TAME WINTER WITH OUR STUDDED SNOW TYRES

Winter Carving Edge won the winter tyre test conducted by the leading Russian automotive magazine ‘Za Rulyom’.

Nine tyres were put to the test of the extreme Russian winter conditions. This included our studded snow tyre, size 175/65 R 14, which convinced the magazine’s panel of experts with its brilliant performance.

Winter Carving Edge features a unique stud design that breaks through the layer of ice that forms on the roadways of northern Europe. This enables the tyre to provide maximum performance in terms of handling, traction and braking.

Pirelli’s studded snow tyre also excels in the snow thanks to its exclusive directional tread pattern, which minimizes noise levels within the vehicle making the tyre both safe and silent. 

The results of this test have been published in the September 2011 issue of ‘Za Rulyom’.

PEERS & MARKETS

Fears about the debt of Eurozone countries and the difficulties about the agreement on US government borrowing (agreed on Sunday 31 July)  dominated stock markets in the week 25-29 July. On the main financial markets prices fell by an average of 3%, with a fall of 5.3% in Milan due to the high incidence of bank shares: this was also the worse-performing sector in Europe as a whole (-5%).

Sales in the auto&parts sector (-4.8%) despite the good results in the 2Q reporting season, already anticipated in full by stock markets.

Pirelli closed the week at € 7.24 outperforming the Milan stock market (+5pp), the sector index (+4.7pp) and its main peers (+7.6pp v. Michelin, +3.9pp v. Continental, +6.2pp v. Nokian). The share price was sustained by the agreement on Russia and the results of 2Q 2011, which exceeded market expectations. According to Intermonte, the agreement reached on 25 July between Pirelli, Russian Technology and Sibur will allow Pirelli to immediately enter a high profitability market. The analysts comments about Pirelli’s results were positive: “an excellent quarter” demonstrating the solid positioning of the business and high pricing power. There were six upgrades in the TP for the share: Banca IMI (€8.92 to €9.7), Banca Aletti (from €8.50 to €9.50), Exane (from €9.70 to €10), Banca Leonardo (from €8.2 to €10.1), Axia (from €8.2 to €9.0) and Chevreux (€8.0 to €8.20). The mean consensus TP is 8.80€ with BUY recommendations from 92% of brokers.

WINTER ICECONTROL™ ARRIVES FOR EXTREME WEATHER

The new Pirelli car tyre developed especially for the Scandinavian markets and Russia, where the winters are extreme and motorists drive on ice and compacted snow, will become available in mid-2011.

Called Winter Icecontrol™, the tyre distinguishes itself by delivering outstanding performance under braking and handling on ice and in mud, traction and braking in the snow, its low rolling resistance and reduction of noise levels.

Almost 100 Swedish, Norwegian and Finnish clients tested the tyre at Alvsbyn in northern Sweden during four days of trials over 60 kilometres of ice and snow-covered roads in an event organised by Pirelli from 27 February until 1 March.

It was a launch that produced extremely positive results, so Winter Icecontrol™ will be on the roads next winter in Scandinavian cities, where this year drivers have been prohibited from using studded tyres for environmental reasons.