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Goodyear Increases Ownership In Philippines Inc.

8 July 1998

Goodyear Increases Ownership In Philippines

    AKRON, Ohio, July 8 -- The Goodyear Tire & Rubber Company
announced today that it is increasing its ownership from 69 to 89 percent in
Goodyear Philippines, Inc.
    The Philippine National Oil Company owns the remaining shares in Goodyear
Philippines, Inc.
    The Philippines Securities & Exchange Commission has approved a capital
infusion of $50 million by Goodyear, which represents the equivalent of an
outstanding loan made in conjunction with the acquisition of a plant in
Marikina in 1996 from the Sime Darby Company.
    "Economic conditions in the Asia region made it a particularly beneficial
time to commit capital and reconfirm our commitment to the Philippines," said
Joseph M. Gingo, vice president, Asia Region.  "Goodyear is the leading
producer of tires in the island nation, and the increased ownership will give
us the flexibility to meet short and long-term objectives for the region."
    Goodyear is the Philippines' largest manufacturer of tires in the country,
and employs more than 800 associates in plants in Las Pinas and Marikina.
    "Our operations in the Philippines provide an outstanding opportunity in
this competitive, market driven economy," said Samir G. Gibara, Goodyear
chairman, chief executive officer and president.
    In announcing the increase in ownership, Gibara stated that Goodyear's
long-range strategy for earnings growth includes increasing the company's
interest in global subsidiaries and joint ventures through the utilization of
proceeds derived from the redeployment of assets.
    The Goodyear Tire & Rubber Company, headquartered in Akron, Ohio, U.S.A.,
employs more than 95,000 throughout the world.  Its 1997 sales exceeded
$13 billion.