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No. of Recommendations: 6
We all remember how quick GT and Mr. Gibara was to issue a press release following the publication of Fortune's publication of its list of Most Admired Companies. For additional information and comment see post 491 on this board.

The Fortune list is based on interviews, and consequently very subjective in nature. In addition it had placed GT in an industry group which it could hardly avoid to dominate despite its misery.

Business Week has just published its annual Performance Ranking of the S & P 500 companies, and we have not seen any press release from GT or Mr. Gibara.

The reason is pretty obvious.

The Business Week Ranking is not subjective, it is objective, as it ranks companies on the following criteria:

- 1 year total return
- 3 year total return
- 1 year sales growth
- 3 year sales growth
- 1 year profit growth
- 3 year profit growth
- net margin
- return on equity

Pretty concrete stuff!

Out of the 500 companies 9 cannot be ranked according to BW. However, out of the 491 companies it has ranked our company, GT, is number 467!!! But only 4 (four) companies have received a lower grading than GT!!!

In the 8 categories all companies are given from A (best) to F (worst - FAIL) rankings. GT has received 7 F rankings and 1 D ranking (sales growth over 1 year - which is the effect of the Sumitomo alliance).

In the Industry Ranking GT is ranked with 7 other companies as follows:

1. Paccar (46)
2. Navistar (53)
3. General Motors (120)
4. Ford (196)
5. Delphi (237)
6. Dana (305)
7. Cooper Tire & Rubber (368)
8. GT (467)

So as expected GT is ranked lowest among its peers - and by a wide margin. - The numbers in brackets refer to the respective companies overall ranking within the S & P 500.

I wonder how Mr. Gibara feels with a surview like this being published the day after his remarks to The Wall Street Journal?

This is the time that a proactive CEO in control should remind his shareholders what is being done to correct the company's under-performance; but we will not see any press release from Mr. Gibara or GT in response to this devastating ranking of GT.

But I would like to have Mr. Gibara explain this ranking of GT!

Take care.


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