1.1MB - Pirelli

The new asymmetric Snow Sport tyre has been
developed for winter use.
A futuristic prototype of an ultra-high
performance car, shod with Pirelli PZero
in the extreme diameter of 19 inches.
basic research and advanced development. In this sense, cooperation programs have been
developed with universities and research institutes.
In Brazil, 1998 saw the launch of the P3000 Energy, the top product in the standard
segment of the new generation of car tyres with low rolling resistance, achieving a high
level of appreciation from the market. With the increasing success of new type-testing and
thanks to its continuous technological development, the P3000 has become an important
benchmark for leading car manufacturers.
In the premium market segment, the range of sizes of the products launched in 1997 (the
P5000 Drago and the P6000 Sport Veloce) was extended, consolidating a competitive
position in the replacement market. The new technological version of the P6000, now with
improved comfort, lower noise levels and low rolling resistance, has strengthened its
competitiveness in the original equipment segment.
The PZero, in its category, is consolidating its image as a benchmark tyre thanks to
constant and innovative technological development, which, together with the P7000, has
made it possible to recently launch a new series of “super” tyres in the 19” and 20”
diameters destined for the sophisticated cars of the “tuners”’ as well as the “concept cars”
of the car manufacturers.
In the Winter segment, the new asymmetrical SnowSport was developed during the year,
scheduled for presentation on the market in the first months of 1999.
At December 31, 1998, the work force numbered 20,697, a reduction of 664 units
compared to the prior year. The work force includes 332 persons under temporary
employment contracts.
Measures aimed at improving the efficiency of the structure led to a significant reduction
in staff and management (-4 percent). Within the framework of the joint venture with
Trelleborg, relating to the sale of activities associated with the production and sale of tyres
for agriculture equipment, there was also a further reduction of 478 units, effective
January 1, 1999.
In parallel to this, numerous university graduates were hired, mainly in the industrial,
R&D, commercial and marketing areas.
Actions have continued to renew management, especially by promoting young staff and
hiring from outside.
The breakdown of the work force at December 31, 1998 is as follows:
1998 1997
Management 1.2% 1.2%
Staff 26.1% 26.3%
Operatives 72.7% 72.5%
The prices of raw materials remained about 10 percent below the average of 1997, in a
similar way in the various geographic areas. By type of product, the fall was mainly
concentrated on natural rubber (-33 percent), with other materials showing a reduction of
5 percent on average, while, in contrast, the prices of reinforcing textile materials rose by
1 percent, owing to a scarcity of rayon.
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