Conti considering divestments

HANOVER, Germany (Aug. 5)—Continental A.G. is poised to sell five to 10 business units with combined annual sales of $300 million to $500 million, but the deals may wait until the selling market improves. Continental CEO Manfred Wennemer revealed the planned realignment but wouldn't disclose specific businesses targeted for divestiture. Several, though, may come from the ContiTech rubber and industrial products division, which has eight business units. ContiTech could shrink to three to five focused units during the next couple of years, Wennemer said. The lull in acquisition activity, caused by a struggling supplier industry and low stock prices, likely is to delay sales. Ironically, Wennemer vaulted into Continental's CEO post in part as a result of dissatisfaction with his predecessor's divestiture plans.