Bandag adds five retreaders to its Continuum network

March 15, 2007

Bandag Inc. has added five North American retread manufacturers to its network of Continuum brand off-the-road retreaders.

Four of the retreaders will supply finished product to both Bandag franchised dealers and non-Bandag dealers. They are:

* Brahlers Truckers Supply, Jacksonville, Ill.;

* J&M Tire International, Oshawa, Ontario;

* McDonald Tire Co., San Antonio, Texas; and

* Southwest Retread Center, Albuquerque, N.M.

W.W. Tire Service, a franchised Bandag dealer in Bryant, S.D., has signed an agreement to manufacture with Continuum for its local-market customers.

"Off-the-road fleets continue to choose retread tires as a solution to the global shortage for new tires and as a means for getting the most out of the investment they've made in their tire casings," says Mike Poirier, Bandag's North American OTR sales manager.

"The addition of these manufacturers to our North American distribution network is important in meeting the needs of fleets in construction, mining, logging, utility and marine port industries, which have been greatly impacted by the new tire shortage."

Bandag launched Continuum OTR retread materials in 2005. The brand features serpentine tread designs, which the company says "advanced the precure application process."

Continuum materials fit tire sizes 13.00-24 to 27.00-49. At a price somewhere between 40% to 70% of the cost of a new tire, a retread represents a tremendous value for fleets.

On Dec. 5, 2006, Bandag announced that it had entered into a definitive merger agreement with Bridgestone Americas Holding Inc. The proposed merger remains subject to shareholder approval and other regulatory approvals, as well as the satisfaction of customary closing conditions. The transaction is expected to be completed in the second quarter of 2007.