Goodyear's profits surge

JAKARTA (JP): PT Goodyear Indonesia's net profit increased more than nine-fold to Rp 50.3 billion (about US$6.3 million) in the 1998 financial year on widely expanded export business.

"We found profitable opportunities to offset almost all sales losses in our domestic markets by expanding our export business to other Goodyear companies, especially in Japan, Europe and USA," GI president Gottfried Hess said at the annual shareholders' meeting here on Monday.

The company doubled its revenue to Rp 520 billion in 1998, although domestic tire sales nose-dived to an extremely low level, Hess said in a statement.

GI has been aggressive in the last five years and is now finding its production capacity severely underutilized, according to Hess.

The company will pay a Rp 125 dividend for the 1998 financial year.

GI is a subsidiary of Goodyear Tire & Rubber Company established in 1898 and based in Akron, Ohio. It has over 89,000 employees worldwide and 74 manufacturers in 30 countries. (udi)