Goodyear calling for redemption of outstanding convertible senior notes

The Goodyear Tire & Rubber Company has called for redemption on June 20, 2008, all of its outstanding 4 percent convertible senior notes due June 15, 2034.

The contractual redemption price is 101.714 percent of the principal amount of the convertible notes to be redeemed, plus accrued and unpaid interest to, but excluding, the redemption date.

During the fourth quarter of 2007, Goodyear completed an offer to exchange the convertible notes for a cash payment and shares of common stock. Approximately 99 percent of the convertible notes, which were issued in July 2004, were exchanged. As a result, $3.96 million in aggregate principal amount of convertible notes remain outstanding.

The notes will be convertible through the close of business on June 18, 2008, the second business day prior to the redemption date. The company will deliver shares of its common stock upon conversion of any notes surrendered on or prior to June 18. Cash will be paid in lieu of fractional shares only. The notes are convertible at a rate of 83.0703 shares of common stock per $1,000 principal amount of notes, which is equal to a conversion price of $12.04 per share. If all remaining outstanding notes are converted, the aggregate number of shares of common stock issued would be approximately 329,000.

Any notes that are not surrendered for conversion on or prior to June 18 will be redeemed on June 20 pursuant to the call for redemption.

For more information, visit www.goodyear.com/corporate.