Goodyear and Sumitomo Rubber Sign Final Agreements
on Global Alliance

13 June 1999

    TOKYO -- The Goodyear Tire & Rubber Company and Sumitomo Rubber Industries, 
Ltd. (SRI) signed final agreements here today for a far-reaching global alliance 
between the two companies.

    The agreements were signed by Goodyear Chairman and Chief Executive
Officer Samir G. Gibara and SRI Chairman Naoto Saito.  It follows a Memorandum
of Understanding reached in February, the completion of due diligence by both
companies and approval by each company's Board of Directors.

    Goodyear and SRI, which has rights to the Dunlop tire brand in major world
markets, are forming four joint venture operating companies -- one in North
America, one in Europe and two in Japan, and two global, service-focused
support ventures based in the United States -- one for purchasing and one for
sharing tire technology.  Goodyear will hold a majority operating interest in
the North America, Europe and the global ventures, while SRI will have a
majority operating interest in Japan.  The joint ventures are expected to be
operational in September 1999.

    "This alliance supports both companies' strategic objectives for growth
and cost leadership," said Gibara.  "Both will be able to compete more
effectively, improve their performance through enhanced brand offerings, and
generate benefits for customers, shareholders, associates and suppliers."
    "With SRI's strength in Japan and Europe, and Goodyear's reputation in
North America and Europe, the alliance will be a formidable player in the
world tire industry," said Saito.

    As a result of this alliance, Goodyear's consolidated annual sales are
expected to increase by $2.5 billion or 20 percent.

    In addition, synergies will result in cost improvements and efficiencies
that add an estimated $300 million to $360 million to the operating profit of
the joint ventures during the next three years.

    "This returns Goodyear to its global leadership position in the tire
industry, strengthens the company's leadership in North America, makes it a
clear number two in Europe, and provides a needed foothold in the important
Japanese automotive market," Gibara said.

    The difference between the value of the businesses in Europe and North
America being consolidated and the agreed upon shareholding ratios will be
settled through a balancing cash payment of $936 million to be paid by
Goodyear to SRI at the date the joint ventures go into effect.

    Separately, Goodyear will acquire a 10 percent interest in SRI and SRI
will acquire an equivalent dollar value of Goodyear shares.  Goodyear will be
SRI's second-largest shareholder and, effective in March 2001, will have a
seat on its board of directors.

    After the Memorandum of Understanding was signed in February, the parties
made a filing with the United States Federal Trade Commission and Department
of Justice, Antitrust Division, under the Hart-Scott-Rodino Pre-merger
Notification Act.  The 30-day waiting period under that Act expired with no
action taken by either the FTC or Department of Justice.  Goodyear and SRI
will be filing additional notifications under European Union regulations and
in other required jurisdictions over the next few days.