AKRON (June 19, 2009)—Goodyear will move its Union City, Tenn., consumer tire plant to a five-day, three-shift operation from continuous production to align capacity with weak industry demand.
Akron-based Goodyear said the change will take effect July 6. The Union City plant has a capacity of 12 million tires a year, but a spokesman did not indicate an expected production level following the schedule change.
Last month the United Steelworkers approved a pact that moved the Union City plant to unprotected status. About 550 employees in Union City accepted buyout offers connected with these moves.
Goodyear expects to record an after-tax restructuring charge of about $60 million for this move, primarily taken in the second quarter.