Findlay, Ohio -- A shortage of butadiene to make synthetic rubber, along with reduced demand, persuaded Cooper Tire & Rubber Co. to curtail production in all its North American facilities, according to a company spokesman.
Cooper announced June 23 that it had cut production in North America for the second quarter, at an estimated cost to the company of between $12 million and $14 million.
The spokesman declined to discuss the depth of the production cuts, the product lines affected, the actual number of facilities or the possible length of the curtailment. He also refused to discuss the effect of the cuts on Cooper's employees, although he said that production curtailments inevitably result in layoffs.
Cooper Tire stock was trading at $8.10 per share June 24 on the New York Stock Exchange, down 19 cents from on June 23.
From Tire Business (A Crain publication)