MarketWatch reports:
Cooper Tire & Rubber Company today reported a net loss of $22 million, or 38 cents per share, for the quarter ended June 30, 2008. Net sales for the period were a record $773 million, an increase of $43 million over the prior year. The increased revenues were driven by pricing and improved mix partially offset by decreased tire unit volumes in North America. As with many manufacturing companies, Cooper faced intense challenges during the quarter that adversely affected operating results. These included record high raw material costs, increased utility costs, and weak market demand in North America. Raw material shortages also led to Cooper’s decision to temporarily curtail production during the quarter in North America. Continue reading…
The company is still riding high despite the macroeconomic challenges rocking all companies these days. What they do to counter these forces is to diversify and expand their market. More importantly they attribute the soundness of their operations to Lean Six Sigma. They have put commitment to their strategic plan.
Roy Armes, Chief Executive Officer, says:
“Our focus on improving our cost competitive position has intensified even further, with our execution of automation projects and the deployment of resources to implement a LEAN Six Sigma culture. This includes the training of 50 fulltime black belts during the year who will be working on projects that reduce waste within our facilities. We are also excited about the recently announced investment in Mexico as it is an excellent source of high quality cost competitive tires to support sales in Mexico, the United States, and Canada. While we recognize that we are facing strong headwinds as an industry, the actions we are taking will prepare us to capitalize on future opportunities.”
