The Goodyear Tire & Rubber Company was founded in 1898 by Frank Seiberling. Goodyear manufactures tires for automobiles, commercial trucks, light trucks, SUVs, race cars, airplanes, and heavy earth-mover machinery.
Although the company was not connected with him, it was named in honor of Charles Goodyear. Goodyear invented vulcanized rubber in 1839. The first Goodyear Tires became popular because they were easily detachable and low maintenance.
Goodyear is very famous throughout the world because of the Goodyear blimp. The first Goodyear blimp flew in 1925. Today it is one of the most recognizable advertising icons in America. The company is the most successful tire supplier in Formula One history, with more starts, wins, and constructors' championships than any other tire supplier. They pulled out of the sport after the 1998 season.
Goodyear is a former component of the Dow Jones Industrial Average.
RESPONSIBILITIES
The Compensation Committee shall:
1. Review and approve the Company’s goals and objectives
relevant to compensation of the Chief Executive Officer of
the Company, evaluate the performance of the Chief
Executive Officer in light of those goals and objectives,
and have the sole authority to determine the
compensation level of the Chief Executive Officer based
on such evaluation. In determining the incentive
component of the compensation of the Chief Executive
Officer, the Compensation Committee should consider the
Company’s performance and relative shareholder return,
the value of similar incentive awards to Chief Executive
Officers at comparable companies, the awards given to
the Chief Executive Officer in past years, the relationship
between the aggregate compensation to be received by the
Chief Executive Officer and the aggregate compensation
to be received by the Company’s other executive officers
named in the proxy statement (including comparing the
2
relationship to that found at comparable companies), and
such other factors as the Committee deems appropriate;
2. Consult with the Chairman of the Board of the Company
regarding executive and Director compensation policies,
practices and plans;
3. Establish the reasonable compensation for services to the
Company by the officers of the Company other than the
Chief Executive Officer. In determining the incentive
component of the compensation of these officers of the
Company, the Compensation Committee should consider
the recommendations of the Chief Executive Officer, the
Company’s performance and relative shareholder return,
the value of similar incentive awards to comparable
officers at comparable companies, the awards given to the
officer in past years, the relationship between the
aggregate compensation to be received by the officer and
the aggregate compensation to be received by the
Company’s other executive officers, including the Chief
Executive Officer (including comparing the relationship to
that found at comparable companies), and such other
factors as the Committee deems appropriate;
4. Make recommendations to the Board of Directors with
respect to Directors’ compensation;
5. Make recommendations to the Board of Directors with
respect to incentive (including equity-based)
compensation plans and administer such plans, including
determining any awards to be granted under any such
plan implemented by the Company;
6. Review and approve executive compensation disclosures,
including the Compensation Discussion and Analysis, in
the Company’s annual report and proxy statement, and
prepare a Compensation Committee report to be included
in the annual proxy statement;
7. Consider the results of shareholder advisory votes on
executive compensation matters and the changes, if any,
to the Company’s executive compensation policies,
practices and plans that may be warranted as a result of
any such vote;
Looking back, the founding of The Goodyear Tire & Rubber Company in 1898 seems especially remarkable, for the beginning was anything but auspicious. The 38-year-old founder, Frank A. Seiberling, purchased the company’s first plant with a $3,500 down payment -- using money he borrowed from a brother-in-law Lucius C. Miles. The rubber and cotton that were the lifeblood of the industry had to be transported from halfway around the world, to a landlocked town that had only limited rail transportation. Even the man the company’s name memorialized, Charles Goodyear, had died penniless 30 years earlier despite his discovery of vulcanization after a long and courageous search.
Yet the timing couldn't have been better. The bicycle craze of the 1890s was booming. The horseless carriage, some ventured to call it the automobile, was a wide-open challenge. Even the depression of 1893 was beginning to fade. So on August 29, 1898, Goodyear was incorporated with a capital stock of $100,000.
David E. Hill, who purchased $30,000 of stock, became the first president. But it was the dynamic and visionary founder, hard-driving Seiberling, who chose the name and determined the distinctive trademark. The winged-foot trademark, inspired by a newel-post statuette of Mercury in the Seiberling home, has been altered over the years. Yet, it remains an integral part of the Goodyear signature, a symbolic link with the company’s historic past.
Something else about these legendary early years lingers on through Goodyear’s history. Something elusive and intangible, yet very real. Something about the people. People like Seiberling, actually trying to liquidate family-owned property in 1898 when he ended up taking that once-in-a-lifetime chance to buy -- at a bargain -- the seven-acre tract that became Goodyear. People like George M. Stadelman, a man who avoided crowds and never made a speech, yet had a gift of integrity and foresight that guided Goodyear’s sales through a critical 20 years. People like Paul W. Litchfield, whose conviction and leadership helped inspire Goodyear’s development for nearly six decades.
With just 13 employees, Goodyear production began on November 21, 1898, with a product line of bicycle and carriage tires, horseshoe pads and -- fitting the gamble Seiberling was making -- poker chips. The first recorded payroll amounted to $217.86 based on the prevailing wage of 13 to 25 cents an hour for a 10-hour day. After the first full month of business, sales amounted to $8,246. Since the first bicycle tire in 1898, Goodyear pedaled its way toward becoming the world’s largest tire company, a title it earned in 1916 when it adopted the slogan "More people ride on Goodyear tires than on any other kind," becoming the world’s largest rubber company in 1926.
Today, Goodyear measures sales of nearly $20 billion, although it took 53 years before the company reached the first billion-dollar-year milestone. And it all began in a converted strawboard factory on the banks of the Little Cuyahoga River in East Akron, Ohio. Spanning the years, through all of those yesterdays, a legion of firsts and facts and figures appears that reflect the making of a company.
Although the company was not connected with him, it was named in honor of Charles Goodyear. Goodyear invented vulcanized rubber in 1839. The first Goodyear Tires became popular because they were easily detachable and low maintenance.
Goodyear is very famous throughout the world because of the Goodyear blimp. The first Goodyear blimp flew in 1925. Today it is one of the most recognizable advertising icons in America. The company is the most successful tire supplier in Formula One history, with more starts, wins, and constructors' championships than any other tire supplier. They pulled out of the sport after the 1998 season.
Goodyear is a former component of the Dow Jones Industrial Average.
RESPONSIBILITIES
The Compensation Committee shall:
1. Review and approve the Company’s goals and objectives
relevant to compensation of the Chief Executive Officer of
the Company, evaluate the performance of the Chief
Executive Officer in light of those goals and objectives,
and have the sole authority to determine the
compensation level of the Chief Executive Officer based
on such evaluation. In determining the incentive
component of the compensation of the Chief Executive
Officer, the Compensation Committee should consider the
Company’s performance and relative shareholder return,
the value of similar incentive awards to Chief Executive
Officers at comparable companies, the awards given to
the Chief Executive Officer in past years, the relationship
between the aggregate compensation to be received by the
Chief Executive Officer and the aggregate compensation
to be received by the Company’s other executive officers
named in the proxy statement (including comparing the
2
relationship to that found at comparable companies), and
such other factors as the Committee deems appropriate;
2. Consult with the Chairman of the Board of the Company
regarding executive and Director compensation policies,
practices and plans;
3. Establish the reasonable compensation for services to the
Company by the officers of the Company other than the
Chief Executive Officer. In determining the incentive
component of the compensation of these officers of the
Company, the Compensation Committee should consider
the recommendations of the Chief Executive Officer, the
Company’s performance and relative shareholder return,
the value of similar incentive awards to comparable
officers at comparable companies, the awards given to the
officer in past years, the relationship between the
aggregate compensation to be received by the officer and
the aggregate compensation to be received by the
Company’s other executive officers, including the Chief
Executive Officer (including comparing the relationship to
that found at comparable companies), and such other
factors as the Committee deems appropriate;
4. Make recommendations to the Board of Directors with
respect to Directors’ compensation;
5. Make recommendations to the Board of Directors with
respect to incentive (including equity-based)
compensation plans and administer such plans, including
determining any awards to be granted under any such
plan implemented by the Company;
6. Review and approve executive compensation disclosures,
including the Compensation Discussion and Analysis, in
the Company’s annual report and proxy statement, and
prepare a Compensation Committee report to be included
in the annual proxy statement;
7. Consider the results of shareholder advisory votes on
executive compensation matters and the changes, if any,
to the Company’s executive compensation policies,
practices and plans that may be warranted as a result of
any such vote;
Looking back, the founding of The Goodyear Tire & Rubber Company in 1898 seems especially remarkable, for the beginning was anything but auspicious. The 38-year-old founder, Frank A. Seiberling, purchased the company’s first plant with a $3,500 down payment -- using money he borrowed from a brother-in-law Lucius C. Miles. The rubber and cotton that were the lifeblood of the industry had to be transported from halfway around the world, to a landlocked town that had only limited rail transportation. Even the man the company’s name memorialized, Charles Goodyear, had died penniless 30 years earlier despite his discovery of vulcanization after a long and courageous search.
Yet the timing couldn't have been better. The bicycle craze of the 1890s was booming. The horseless carriage, some ventured to call it the automobile, was a wide-open challenge. Even the depression of 1893 was beginning to fade. So on August 29, 1898, Goodyear was incorporated with a capital stock of $100,000.
David E. Hill, who purchased $30,000 of stock, became the first president. But it was the dynamic and visionary founder, hard-driving Seiberling, who chose the name and determined the distinctive trademark. The winged-foot trademark, inspired by a newel-post statuette of Mercury in the Seiberling home, has been altered over the years. Yet, it remains an integral part of the Goodyear signature, a symbolic link with the company’s historic past.
Something else about these legendary early years lingers on through Goodyear’s history. Something elusive and intangible, yet very real. Something about the people. People like Seiberling, actually trying to liquidate family-owned property in 1898 when he ended up taking that once-in-a-lifetime chance to buy -- at a bargain -- the seven-acre tract that became Goodyear. People like George M. Stadelman, a man who avoided crowds and never made a speech, yet had a gift of integrity and foresight that guided Goodyear’s sales through a critical 20 years. People like Paul W. Litchfield, whose conviction and leadership helped inspire Goodyear’s development for nearly six decades.
With just 13 employees, Goodyear production began on November 21, 1898, with a product line of bicycle and carriage tires, horseshoe pads and -- fitting the gamble Seiberling was making -- poker chips. The first recorded payroll amounted to $217.86 based on the prevailing wage of 13 to 25 cents an hour for a 10-hour day. After the first full month of business, sales amounted to $8,246. Since the first bicycle tire in 1898, Goodyear pedaled its way toward becoming the world’s largest tire company, a title it earned in 1916 when it adopted the slogan "More people ride on Goodyear tires than on any other kind," becoming the world’s largest rubber company in 1926.
Today, Goodyear measures sales of nearly $20 billion, although it took 53 years before the company reached the first billion-dollar-year milestone. And it all began in a converted strawboard factory on the banks of the Little Cuyahoga River in East Akron, Ohio. Spanning the years, through all of those yesterdays, a legion of firsts and facts and figures appears that reflect the making of a company.
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