Michelin

Corporate

The Michelin Group was founded in 1889 by two brothers, Andre and Edouard Michelin, in France. The Michelin Group or Michelin as it is known globally is the leading tire maker in the world and one of the top automobile equipment makers as well as a leading supplier of other important products related to the motoring industry. Michelin has a worldwide presence and is spread across Asia, Europe the Americas and Africa.

Activities

The Michelin Group is the No.1 tire maker in the world and a leading manufacturer of a wide range of automobile equipment.
Michelin’s main activities are:

• Manufacture of tires for any vehicle including aircraft
• Travel Assistance Services
• Lifestyle products

Performance

In fiscal 2006 Michelin’s revenue was € 16,384 million which was around 5 % higher than what it was in the fiscal before.

Growth in revenues over the last 2 years (In million €)

Michelin’s net income in fiscal 2006 was € 573 million which was around 64 % less than what it was in last fiscal. The total value of Michelin’s assets in fiscal 2006 was € 12,946 million which was around 2.5 % higher than what it was in the last fiscal. Value of total assets over the last 2 years (In million €)

Assets and Infrastructure

Michelin has plants located all over the world and is focusing hard on emerging markets across central and eastern Europe, Asia and Latin America. Already Asia comprises one third of Michelin’s global market and would grow further with more facilities in emerging markets, especially in Asia.

Michelin has set up 2 research units in Bangkok and in Ohta in Japan. In another 5 years Michelin would build new plants in China, Thailand, Poland and Brazil that would substantially increase its capacity.

Research & Development

Michelin was one of the first companies that realized the impact of ‘rolling resistance’ in a vehicle’s fuel consumption. It has been found that the fuel consumption is higher by as much as 20 % for cars and 30 % for trucks due to ‘rolling resistance’.

Michelin pioneered and developed first the radial tire, which reduced ‘rolling resistance’ by 30 % and then the green tire technology that further reduced it by another 20 %.

Michelin believes that if all passenger cars in Europe alone used its green tires then:
Fuel consumption would be reduced by 6 billion liters
Carbon Dioxide emissions would be reduced by 15 million metric tons

Organization

Michelin is headed by Mr. M. Rollier who is the Managing Partner of the company.
Michelin employees over 127,000 people worldwide.

Michelin’s head office is located in:

46 Avenue De Breteuil
75324 Paris Cedex 07 – France
Website: www.michelin.com