Two makers hike truck tire prices
FINDLAY, Ohio-Cooper Tire & Rubber Co. will increase prices on its medium truck tires by 5 percent effective July 1, according to a company spokeswoman.
Reasons cited for the increase include higher raw material costs, transportation costs and a slow economic recovery, the firm said. Medium truck is the only Cooper tire line that will experience the increase, the company said.
Kumho Tire USA also announced plans to raise prices on its line of medium truck tires by 3 percent, effective July 1.
``Like other tire companies, we have experienced increased costs for raw materials, transportation, distribution and other manufacturing costs,'' said David Hudrlik, vice president and director of sales.
Bridgestone/Firestone, Michelin North America Inc., Goodyear, Hankook Tire America Corp. and Yokohama Tire Corp. said they had no tire price increases to announce at this time.
Jack Kim, COO of Hankook Tire America Corp., said the tire manufacturer follows the market and that if the market hikes prices, then Hankook also will do the same.
Discount Tire alters price policy
SCOTTSDALE, Ariz.-Discount Tire Co. Inc. has begun a program of advertising and selling tires at ``low prices, every tire, every day.''
The Scottsdale-based company is including in its purchase price for tires such add-on services as lifetime balancing, rubber valve stems, pro-rated road hazard warranty, flat tire repair, tire rotation, mounting and installation. Previously, Discount Tire charged separately for those services.
A company spokeswoman declined to elaborate on the new marketing campaign and what spurred the dealership to change its pricing policy. Similar pricing programs are used by some of Discount Tire's biggest competitors, including Big O Tires Inc. and Les Schwab Tire Centers Inc.
Discount Tire ranks as North America's largest independent retail tire dealership with $1.29 billion in sales and 450 outlets.
Bandag buys out Lucille Carver
MUSCATINE, Iowa-Bandag Inc. is spending $40.2 million to buy 1.11 million shares of its Class B common stock and 418,371 shares of its Class A common stock from Lucille A. Carver, widow of Bandag founder Roy J. Carver Sr.
The purchase, which took place June 19, leaves Mrs. Carver with no ownership stake in the company and reduces the Carver family's voting power to about 64 percent from 78 percent, Bandag said.
Martin G. Carver, chairman, president and CEO of Bandag, and Bandag board member Roy J. Carver Jr. will have sole voting power of approximately 28 and 22 percent, respectively, and the brothers share voting power over 14 percent of Bandag's total voting power.
The repurchased shares will be held in treasury, the company said. Bandag paid $27.04 per share for the Class B and $24 per share for the Class A shares.
The authority to purchase the shares was approved two years ago by the board of directors. That stock purchase authorization still covers about 1.01 million shares, Bandag said.
DaimlerChrysler picks SmarTire
RICHMOND, British Columbia-SmarTire Systems Inc. announced its tire pressure monitoring system has been included as equipment on a concept car unveiled at the DaimlerChrysler Innovation Symposium, held June 11 in Stuttgart, Germany.
The SmarTire monitoring system was installed on a Jeep Grand Cherokee Concierge, a prototype introduced by the Liberty and Technical Affairs advanced technology development group of DaimlerChrysler A.G. in Auburn Hills, Mich.
The system includes a tire-monitoring sensor mounted to the back of the valve stem inside each tire and a centralized receiver, according to SmarTire. Sensors measure tire pressure and temperature and transmit information to the receiver. Abnormal changes in pressure or temperature result in warnings to the driver.
Humanitarian award deadline is July 31
AKRON-Those wishing to nominate an individual for Tire Business' annual Tire Dealer Humanitarian Award have only a month to do so.
July 31 is the deadline for submitting nominations. The award recognizes an independent tire dealer or retreader who has made a difference in his or her community.
The award recipient will be honored at the Specialty Equipment Market Association/International Tire Expo show, Nov. 5-8 in Las Vegas.
To submit a nomination, call Tire Business at (330) 865-6148.