CLERMONT-FERRAND, France (April 9, 2002)—Beginning April 11, Group Michelin Group employees will have the opportunity to become Michelin shareholders under preferential conditions. From April 11-30, employees worldwide will have a chance to buy shares at discounted prices, starting at 50 percent for the first 10 shares, 33 percent for the next 10 and 20 percent for shares over 20.
Michelin employees in the U.S. will get a further incentive: Michelin North America Inc. will discount the reference price of $38.50 by 20 percent, to $30.80, before the subscription discounts take effect.
“We see this as a great opportunity for employees,” said Jim Micali, president and chairman of Michelin North America, in a prepared statement. “By setting up a worldwide Employee Shareholding Plan, Michelin wishes to strengthen even further our existing relationship between the employees and the company and to associate them more closely with the development of the Michelin Group, worldwide.”
Employees who participate in this plan will become direct shareholders, entitled to all the rights of a shareholder, including direct access to economic and financial information sent by Michelin to its shareholders, the company said.
The offer is being made initially in 16 of the 56 countries where Michelin does business; a second phase will be made available in 2003 to employees in the remaining countries, subject to technical and regulatory approvals. Michelin is arranging for interest-free installments, spread over 12 months, to facilitate purchases. The offer was designed to be within everyone´s reach, whatever the economic conditions in all the countries concerned, Michelin said.
Michelin has 100,000 employees worldwide, 26,500 of whom are in North America.