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April 21, 2008 02:00 AM

American Tire shows interest in Goodyear plant

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    CHINO, Calif. (April 21, 2008) — Though American Tire Corp. has expressed interest in buying Goodyear's off-the-road tire plant in Topeka, Kan., Goodyear said it hasn't received an offer and at this point doesn't intend to sell the site.

    Chino-based American Tire Corp. sent out a press release saying that it planned to contact Goodyear to propose an acquisition of the Akron-based tire manufacturer's Topeka factory.

    Under the proposal, American Tire said it wants to purchase the plant at “any reasonable price” and spend $200 million on upgrades that would see an increase of 20 percent in production capabilities for all OTR tire sizes.

    American Tire said an acquisition would not affect its plans for a plant in Washington state.

    Although the tire importer/wholesaler announced late last year that it planned to build a tire plant in Washington to produce 51-, 57- and 63-inch OTR radials, it has not specified a location or provided other details.

    A Goodyear spokesman said the company hasn't heard from American Tire and has no comment on the acquisition proposal.

    “We are very pleased with the performance of our OTR business and continue to see opportunities for Goodyear in this business,” he said. “We have not announced plans or an intention to sell any part of this business.”

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