MUSCATINE, Iowa (July 26)—Bandag Inc. reported improved earnings for the second quarter and half year, but sales slumped about 1 percent from the year-earlier periods. The company said operating expense reductions resulted in the better profit picture, and an April price increase that partially offset rising raw materials costs. Martin Carver, Bandag chairman and CEO, said the company experienced a significant slowing in retread sales in North America, caused in part by slowing new truck sales, as well as and rising imports of low-priced truck tires. "Given the softer demand, we anticipate it will be more difficult to recover future increases in raw materials costs through further price increases," he said.
Bandag profits rise, sales fall slightly
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