DUNLOP TRANSITS INTO A NEW ERA.

After 46 years of manufacturing top quality tyres, Dunlop Nigeria Plc has re-defined its relationship with Apollo Tyres South Africa (PTY) Ltd (“Apollo”), franchise owners of the Dunlop brand in Africa, by giving up the Technical Know-How arrangement it had with it in exchange for a more profitable and realistic arrangement of being distributors of Dunlop brand tyres, in Nigeria.

In order that the accounting implications of discontinuing manufacturing does not stifle the new trading business, the Board resolved that all excess assets should be properly and diligently realized and the accounting year end of the Company should be changed with immediate effect from 31st December to 30th September. The current accounting year which started on 1st January 2008 will now end on 30th September, 2009. With this change in Accounting Date, the implications of cessation of manufacturing can be captured in the Company’s Balance Sheet for the current year, thus bringing a tidy conclusion to the financials relating to the former manufacturing operations.

Significantly, Dunlop Nigeria Plc has also changed its corporate name while retaining the DUNLOP brand. Today Dunlop Nigeria Plc obtained the approval of its shareholders to change its name to DN TYRE & RUBBER PLC. This name change could not have come at a more appropriate time for it symbolizes the transition of the Company into a new era.

It would be recalled that Dunlop Nigeria Plc, which was incorporated in 1961 and commenced the manufacture of tyres here in Nigeria in 1963, recently succumbed to the pressures of the persistent infrastructural decay in the Country coupled with the low importation tariff structure of government. In so doing it confirmed the action of Michellin, who two years ago also ceased manufacturing of tyres due to the unfavourable operating environment in the Country. The cessation of tyre manufacturing by Dunlop Nigeria Plc, brings to an end tyre manufacturing in the whole of the West African sub-region.