Goodyear: a good year ahead with strategic plan and choices

(CercleFinance.com) - On the presentation of a new strategic plan on Wednesday, Goodyear announced that it was considering a number of strategic options concerning its chemicals business, its Dunlop brand and its off-road tires.


The transformation plan - dubbed "Goodyear Forward" - calls for portfolio optimization, margin improvement and debt reduction, with the stated aim of creating shareholder value.

The program, implemented by a committee drawn from the Board of Directors, aims to generate around $2bn in revenue through the restructuring of businesses.

It also targets cost reductions of around $1bn p.a. by end-2025, which should enable the company to double its operating margin to 10% by that date.

The US tyre manufacturer also announced that its CEO Richard J. Kramer has said that he wishes to step down next year.

Goodyear says it has commissioned a firm specializing in the recruitment of top-level executives to identify both internal and external candidates to succeed him.

The share price climbed over 6% in pre-market trading following these announcements.


Copyright (c) 2023 CercleFinance.com. All rights reserved.