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Michelin Confirms Industrial Development Projects in Emerging
Countries
In China, very strong local demand has prompted the Group to
increase its Passenger
car and Light truck and Truck tire capacity by 2012.
In India, where it already has a well-established marketing
presence, Michelin has
announced plans to build a Truck and Earthmover tire plant in
Chennai (Tamil Nadu).
The new facility will begin supplying the local market with the
start-up of production in
late 2012.In Brazil, Michelin plans to triple production
capacity for Passenger car and Light truck
tires intended for South American markets. A new plant will be
built in Resende and isscheduled to come on stream, in late
2011.
Ota Tire Plant in Japan to Close
Michelin announced plans to end Passenger car and Light truck
tire production in July
2010 at the Ota plant, which is still not competitive enough
despite all the steps takento improve productivity.The Group is
nevertheless committed to pursuing its growth and expanding its
presence in Japan and the Asia Pacific region, notably through
its research and
development activities in Ota, its nationwide sales operations
and its Nihon Michelin
Tire Co Ltd. headquarters in Tokyo.
Measures will be rapidly deployed to enable the 380 employees
affected by the
closing to find jobs either within the Group, in particular at
the Ota site, or in
outplacement.
Michelin Raises Stake in Tigar in Serbia
Michelin has decided to increase its stake in Serbian tire
manufacturer Tigar by
gradually acquiring, in 2010, all outstanding shares in the
company that it does not
already own. The move reflects both Michelin's confidence in the
successfulcooperation with Tigar that began in the early 1990s, and
the positive outlook for
growth in the Eastern European markets.
The Tigar plant in Serbia is an efficient, competitive
production base for tier
3 Passenger car tires in Europe and for MICHELIN scooter
tires.
Michelin to Buy Out Minority Interests in Shanghai Michelin
Warrior Tire Co. Ltd(SMWT)
SMWT's minority shareholders, Double Coin
Holdings Ltd. (28.5%) and Shanghai Minhang
United Development Co. Ltd (1.5%), haveannounced their intention
to sell their stakes in the
company.
Michelin, which owns the remaining 70% of outstanding
shares, has expressed an interest in acquiring the
stakes in a commitment to securing SMWT's
sustainable growth.Double Coin and Michelin also intend to
continue
working together.
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Closure of the Rubber Tree Farm on the Mato Grosso Plantation in
Brazil
Michelin has decided to halt rubber tree production on its
plantation in Mato Grosso,
Brazil, which has been in operation since the late 1970s. The
region's unique weather
conditions has kept per-tree yield well below the standards
achieved on other
plantations in Brazil and other countries, and further expansion
of the tree farmingoperations would not be profitable.
The land has been sold to a local company that will gradually
shift to multi-cropfarming. Michelin will continue to develop its
operations in the areas of agricultural and
industrial research, technical assistance to rubber producers
and the machining of
natural rubber.
Michelin's First Global Advertising CampaignFor the first time,
Michelin is launching a worldwide consumer advertising
campaign,
reflecting the MICHELIN brand's new global communication
strategy. The campaign
was rolled out in North America in October 2009 and is scheduled
for gradualdeployment in 55 countries by 2011. Designed to
demonstrate all of the benefits
delivered by MICHELIN brand tires compared to competitors, the
campaign will show
that by choosing the right tire, motorists can reduce their fuel
bill, increase driving
safety and extend tread life. The simple message - "The right
tire changes everything" -is illustrated by a bold visual, in which
the Michelin Man helps motorists by replacing
their faulty tires with MICHELIN tires that he pulls from his
body with lightning speed.
This dramatic gesture will serve as the visual hallmark of
MICHELIN brand advertising
around the world and across every product line.
4 Michelin 2009 Highlights
