Cooper Tire warns that 1st-quarter results will fall short

The company did not provide specifics but noted that its results are being pressured by the falling dollar, lower North American unit shipments and increased charges for product liability claims related primarily to revised estimates on existing claims.

Cooper Tire said consumers in North America are driving less and delaying tire purchases. Oil prices rose sharply Friday on reports that a U.S. ship fired warning shots at two boats in the Persian Gulf; the average cost of retail gas nationwide is nearing $3.60 per gallon, a record.

The news comes as larger rival Goodyear Tire & Rubber Co. reported earlier in the day it swung to a first-quarter profit on higher-priced tires and strength in international markets.

Cooper Tire, which noted it still has the financial wherewithal to pursue its long-term goals, will report results next month.

In afternoon trading, Cooper Tire shares plunged $1.66, or 11 percent, to $13.37.