Ms. Thompson also said Goodyear and SRI have agreed to “long-term offtake” supply agreements in order to ensure a “smooth and orderly” transition. The company did not provide details of these agreements.
In general, she said the deal will reduce complexities and improve efficiencies in Goodyear's day-to-day operations and provides the company “increased flexibility to grow profitably.”
Separately, the United Steelworkers (USW) union issued a statement regarding the pending transfer of ownership of Goodyear's Tonawanda, N.Y., plant to SRI.
“The USW has a voice in this transaction on behalf of our members and we welcome any employer who recognizes our collective bargaining agreement and its obligations,” the union said.
“In addition, we welcome any employer who intends to strengthen and grow the business at the Buffalo plant by investing the necessary capital to accomplish those goals and establish the facility as a premier tire producing factory in the United States. We look forward to fruitful discussions with Sumitomo and a bright future for the factory.”