S&P: Goodyear unchanged

Standard & Poor's said its rating and outlook on Goodyear Tire & Rubber Co. (B+/stable/B-2) will not be immediately affected by the announcement that the United Steel Workers has given the company the required 72-hour notice to terminate the extension of its labor contract.

The agency said that the termination of the extension could be a prelude to a strike. On the other hand, it may signal that a resolution to ongoing contract negotiations may be forthcoming in the near term.

While a strike would be costly to Goodyear, the firm has sufficient liquidity and financial flexibility to withstand a short-term labor disruption, the agency added.

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