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Article: Tire makers cut back future capital plans.(News)
- Article from:
- Rubber & Plastics News
- Article date:
- September 7, 2009
- Author:
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Byline: Bruce Davis
Tire makers, not immune from the global economic slump, sliced their future capital spending plans in the past 12 months, committing $2.4 billion compared to $9.6 billion in projects announced in 2007-08.
The biggest spender is Michelin, which committed nearly $700 million in the past year to capital expenditures, although a significant chunk of this is tied to restructuring and at least two plant closings. At the same time, though, Michelin nearly halved its capital spending budget for fiscal 2009 to about $1 billion as it focuses on cash flow.
If unconfirmed media reports from India are included, Michelin may be budgeting ...