Trelleborg to cede Galaxy rights to Alliance

ERJ staff report (TB)

Milan, Italy -- Trelleborg Wheel Systems SpA will stop distributing Galaxy-brand OTR tyres in Europea as a result of Alliance Tire Group's purchase of worldwide rights to the Galaxy brand from GPX International Inc., spokespersons for Trelleborg and Alliance said.

GPX had assigned European distribution rights for Galaxy farm, forestry, agri-industrial and OTR tyres to Trelleborg April 1 as part of a global re-alignment of its distribution strategy.

The change is related to Alliance's acquisition of the global distribution rights for the Galaxy and Primex brands from GPX in GPX's Chapter 11 bankruptcy protection proceedings.

“Alliance has invested quite a bit in Europe recently, so this is important for us,” said Manny Cicero, president of Alliance Tire Co. USA Ltd., the US subsidiary of Israel's Alliance Tire Co. (1992) Ltd.

Alliance Tire has a European coordination office in Halsteren, Netherlands-opened Dec. 1-and regional offices in France, Germany, Italy and Spain. It described Europe as its largest market, accounting for about half of the firm's $226 million in global sales in 2008.

The agreement with Trelleborg covers 25 countries: Albania, Belgium, Belarus, Cyprus, Denmark, Estonia, Finland, France, Ireland, Germany, Georgia, Italy, Latvia, Lithuania, Luxemburg, Malta, Netherlands, Norway, Portugal, Spain, Sweden, Switzerland, Turkey, United Kingdom and Ukraine.

“We will support our customer(s) with the Galaxy brand until the new owner will take over the company,” Trelleborg said.

From Tire Business (A Crain publication)