Tire & rubber industry

There has been downward pricing pressure on retreaders and tire producers in the US due to the trade deficit of the 1990s and prices have declined by 4% in 1998. Tire and rubber companies are seeking acquisitions in order to contend with the 2% to 3% annual growth rates for the industry, and are also seeking to contain costs in order to enhance earnings. Most of these stocks are expected to underperform the market in 1999 and through the years 2001-200, as well.