift Group Michelin's global sales 1 percent in the first quarter to $3.38 billion, but the negative effects of exchange rates—primarily the dollar and Brazilian real against the euro—held the increase down.
Michelin reported a 2.9-percent increase in the number of tires sold globally, but the currency parity problems offset the gains in sales by about 2 percent.
Michelin said strong North American demand and a rebounding Brazilian market offset the continuing economic malaise in Asia and a lackluster European market.
Schwab settles studded tire suit
PRINEVILLE, Ore.—Les Schwab Tire Centers Inc. has settled with the estate of a woman killed in a 1996 car crash caused by a vehicle equipped with only two studded tires.
The dealership had faced a $1.3 million lawsuit from the estate of Kathryn Nelson, who along with her daughter Christiana, died after a minivan driven by Robert Worlock lost control and crashed into her car. The minivan had its studded tires installed at a Les Schwab store in Newberg, Ore.
The settlement is bound by confidentiality agreements, according to Les Schwab President Phil Wick.
However, he said the company did settle with the plaintiffs for less than the original $1.3 million amount.
Ghosn to take top Nissan post
PARIS—Renault SA Executive Carlos Ghosn, a former chairman of Michelin North America, will be appointed COO of Nissan Motor Co. Ltd. in June.
Renault in France acquired a 36.8-percent controlling interest in Nissan in March. Mr. Ghosn currently is executive vice president for engineering, manufacturing and purchasing at Renault. He is credited with helping Renault rebound from losses of $830 million in 1995.
Mr. Ghosn will leave Renault's Boulogne Billancourt headquarters to settle in Tokyo.
Pirelli, Saleen ink supply contract
NEW HAVEN, Conn.—Pirelli Tire North America has agreed to supply tires to Saleen Performance, a specialty automobile manufacturer.
Saleen produces the S351 and S281 Mustangs, as well as the Saleen Explorer Peformance Utility Vehicle.
Pirelli will supply the P Zero, P7000 and Scorpion Zero lines as part of the agreement for the street cars.
In addition, Pirelli will be a sponsor of the Saleen/Allen ``RRR'' Speedlab Racing team, which will field Saleen Mustangs shod with Pirelli's in the American LeMans Series.