Tuesday, May 15, 2007

Goodyear posts $174 million loss

Akron Beacon Journal staff report

Goodyear Tire & Rubber Co. said it lost $174 million for the first quarter ending March 31 because of costs related to the 86-day United Steelworkers strike in late 2006.

Sales were up 1 percent to $4.5 billion, the Akron tire maker reported this morning.

The company said it has reduced the cost estimates on its North American Tire division to between $100 million and $120 million for 2007, down from previous estimates as high as $230 million. The company said it is recovering from the Steelworkers strike faster than it had anticipated.

Goodyear is raising its cost-savings goal from more than $1 billion by 2008 to as much as $2 billion by 2009.

 

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