Connect with us

Financial

ATD Begins Laying Off Employees, Downsizing

This move is on the heels of a July 9 report from Moody’s Investment Services calling for “urgency to right-size capital structure,” following a loss of revenue after both Goodyear and Bridgestone pulled their passenger and light truck products from the nation’s largest tire distributor.

Advertisement

From Tire Review

Advertisement
Click Here to Read More
Advertisement

In a conference call to employees early Wednesday, American Tire Distributors (ATD) leadership announced its plans to downsize a number of employees across the organization, sources close to ATD tell AMN sister publication Tire Review.

According to ATD in a follow-up phone conversation, this is part of a long-term strategy. The company says the objective is to align the internal capabilities with its strategies to make the changes necessary to support long-term growth and customer service. A company spokesperson says that changes today were limited to the field support center.

ATD President and CEO Stuart Schuette sent the following letter to employees:

“Today has been a tough day for ATD. The decision to reorganize our Field Support Center was not made lightly but it was critical for us to align our capabilities with our strategy.

“I am grateful for the work of the associates who have been affected by this organizational restructuring. They have been a part of our journey and the fabric of our company. Their contributions to our company are valued and we honor their service.

Advertisement

“More than 18 months ago, we began our transformation to become the most connected and insightful automotive solutions provider, and every decision that we have made – and will make – is grounded in realizing this vision. The digital tools and advanced technologies that we’ve introduced are key differentiators for ATD and are being recognized by both aligned customers and manufacturers.

“We also know that the industry is going through its largest change in decades as we’ve seen in recent industry announcements. Additionally, we know that to grow, thrive and lead the industry we must continue to meet the evolving needs of our customers with differentiated capabilities. We can see that our customers value these efforts as our NPS customer satisfaction scores are high across all metrics of service. And they are voting for us – and with us – by making brand allegiance changes to stay with their ATD partnership.

“Today, you should remember that ATD has been an enduring brand for more than 80 years because we aren’t afraid of change.

“We make the change. We are the innovators, the disrupters and the leaders. We have a plan that we are working through with our sponsors, and over the course of the next few months, through all of our efforts we will pave the road ahead of us. We look forward to sharing this with you as it becomes finalized. We will remain the industry leader in every respect.

Advertisement

“We own our destiny. We will move forward. And, we will stand with each other, shoulder to shoulder, as we create the ATD that will lead the industry into the future.”

This move is on the heels of a July 9 report from Moody’s Investment Services calling for “urgency to right-size capital structure,” following a loss of revenue after both Goodyear and Bridgestone pulled their passenger and light truck products from the nation’s largest tire distributor.

Information on the number of employees who will be affected by the move was not available as of press time.

Advertisement

POPULAR POSTS

Events

Editor’s Note: AMN On Holiday

Association

President George W. Bush To Keynote AAPEX Breakfast

Association

SEMA Battle Of The Builders Young Guns Competition Returns To Street Machine Nationals At Du Quoin & St. Paul

Events

Editor’s Note: AMN On Holiday

Connect