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Expect retail tire demand to improve, says Ludwig

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"In case you didn't notice, tire shipments to OEM auto manufacturers rose a whopping 26% in December, and this strength is expected to continue through the first quarter of 2010, at least," says Saul Ludwig in the latest installment of the "Ludwig Report" in Modern Tire Dealer magazine.

"This increase at OE demand will make it even more difficult for manufacturers to fill your orders for replacement tires.

"It is these times when long-term relationships with suppliers pay off. Dealers who flit from supplier to supplier may have a rougher time getting product.

"I continue to expect retail tire demand to improve as we move through 2010."

Ludwig is a managing director with KeyBanc Capital Markets Inc. based in Cleveland, Ohio. Look for the full "Ludwig Report" in each issue of Modern Tire Dealer magazine.

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