Cooper Tire earnings drop 92 percent in 1Q

FINDLAY, Ohio (AP) -- Cooper Tire & Rubber Co. said Wednesday that its first-quarter earnings fell 92 percent because of the cost of raw materials, increased charges for product liability claims and lower shipments. The shares fell 5 percent.

Cooper said it made $1.7 million, or 3 cents a share, for the quarter ended March 31 compared with $21 million, or 33 cents a share, during the same period a year ago when it was helped by a strike at competitor Goodyear Tire & Rubber Co. in the final quarter of 2006.

Analysts surveyed by Thomson Financial were expecting earnings of 10 cents a share. Wall Street lowered its outlook after Cooper said last month that its earnings would be well below estimates.

Sales for the quarter rose 1 percent to $679 million, from $670 million last year. Cooper says the increase was driven by its international segment, where sales rose 23 percent.

Cooper shares fell 69 cents to $13.02 in trading Wednesday morning and were down to as much as $12.77, a new 52-week low. The shares have been as high as $28.50 in the past year.

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