Goodyear will close U.K. tire factory
Goodyear Tire & Rubber Co. will close its Dunlop Tyres U.K. passenger tire plant in Washington, U.K., in a cost-cutting move.
The closing is expected to save Goodyear $20 million a year and will result in post-tax charges of $55 million to $65 million.
Goodyear also plans to cease production of bicycle tires and inner tubes at its factory in Debica, Poland.
"In total, the actions are expected to eliminate about 1,500 positions, create annual savings of between $40 million and $50 million ($30 million to $40 million after tax) and result in a charge of between $105 million and $115 million ($75 million to $85 million after tax)," say Goodyear officials.
"Of the total charge, approximately $55 million ($40 million after tax) will be recognized in the first and second quarters of 2006."