Goodyear Sells Global Wire Business to Hyosung

The Goodyear Tire & Rubber Company GT has agreed to sell its global wire business to Hyosung Corporation, pending government and regulatory approvals and other customary closing conditions. Goodyear and its affiliates will receive approximately $50 million for the business, subject to post-closing adjustments. The business, which manufactures tire reinforcement wire in Asheboro, North Carolina, and Colmar-Berg, Luxembourg, employs about 600 people. In addition, Goodyear and Hyosung, a multinational corporation with substantial tire reinforcement operations, will sign a multi-year supply agreement upon closing. The sale, which is expected to close in the third quarter of 2011, is not expected to result in a significant gain or loss. "This transaction reinforces our focus on providing innovative consumer and commercial tires in targeted market segments," said Richard J. Kramer, Goodyear chairman and chief executive officer.