CLEVELAND (Oct. 17)—Groupe Michelin and Pirelli S.p.A. have licensed VMI Epe Holland B.V. to develop and make tire building systems for Michelin´s PAX extended mobility tire/wheel system for them as well as other PAX licensees. Epe, Holland-based VMI will devote up to half its research and development resources in the coming year to develop the machinery; the first machines—dubbed VRPAX—are due for delivery to Michelin by the fourth quarter of 2002, according to VMI´s Coos Spanjer, speaking at the ACS Rubber Division's Rubber Expo '01 in Cleveland. The VRPAX will be designed for a daily output of 800 tires, Spanjer said. The building machines will require an operator; Spanjer declined to comment on whether the building machines would be based on a flat drum or toriodal drum concept, but did say they likely would incorporate some existing VMI technology. The companies didn't comment on the value of the deal.