Agreement would protect jobs at tire plant

Sunday, July 25th 2004, 10:27 am
By: News On 6

OKLAHOMA CITY (AP) _ An agreement between a power generation company and a tire maker could protect nearly 18-hundred jobs in Oklahoma City.

PowerSmith Cogeneration and Bridgestone/Firestone have agreed to renew a contract for PowerSmith to supply steam to Oklahoma City's Dayton Tire plant.

The two companies have been negotiating for several months. The current 15-year sales agreement is scheduled to expire next month.

While the agreement isn't a formal contract, both sides say a final agreement is expected in weeks to come.

Officials have said the tire plant's energy costs could increase five (m) million to seven (m) million dollars a year without the contract. That could make the plant uncompetitive and jeopardize its future in Oklahoma.