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March 04, 2002 01:00 AM

Update: MAST, TBC close to supply agreement

Todd Stumpf, Tire Business staff
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    GREENVILLE, S.C. (March 4, 2002)—Michelin North America Inc. said it has agreed to supply TBC Corp.'s Atlanta-based Carroll Tire wholesale operation.

    TBC said talks are in progress and a deal should be wrapped up in the near future.

    “We have had an excellent relationship for many years with (TBC's Florida-based) Tire Kingdom, and we are confident we can have the same success with TBC's other retailers,” said a spokeswoman for Michelin Americas Small Tires (MAST). “MAST is pleased at the prospect of joining forces with TBC as a strategic multi-brand partner.”

    She said MAST will be stocking Carroll Tire with Michelin, BFGoodrich and Uniroyal brand passenger and light truck tires. She added: “We will have TBC fully stocked within 45 days. We will adjust their inventory to serve their needs for most brands.”

    She would not elaborate on whether that included other TBC interests outside of Carroll Tire. MAST brands are already among the products available at Tire Kingdom's 200-plus locations.

    Big O Tires Inc.—TBC's largest subsidiary, with more than 500 locations—offers MAST products at individual stores, but not through a TBC supply agreement with Michelin, a TBC spokesman said.

    Glen Gravatt, TBC's senior vice president, marketing and product procurement, said TBC and Michelin are in negotiations and that "TBC fully expects this agreement to be finalized very soon."

    Carroll Tire has 24 distribution centers doing business primarily in the Southeast. It employs more than 300 and distributes mainly private brands, including TBC's Multi-Mile, Cordovan, Sigma and Vanderbilt lines. TBC acquired Carroll's Inc. in 1998.

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