AKRON, Ohio -- Goodyear Tire & Rubber Co. has reported fourth quarter and full-year 2010 results with quarterly segment operating income of $224 million driving full-year segment operating income of more than $900 million.

"I'm very pleased with Goodyear's performance in the fourth quarter and the full year of 2010. Our operating results reflect significant recovery, with improvement across all of our businesses versus last year despite escalating raw material costs," said Richard Kramer, chairman and CEO.

"The percentage of new products in our overall lineup is the highest ever and is driving record revenue per tire increases and continued success in targeted markets," he added. "Our selective approach to the business continues to present strong profit growth opportunities. Goodyear's leading brands and technology offer customers in targeted segments with an outstanding value proposition.

"We also remain firmly committed to improving our competitiveness and, as a result, have announced plans to close our Union City, Tenn. plant," Kramer said.

Goodyear's fourth quarter 2010 sales were $5.1 billion, up 14 percent from the 2009 quarter. Goodyear's annual sales for 2010 were $18.8 billion, up 16 percent from $16.3 billion in the 2009 period.

Goodyear yesterday announced plans to close its Union City, Tenn., tire manufacturing facility by the end of 2011 as part of its strategy to reduce high-cost manufacturing capacity.

This closure, when complete, will eliminate approximately 12 million units of available capacity and is the final action in plans announced in 2009 to eliminate 15 million to 25 million units of high-cost capacity globally. This action is expected to provide annual cost savings of approximately $80 million, the tiremaker said. The Union City plant currently employs approximately 1,900 associates.

"While we are committed to manufacturing in North America, all of our plants must be cost-competitive and be able to demonstrate sustainable world-class productivity. That is not the case with this plant, and as a result, the market has moved beyond what the factory is able to build," said Kramer.

For 2011, Goodyear said it expects the global tire industry to continue to grow, with volume expansion across all regions and major segments.

"We carry significant momentum into 2011 and expect industry growth in our targeted segments will drive a 3 percent to 5 percent increase in Goodyear's unit volume," said Kramer. "Additionally, we will maintain our focus on price/mix and expect continued benefits related to cost performance and unabsorbed fixed cost recovery."