Goodyear Trims Loss in Quarter

Goodyear Tire & Rubber Co., which last month completed an inquiry into improper accounting, said Wednesday that it narrowed its fourth-quarter loss and restated total losses for the last three years to $2.28 billion.

The fourth-quarter loss narrowed to $434.4 million, or $2.49 a share, from $1.22 billion, or $6.96, a year earlier. Revenue climbed 12% to $3.91 billion.

North America’s biggest tire maker is trying to halt losses by cutting as much as $1.5 billion in costs by 2005 and raising sales with new tires.

The Akron, Ohio, company had postponed releasing its quarterly results while it investigated improper accounting in Europe and other regions outside the U.S.

The company’s shares rose 40 cents, or 4.9%, to $8.56 on the New York Stock Exchange. They have gained 8.9% this year.

Goodyear said it restated results before the fourth quarter because of costs it uncovered.

The findings added $196.6 million to Goodyear’s combined losses from 2001 through 2003 and reduced earnings before 2001 by $52.9 million, the company said. That included $65 million in costs disclosed in April.

The costs included $10.7 million in expenses that were improperly recorded, leading to the departure of several executives in Europe.