Thursday, February 14, 2008

Goodyear Cakewalk

Goodyear (GT) reported year end numbers. The press release reads like a sports report for a home run derby. Everything is good if not significantly better. Admittedly the company does recognize that much of the financial improvement is because last year Goodyear had a long strike and lost approximately $318 million in sales.

The problem with the press release and probably the way management chooses to communicate with the financial markets is that they do not describe market conditions or provide any information on market share or competing products.

Therefore when you read the press release you have to wonder if management is really kicking it or has the elastic band just snapped back and they got a gimme?