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US: Tire firm, union may settle merger spat ahead of trial

 |  November 3, 2013

Cooper Tire & Rubber Co. is facing a lawsuit from the United Steelworkers union over its buyout of India-based Apollo Tyres Ltd, but reports say the dispute could be close to a resolution.

Apollo slammed the tentative agreement as a “last-minute stunt” for Cooper to gain the upper hand in court as the two tire companies head to trial this week. Cooper sued the India-based firm last month in an effort to force a closure to the merger deal, claiming Apollo deliberately delayed the deal’s finalization to have the option of potentially backing-out last minute.

An arbitrator ruled that Apollo would have to decide on a collective bargaining agreement with the union before the acquisition’s closure. The agreement Cooper reached with the union remains subject to review by Apollo as well as ratification by the union itself, according to Cooper.

Full content: Reuters

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