Acouple of decades ago two tyremak-ers, Pirelli of Italy and Continental of Germany, were locked in a takeover battle. A merger would have brought them close to the size of the world's big three tyre firms: Bridgestone, Goodyear and Miche-lin. It didn't happen. Continental fought off Pirelli and they went their separate ways. Both have had a bumpy ride. Tyremaking is a dependable, if unglam-orous, business. Even when recession bites-as it has twice since 1991-motorists still need replacement tyres, which account for 75% of revenues. But that steady cashflow tempted both Pirelli and Continental to veer off track.
展开▼
