Bridgestone budgets euro 2.4 billion capex annually

ERJ staff report (DS)

Tokyo - In its mid-term management plan, Bridgestone Corp has budgeted yen 250 billion (euro 2400 million) annually for each of the next five years for capital expenditure. Half of this is to be used to add tyre making capacity.

The company intends to become the "undisputed world No. 1 tyre and rubber company in both name and reality". It is therefore continuing its progress toward a fully internationalised, global company.

The new plan covers the period from 2013 - 2017. Bridgestone said the operating environment is increasingly unstable and therefore is in the process of restructuring its management to respond to the increasing need for globalisation and the increasing uncertainty in the world.

Elements in the plan are to diversify away from natural rubber technologies and to move from fossil-based resources to renewable resources. Part of this is to create tyres with 100 percent renewable raw materials.

Bridgestone aims for a 6 percent return on capital invested.

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Press release from Bridgestone