Keegan pleased with Goodyear´s progress
"We´re making significant progress in our turnaround efforts," Goodyear Tire & Rubber Co. Chairman, CEO and President Bob Keegan told investors this morning. "Our progress from where we were two years ago is gratifying."
Yesterday, Goodyear reported net income of $36.5 million on sales of $4.7 billion for the third quarter of 2004 vs. a net loss of $119.4 million on sales of $3.9 billion for the same period last year.
The turnaround in net income and 20.7% boost in sales were driven by improved operating results in all seven of Goodyear´s business segments, including North American Tire, according to officials from the Akron, Ohio-based tiremaker.
"Our replacement units increased (in 3Q 2004) with Goodyear branded products growing 6%," says Keegan.
"This flurry of successes is only the beginning. I continue to be very pleased with the response of our dealers to our marketing initiatives."
Goodyear´s focus on improving its price mix also is helping "in a major way."
Keegan expects the Goodyear brand´s performance to continue, "but significant challenges lie ahead of us. We will continue to focus on lean initiatives in manufacturing. We clearly realize we have to take more cost out of our business."