CLERMONT-FERRAND, France (May 29)—Groupe Michelin said it will drop General Motors Corp. as a customer in Europe because of GM´s purchasing policy. The tire maker said it won´t renew the original equipment tire shipment contract when it expires July 31 because its "strategy is no longer compatible" with GM´s purchasing policy, while giving no further explantion of its action. The company did hold out an olive branch. "We remain confident that our two companies will know, in due time, how to generate a renewed cooperation," said Herve Coyco, head of Michelin's worldwide passenger car/light truck division. Michelin said the decision won´t effect forecasted results, and production earmarked for GM shipments will be redeployed to serve other market needs.
Michelin to stop supplying tires to GM in Europe
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