Goodyear Closes Tennessee Plant Ahead of Schedule

Before you go, we thought you'd like these...
Before you go close icon

goodyear closes plantDETROIT -- Top U.S. tire maker Goodyear Tire & Rubber Co. stopped production at its manufacturing facility in Union City, Tenn., and will close the facility, the company said on Monday.

The plant has about 1,800 workers and is a top employer in the city of about 10,500.

Goodyear had planned to shut the facility by the end of the year. It was able to transfer its products to other facilities more quickly than expected, so it is closing the Union City plant now, it said.

A 2009 contract with the United Steelworkers union provided job security at six other plants but left jobs in the Union City plant unprotected.

Goodyear said previously that it will save $80 million per year by closing the plant. It said on Monday that it will pay an additional $20 million in restructuring costs related to the closure, on top of the $270 million it has already recorded.

It will record most of the additional $20 million in costs in the second quarter and said it would provide further details in its second quarter earnings announcement.

(Reporting by Clare Baldwin; editing by Derek Caney.)





Next:Cisco Could Eliminate as Many as 10,000 Jobs



Don't Miss: Top 10 Companies Hiring Now


Stories from Ask Men

Read Full Story

Want more news like this?

Sign up for Finance Report by AOL and get everything from business news to personal finance tips delivered directly to your inbox daily!

Subscribe to our other newsletters

Emails may offer personalized content or ads. Learn more. You may unsubscribe any time.

From Our Partners

Glass-Printed Photos from Fracture Are an Easy Way to Make Your Room All Nice and Pretty Glass-Printed Photos from Fracture Are an Easy Way to Make Your Room All Nice and Pretty
People Have Been Making Chicken Wrong The Whole Time - Here's The Best Way To Do It People Have Been Making Chicken Wrong The Whole Time - Here's The Best Way To Do It
Farmer Came Outside To Check On The Animals - And Found This In Her Pasture Instead Farmer Came Outside To Check On The Animals - And Found This In Her Pasture Instead