Big Days in Big D
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©Entire Contents Copyright 2019 by Crain Communications Inc. All rights reserved. February 4, 2019 THE TIRE DEALER’S NEWSPAPER SINCE 1983 $79 per year, $4 per copy Michelin CEO Senard Big days in agrees to join Renault Automotive News CEO for managing the alliance with Nissan Motor Co. on behalf of Re- PARIS — French car maker Groupe nault, the French car maker said. Renault has appointed Michelin Group As Renault replaces Mr. Ghosn, the Big D CEO Jean-Dominique Senard as emerging leadership tandem likely will its new chairman and interim CEO split his responsibilities in line with the Thierry Bollore as the new CEO to re- wishes of France, its most powerful place Carlos Ghosn, who’s shareholder. in custody in Japan under Mr. Senard, Michelin’s suspicion of various compen- CEO since 2012, will be sation manipulations. charged with smoothing out Mr. Senard, with the back- the strained relationship with ing of all participants in Mi- partner Nissan, a person fa- chelin’s governance system, miliar with the matter said. Greg Ring, K&M’s agreed to take the Renault Mr. Bollore, who was serving director of training post, effective Jan. 24. He as interim CEO, will now and development, will continue to serve as Mi- handle daily operations as addresses dealers chelin CEO until his term Senard permanent CEO. during the wholesale expires in May, when Florent Renault’s board met Jan. distributor’s 2019 Menegaux — Mr. Senard’s designated 24 to appoint new leadership following Dealer Conference, successor — will assume the CEO’s the resignation of Mr. Ghosn after 14 held recently in job of cially. He already has taken years as CEO and a decade as chair- Dallas. on an increasingly signi cant role in man. Tire Business photos Don by Detore steering the group in cooperation French Finance Minister Bruno with Mr. Senard, Michelin said. Le Maire said that the government K&M celebrates growth at dealer meeting in Dallas Renault’s board of directors has de- favored dual leadership atop the By Don Detore petition — designed to help dealers succeed and have fun cided to give the new chairman “full companies in which it holds a stake, Tire Business Staff during the time away from their shop. responsibility” in liaison with the See Renault , page 22 Motivational speaker Brian Biro delivered the keynote DALLAS — A year before celebrating its 50th anniversary, address, challenging dealers to “break through barriers” to K&M Tire Inc. brought its network of dealers to a state reap success. After his talk, members of the audience liter- where everything seems to be bigger. ally broke through a barrier — most of them took Cooper, USW reach tentative And that seemed appropriate for the Delphos, the opportunity to break a small wooden board in Ohio-based tire distributor, which continued to two, using the palm of their st. grow and expand over the last 12 months. “We want (dealers) to go home with just a little agreement at Arkansas plant Buoyed by a stronger-than-usual fourth quarter, bit of information, some more connections, maybe Rubber & Plastics News for three years in 2016 as a result K&M just completed a year in which it registered some ideas that they can implement to help make of the failed merger between Coo- nearly 15-percent sales growth, marking the fth- their business more successful,” Ms. Gossard said. TEXARKANA, Ark. — Cooper Tire & per and Apollo Tyres Ltd. straight year of double-digit growth, according The networking, she said, allows dealers to Rubber Co. and members of United In addition to the Arkansas to Cheryl Gossard, who recently passed her rst reach out “to other people that are having some of Steelworkers Local 752 in Texarka- plant, the USW represents man- year as president of the company. the same struggles that they’re having, but maybe na have reached a tentative agree- ufacturing plants in Clarksdale, Around 1,040 people, representing 500 dif- Gossard they’re several states away — working with them ment on a four-year labor contract. Miss., (Local 556) and Findlay, ferent dealer locations as well as 45 vendors, de- trying to gure out what works best for them, and Details of the agreement are be- Ohio, (Local 207). These facili- scended upon Big D for K&M’s 2019 Dealer Conference, maybe it will work for them.” ing withheld pending presentation ties are not included in Cooper’s held Jan. 24-25 at the Hyatt Regency. The annual event The wholesale tire distributor market underwent mon- to USW members, Cooper said, proposed deal with Local 752. featured ve seminars, a two-day trade show and a host of umental changes in 2018. First, Michelin North America noting that a rati cation vote is Like the original deal with other events — including a “Sync or Swim” lip-sync com- See K&M , page 23 expected within days. If rati ed, Texarkana, the USW contracts at the deal would cover about 1,440 Clarksdale and Findlay were ex- unionized employees, a Cooper tended as a result of the failed Coo- USTMA: Sustainability drives tire business spokeswoman said. In all, the tire per and Apollo merger. At the time WASHINGTON — The U.S. Tire Manufacturers Associa- improve the societal contributions of their products and maker employs 1,700 at the Texar- of the extension, Clarksdale’s ex- tion (USTMA) has published a sustainability report de- operations,” Ms. Luke said. kana plant. tended pact was set to run through tailing U.S. tire makers’ vision for sustainable manufac- The 28-page report highlights the accomplishments of The previous deal was set to ex- Feb. 15 while the Findlay exten- turing and the industry’s progress in achieving the goal U.S. tire makers in achieving sustainability, including: pire in 2019 after being extended sion runs through Feb. 28, 2020. of a sustainable tire manufacturing industry. • 81 percent of scrap tires generated in the U.S. “Sustainability drives our members’ business reaching bene cial end-use markets in 2017; practices and operating principles,” USTMA • A reduction of nearly 10 percent in car- President and CEO Anne Forristall Luke said bon dioxide emissions since 2010; in the introduction to the report. • A 50-percent reduction in workplace Robust construction market bodes well St. Louis Wholesale adds Starmaxx ..17 “From engineering innovations that max- injury and illness since 2005; for OTR tire market ..........................12 Mining industry continues to rebound, imize tire longevity and performance, to • Nearly 90 percent of USTMA mem- Columnist Peggy Fisher reflects on the as demand for tires grows ..............18 ensuring driver and employee safety, to pre- ber companies having certi cation under growth of ag tires ...........................14 Dealers credit booming economy for serving the environment throughout the life cycle of a ISO 14001, the internationally recognized system for Replacement ag tire growth is strong strong OTR sales .............................19 tire, our members are continually looking for ways to See , page 22 Sustainability despite lagging farm income ...........16 Michelin, Yokohama add rigid dump ©Entire contents copyright 2019 by Crain Communications Inc. All rights reserved. Conti developing ‘digital mortar’ ......17 truck tires to OTR portfolio ..............20 DEPARTMENTS INSIDE Automotive Service ..................9-11 Classifieds ...................................21 Goodyear optimistic about 2019 despite Loves Travel Shops to expand Tire Editorials .......................................6 recent challenges .............................. 3 Care, Speedco programs .....................4 Obit ...............................................4 Fortune recognizes Conti, Michelin Republican senators reintroduce bill to Get up-to-date information at the among most admired companies .......3 repeal estate tax .................................. 5 Tire Business website http://www.tirebusiness.com Visit us on the web at www.tirebusiness.com TIRE BUSINESS, February 4, 2019 • 3 Strong fourth quarter lifts European tire sales BRUSSELS — Strong fourth quarter de- while shipments of OE truck/bus tires mand for replacement tires through- rose 4.3 percent to 6.35 million units. out Europe helped boost overall 2018 Shipments of replacement ag- car and truck tire shipments over the ricultural tires were off 3.5 percent corresponding shipment levels of for the year at 1.24 million units, 2017, according to the latest Europe- despite a 10-percent shipment gain an Tyre & Rubber Man- in the fourth quarter. ufacturers’ Association Shipments of replace- (ETRMA) gures. ment motorcycle/scooter Shipments of OE tires fell 1.8 percent for Tire Business photo Don by Detore Goodyear executives believe the company is on the right path for success in 2018. consumer tires and re- the year to 8.97 million placement agricultural units, again despite a and two-wheeler tires, fourth-quarter gain of on the other hand, fell 8.4 percent. Riding out bumpy road short of the 2017 ship- “All in all, the 2018 ment levels, the ETR- gures con rm a stable MA data show. market evolving accord- Goodyear addresses several issues, looks to rebound in 2019 Fourth-quarter ship- ing to expected trends, By Dan Shingler ance are largely self-in icted in their eyes, and they cost the ments of replacement welcoming the contin- Crain’s Cleveland Business company dearly in credibility with investors. consumer tires rose 2.8 ued increase in winter “That was one of the big problems with the stock last percent to 48.5 million units, boost- and all-season tires adding to the safe- AKRON — Goodyear lost 42 percent of its market value in year. The company didn’t have reliable forecasting. I think in ing annual shipments of car and van ty on our roads,” ETRMA Secretary 2018, as its stock plummeted from more than $34 a share something like 12 of the last 14 quarters they’ve revised their tires 1.2 percent to 207.5 million General Fazilet Cinaralp said.