FIRESTONE <FIR> TO CLOSE THREE TIRE PLANTS
Firestone Tire and Rubber Co has
notified the United Rubber Workers the company will close its
Des Moines, Iowa, Bloomington, Ill., and Oklahoma City tire
plants on or before September 15.
    A Firestone spokesman said the cost of the closings will be
covered by the 65 mln dlrs restructuring charge the company
took in the fourth quarter of 1986.
    The company said it was notified by the union March one
that the agreement reached with Local 998 at the Oklahoma City
tire plant had been rejected by union members at the other
plants. 
    Firestone said it has been discussing the possible sale of
its Des Moines and Bloomington plants with prospective buyers
for several months.
    Those discussions are continuing, the company said, adding
it could not predict their outcome. Firestone is willing to
work with any organization wishing to consider the purchase of
the three tire plants, it added.
    Last October, Firestone advised the union the tire plants
in Des Moines, Bloomington and Oklahoma City were being
designated as "distressed" under the terms of its master
agreement with the rubber workers.
    Firestone said it has twice reached agreement with the
leadership and members of the local in Oklahoma City on plans
to reduce operating costs through revisions in wages, benefits
and work rules.
    Union procedures, however, require approval by the
Firestone section of the union's International Policy
Committee, membrs of other locals covered by the master
contract and by the rubber workers' executive board.
    The company said the rejection of the Oklahoma City package
by union locals at Des Moines and other locations and the
limited sales and profit opportunities for agricultural and
off-the-road tires in North America led Firestone to conclude
the parties would be unable to reach agreements that would
permit the continued operation of the Des Moines and
Bloomington plants.
 Reuter
