Skip to main content
Sister Publication Links
  • European Rubber Journal
  • Plastics News
  • Tire Business
Subscribe
  • Login
  • Register
  • Subscribe
  • News
    • Automotive
    • Tire
    • Non-Tire
    • Suppliers
    • ITEC
    • Silicone
    • Online Exclusive
    • Latex
    • Technical Notebooks
    • Executive Action
    • Government/Legal
    • Opinion
    • Rubber Division IEC
    • Blogs
    • Sustainability
    • Products
    • Wacky World of Rubber
  • War in Ukraine
  • Custom
    • Sponsored Content
    • White Papers
  • Resources
    • Directory
    • Classifieds & Mold Mart
  • Data
  • Events
    • RN Events
    • RN Livestreams/Webinars
    • Industry Events
    • Past Events
    • Rubber News M&A Live
    • 2022 Hose & Belt Manufacturers Conference
    • 2022 International Silicone Conference
    • 2022 International Tire Exhibition & Conference (ITEC)
  • Advertise
  • DIGITAL EDITION
MENU
Breadcrumb
  1. Home
  2. News
September 07, 2006 02:00 AM

Cooper to restructure to cut costs, boost profits

  • Tweet
  • Share
  • Share
  • Email
  • More
    Print

    NEW YORK (Sept. 7)— Cooper Tire & Rubber Co. plans to cut costs by $70 million a year, improve profits by $100 million and slice inventories by $100 million in the coming months, according to the firm´s interim CEO.

    Speaking to securities analysts in New York, Byron Pond said a "soft restructuring" of the company comes after the firm focused too much on growth and not enough on profitability.

    "Our results have been disappointing," Pond said at a Credit Suisse Automotive Industry Briefing. "To continue on this course is unacceptable."

    To get the company on the right track, Cooper will institute a more flexible manufacturing schedule, operating three of its four U.S. plants on round-the-clock schedules and the fourth on a variable schedule, Pond said. The company intends to make more use of temporary workers to effect this plan.

    Cooper also will increase its imports of tires from China to help it improve margins and allow it to operate its U.S. plants more efficiently.

    Among initiatives Pond outlined to help shore up the bottom line, Cooper will reduce SKUs in North America by 10 percent; consolidate its ultra-high-performance tire offerings into one brand; rationalize associate brand offerings; and reduce its low-end products.

    The actions outlined by Pond will require $76 million in investments and will result in a one-time restructuring charge of $19 million.

    Letter
    to the
    Editor

    Rubber News wants to hear from its readers. If you want to express your opinion on a story or issue, email your letter to Editor Bruce Meyer at [email protected].

    Most Popular
    1
    European rubber recycling gaining 'unprecedented traction'
    2
    Align Capital adds N.H. distributor to Marco Rubber & Plastics portfolio
    3
    Supply chain ‘scramble' likely to continue into 2023
    4
    Industry braces for return of Superfund excise taxes
    5
    Bridgestone christens Firestone race tire plant
    SIGN UP FOR NEWSLETTERS
    EMAIL ADDRESS

    Please enter a valid email address.

    Please enter your email address.

    Please verify captcha.

    Please select at least one newsletter to subscribe.

    Get our newsletters

    Staying current is easy with Rubber News delivered straight to your inbox, free of charge.

    Subscribe Today

    Subscribe to Rubber News to get the best coverage and leading insights in the industry.

    SUBSCRIBE
    Connect with Us
    • LinkedIn
    • Facebook
    • Twitter

    MISSION

    To serve companies in the global rubber product industry by delivering news, industry insights, opinions and technical information.

    Contact Us

    2291 Riverfront Pkwy, Suite 1000
    Cuyahoga Falls,
    OH 44221

    Customer Service:
    877-320-1726

    Resources
    • About Us
    • Digital Edition
    • Staff
    • Advertise
    • Order Reprints
    • Privacy Policy
    • Privacy Request
    • Terms of Service
    • Careers
    • Ad Choices Ad Choices
    • Sitemap
    Partner Sites
    • Tire Business
    • European Rubber Journal
    • Plastics News
    • Plastics News China
    • Urethanes Technology
    • Automotive News
    • Crain Brands
    Copyright © 1996-2022. Crain Communications, Inc. All Rights Reserved.
    • News
      • Automotive
      • Tire
      • Non-Tire
      • Suppliers
      • ITEC
      • Silicone
      • Online Exclusive
      • Latex
      • Technical Notebooks
      • Executive Action
      • Government/Legal
      • Opinion
      • Rubber Division IEC
      • Blogs
        • Products
        • Wacky World of Rubber
      • Sustainability
    • War in Ukraine
    • Custom
      • Sponsored Content
      • White Papers
    • Resources
      • Directory
      • Classifieds & Mold Mart
    • Data
    • Events
      • RN Events
        • 2022 Hose & Belt Manufacturers Conference
        • 2022 International Silicone Conference
        • 2022 International Tire Exhibition & Conference (ITEC)
      • RN Livestreams/Webinars
      • Industry Events
      • Past Events
      • Rubber News M&A Live
    • Advertise
    • DIGITAL EDITION