Michelin's Rollier To Fly Michelin Solo

MORTEFONTAINE, France, June 10, 2006; Reuters reported today that Michel Rollier, now the sole boss in charge of French tyre group Michelin after the accidental death of co-managing partner Edouard Michelin last month, said there were no current plans to name a second managing partner.

"This is my first press conference as the only managing partner of Michelin. There are no current plans for a second managing partner...The executive board will remain as it is," said Rollier.

Rollier was speaking as the world's largest tyre maker held an event to discuss possible alternative energy supplies for the transport sector.

Michelin, 42, died in a boating accident off the coast of Brittany in northwest France.

Before his death, Rollier and Michelin had been joint heads of the company, holding the positions of managing partners.

Michelin's death caused some analysts to say that Michelin might consider changing its legal structure. Michelin is a limited partnership, where the co-managing partners are liable for the legal risks and get a percentage of the earnings.

Rollier reiterated on Saturday it would be difficult for Michelin to achieve its goal of repeating last year's core operating margin of 8.8 percent, due to higher rubber and steel prices.

"That 8.8 percent goal is becoming increasingly difficult to achieve but there is no reason today why we should change that target," he said.