Goodyear: No restructuring plans
AKRON-A Goodyear spokesman said the Akron-based tire maker has not made any decisions to restructure its North American operations, responding to questions following a Wall Street Journal report.
The news report cited restructuring options, which include closing plants, shifting work overseas or shedding employees, that Goodyear may look at to further its turnaround. The newspaper said company officials had not made any decisions about those possibilities.
``A part of the planning process is we look at all the options that are out there to try to...see what sort of actions and decisions we need to make as we go forward,'' the Goodyear spokesman told Tire Business, adding the discussion is one that nearly all companies entertain.
The tire maker's contract with the United Steelworkers of America is in effect until July 2006.
Tech creates Canadian subsidiary
JOHNSTOWN, Ohio-Tech International has established a wholly owned subsidiary in Canada, Tech International Canada Corp.
Tech International-which produces tire repair and related wheel service products-also is operating a full-service distribution facility in Brantford, Ontario.
Four new distributors also were appointed, including: B-Line Tech in St. Albert, Alberta; Camne Supplies in Ontario; Duret & Landry Inc. in Laval, Quebec; and BB Distributors in Graven Hurst, Ontario.
TechCan, now PremaCan, is no longer an authorized distributor in Canada, Tech said. Michael Chambers, Tech CEO, said the company continues to recruit new distributors in Canada.
Monro sales up 25% in 3rd. qtr.
ROCHESTER, N.Y.-Monro Muffler Brake Inc.'s third quarter sales jumped 24.7 percent ahead of last year as the company continues to look for more acquisitions.
Monro also reported record net income of $3.65 million, up 20.5 percent from $3.03 million last year.
Monro reported sales of $80.5 million, compared with $64.5 million last year. For the period ending Dec. 25, the automotive repair chain posted a 2.4-percent increase in comparable store sales, primarily from comparable increases of 15 percent in the service category and 5 percent in tire sales. New stores contributed $14.8 million in the quarter, Monro said.
For the nine months, Monro reported record sales of $256.3 million, up 20.7 percent from $212.3 million. Net income rose 16.5 percent to a record $17.3 million.
Cooper to pay down debt
FINDLAY, Ohio-Cooper Tire & Rubber Co. intends to use between $100 million and $200 million of the proceeds from the sale of its Cooper-Standard Automotive unit to reduce debt and $60 million to fund pension obligations.
Cooper disclosed its intentions in an 8K filing with the Securities and Exchange Commission.
The Findlay-based tire maker is receiving about $1.17 billion for Cooper-Standard from an entity formed by Cypress Group and Goldman Sachs Capital Partners.
The company listed long-term debt of $775.6 million and other long-term liabilities of $202.8 million in its third quarter 10-Q filing.
Cooper also said it would use the rest of the proceeds-or as much as $900 million-to invest in its tire operations and/or buy back shares. The tire unit investments would include the announced acquisition of a minority stake in South Korea's Kumho Tire Co. Inc.
S.C. fire destroys 320,000 tires
GREENVILLE, S.C.-Michelin North America Inc. lost about 320,000 tires in a fire at a Laurens, S.C., distribution center earlier this month.
The Laurens warehouse is owned by Lexington Acquiport and leased by TNT Logistics North America, which provides logistics support for Michelin. The Jan. 13 fire was sparked by a tornado.
Michelin said the loss of tires is only a fraction of 1 percent of the tire maker's tire unit sales in North America. Michelin added its financial loss is negligible since TNT carried insurance on the building and property.
Conti to sell Ohio OTR tire plant
CHARLOTTE, N.C.-Continental Tire North America Inc. (CTNA) is in negotiations to divest its off-the-road tire plant in Bryan, Ohio, but the sale may not close for several months.
CTNA is holding ``concrete negotiations to sell its production facilities for off-the-road tires in the U.S. together with the corresponding business,'' according to a Conti spokesman in Germany. General Tire & Rubber Co. opened the Bryan factory in 1966. Today it has the capacity to make 232 bias agricultural, earthmover/OTR or industrial tires a day.