2008.03.06

Hanover, March 2008.As a global enterprise, Continental AG designs and manufactures tyres for the requirements of consumers in various different regional markets. The employment of tyres in areas for which they were neither developed nor produced can lead to complications.

Customer requirements and applications as regards tyres vary greatly across the world. These differences can be extremely pronounced from one region to the next. While the Continental HDR1 is designed for regional traffic and the drive axle, for example, it was intended exclusively for use in South America and for certain parts of Asia. Those seeking a comparable tyre for use in Europe, however, have the Continental HDR+ at their disposal. The two types of tyre differ not only in designation but also in tread design and composition.

Although the supply of goods can be controlled via sales and distribution systems, Continental is unable to prevent tires from other regional markets from reaching Europe via resellers – despite being neither intended nor suitable for this market in terms of their composition. This can at some point lead to complaints

Björn Bolze, Head of Corporate Customer Service Tyres, explains: ”We have no choice but to reject complaints about gray-import tires from Brazil that are based on e.g. mileage or wet-grip while in use in Europe.” Mr. Bolze continues: ”There can be no talk of a defect for the simple reason that these tyres are not being used in accordance with the contract agreed between Continental and its customer.” For the same reason, such cases cannot be subject to further extra-contractual claims. Furthermore, any complaints in connection with liability for material damage would have to taken up with the relevant contractual partner. German liability law states that such claims are based on the purchase agreement and are as such to be fulfilled by the seller and not the manufacturer.

There is also an additional legal issue that can crop up in connection with gray-market imports to Europe; tyres used in the European Union must be of an officially approved type. Each tyre has to carry the corresponding marking, known as an ”E” number. Tyres lacking the mandatory certification may generally not be offered, sold, purchased or used. Violating this stipulation in Germany, for example, is considered breaking the law. Dealers and car buyers risk a fine; there is also the possibility of driving license penalties, while insurance coverage may be rendered void in the case of vehicles fitted with gray-import tyres.

Continental Truck Tyres, Europe

With targeted annual sales of more than €26.4 billion for 2008, the Continental Corporation is one of the top automotive suppliers worldwide. As a supplier of brake systems, systems and components for the powertrain and chassis, instrumentation, infotainment solutions, vehicle electronics, tyres and technical elastomers, the corporation contributes towards enhanced driving safety and protection of the global climate. Continental is also a competent partner in networked automobile communication. Today, the corporation employs approximately 150,000 people at nearly 200 locations in 36 countries.

The tyres division is an official sponsor of the UEFA EURO 2008TM. Further information is available from www.ContiSoccerWorld.de, www.contifanworld.com and www.conti-online.com.