Bridgestone Corp. issues further downward projection for 2008

ERJ staff report (DS)

Tokyo -- Bridgestone Corp. has revised downward its profit projections for the 12 months ended 31 December 2008. The company did not change its sales projections, but estimated that net profits would be Yen 7500 million (Euro 63.6 milion). This is Yen 4500 million (Euro 38.2 million) lower than the forecast issued on 22 December last year.

Bridgestone said it issued the revised forecast in the wake of yesterday's EC fine of Euro 58.5 million imposed for Bridgestone's participation in a cartel in the marine hose sector.

The reduction in forecast net profits is less than the imposed fine. However, Bridgestone had already factored in an allowance for the fine. It appears the fine was substantially larger than the company had expected.

In yesterday's announcement, the EC said it had increased the fine imposed on Bridgestone by 30 percent (Euro 13.5 million) because Bridgestone had jointly led the cartel.

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Press release from Bridgestone