Visions - Winter/Spring 2018 - 13

Michelin North America Inc.
Earlier this year, SCOA and Michelin North America Inc. agreed
to combine their respective North American replacement tire distribution and related service operations in a 50- 50 joint venture,
forming the second-largest player in the wholesale tire market in
the United States. The combined wholesale unit operates under a
new brand, NTW, and is one of the operating companies of TBC
Corporation.
NTW better provides availability of tire products at all price
points across North America, achieving greater scale in
wholesale delivery for customers. The JV also will enable the
two companies to improve service quality, capacity and speed
for customers. The partnership brought together MNAI's TCi,
the fourth largest wholesale tire and service network in the
United States, with more than 85 locations across the U.S., with
SCOA's TBC, one of the nation's largest vertically-integrated
marketers of tires for the automotive replacement market, with

59 wholesale distribution centers and more than 2,400 North
American retail locations.
"This joint venture supports our mobility strategy in this
new, dynamic era in the automotive landscape," said SCOA
Automotive Group GM Shane Wakasugi. "In addition to the
competitive edge this joint venture provides in the distribution
arena, we believe Michelin's successful experiences in mobility
services will add value to TBC. SCOA will continue to pursue
investments which support our goal of integrated mobility solutions, such as this."

Midas
The Michelin deal follows TBC's 2012 acquisition of Midas,
one of the world's largest providers of auto repair and maintenance services, with nearly 2,100 franchised service store
locations in 14 countries, including 1,280 in the U.S., Canada,
and Mexico. In the United States, there is an increasing need
for auto repair and maintenance due to industry factors such
as growing vehicle age. With the acquisition of Midas, SCOA
acquired an additional 1,500 outlets in North America providing auto repair and maintenance service under a widely recognized and well-established brand name. The Midas acquisition
further strengthened the growing auto repair maintenance
business of TBC by expanding the number of store outlets in
North America.
In late 2013, TBC re-launched the Midas brand and reinvented
its business to solidify its position as a leader in the auto repair
business, including brakes, oil, tires, maintenance, steering,
and exhaust systems. Redefining and rebranding Midas so
that it generates and communicates the idea of "Midas Total
Car Care" was in response to a growing population of
consumers who want a comprehensive suite of services.

Sumitomo Corporation of Americas

Table of Contents for the Digital Edition of Visions - Winter/Spring 2018