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					+PIRELLI FOR
PORSCHE 4
+WORLD CHALLENGE
FINALS 9
+NAFTA LOGISTICS 5
+2012 CALENDAR
PREVIEW 5




                                          ***
                                   All Of The
                                    p.3            Lights!
                                    hembery previews singapore gp




               September 2011 Pirelli Newsletter
    home sweet home PIRELLI F1 COMES HOME TO MONZA
    The Tifosi at Pirelli’s home race – Monza    mechanical problem just after half-distance.   by Lewis Hamilton to set the fastest lap of
- were treated to a spectacular competition         While Vettel enjoyed a comfortable          the race: 1m26.187s.
that resulted in another victory for Red         victory, there were some incredible fights        Hamilton then chased down Alonso in
Bull Racing’s Sebastian Vettel, bringing the     for position behind him. Mercedes driver       the closing stages of the race, moving to
young German even closer to his second           Michael Schumacher and McLaren’s Lewis         within a second of the Spaniard on the final
consecutive drivers’ title. The German led his   Hamilton had a breath-taking battle for third  lap. Alonso resisted to score Ferrari’s 650th
500th lap this season on Pirelli tires during    that lasted for the entire first half of the race
                                                                                                podium in Formula One on home territory,
the Italian race, the fastest on the calendar.   on the P Zero Yellow soft tires.               and brought the total of his career driver
    Vettel stopped twice en route to a              In the second half of the race, Jenson      points to beyond 1000.
commanding win, starting                                                                                          It was also a successful
on the P Zero Yellow soft                                                                                     home race for the Toro Rosso
tires that he used to set pole    Our first home race in the very special                                     team, which brought both
position during qualifying
the day before. 20 laps in      surroundings of Monza was everything                                          their cars home in the points
                                                                                                              thanks to seventh place for
brought the first stop of his
pit strategy and new softs
                                 that we hoped it would be, and the fact                                      Jaime Alguersuari (who made
                                                                                                              up 11 places after starting from
before finally changing to        that there are five world champions in                                      18th on the grid) and 10th for
a set of the P Zero White
medium tires with 18 laps
                                the top five just underlines the quality of                                   Sebastian Buemi. Both cars
                                                                                                              started on soft tires, before
to go on lap 35 during a pit                     the action.                         – PAUL HEMBERY
                                                                                                              completing a second stint
stop that lasted for just 2.9                                                                                 on the soft compound and
seconds.                                                                                                      finishing the race on the harder
    The two-stop strategy                                                                                     tire.
was the most popular choice at Monza this        Button fought his way past Ferrari driver         “Our first home race in the very special
year, with only the Sauber of Sergio Perez       Fernando Alonso – who led into the first       surroundings of Monza was everything that
planning a one-stop race – but the Mexican       corner after a great start – on the P Zero     we hoped it would be, and the fact that there
was denied a likely points finish by a           White tires. These harder tires were also used are five world champions in the top five just
                                                                                                                                        > p.3
2     Pirelli Newsletter     September 2011
       Fun Facts
       Formula 1
 Pirelli &          1
                         In 2008 Singapore had
                         the honor of hosting the     2
                                                            Using public roads around
                                                            the Marina Bay area, this           3
                                                                                                     Grandstand seating and hospi-
                                                                                                     tality areas lining the track can
                         first night-time event in          circuit utilises powerful light-         accommodate more than 80,000
                   Formula One history. The city’s   ing systems to replicate daylight con-    spectators, while a permanent pit area
                   famous skyline provided a truly   ditions. Stringent safety protocols       with deluxe paddock facilities is located
                   spectacular backdrop.             ensure driver and spectator safety.       adjacent to the Singapore Flyer complex.    FORMULA 1




                                SINGAPORE F1 PREVIEW
                               hEmbERy GIVES thE GOOdS ON thE NOtORIOuSly chAllENGING cIRcuIt
                                                                                                                         Pirelli’s motorsport director
                                                                                                                      Paul Hembery on Singapore, its
                                                                                                                      challenges and why free practice
                                                                                                                      will be crucial:
                                                                                                                          “Our tires have to work
                                                                                                                       effectively within a wide range
                                                                                                                       of parameters (at Singapore) -
                                                                                                                       one of the biggest challenges
                                                                                                                       for us over the course of the
                                                                                                                    year. A lot is made of the heat in
                                                                                                                    Singapore, but what people tend
                                                                                                                    to feel is the humidity. Our tires
                                                                                                                    should be comfortably within
                                                                                                                     their working range when it
                                                                                                                      comes to ambient and track
                                                                                                                      temperature. Many of the drivers
                                                                                                                      say that this street circuit is
                                                                                                                       more demanding than Monaco.
                                                                                                                       The free practice sessions in
                                                                                                                       Singapore will be crucial, as the
                                                                                                                       teams assess the effect of each
                                                                                                                        of our tires on their set-ups
                                                                                                                        and overall speed.”


                                                                                                                           > HOME | cont'd from p.2
                                                                                                                          underlines the quality of the
                                                                                                                          action,” Pirelli’s motorsport
                                                                                                                          director Paul Hembery said.
                                                                                                                          “We experienced a very hot
                                                                                                                          Monza weekend but despite
                                                                                                                          these high temperatures and
                                                                                                                          the sheer energy that the track
                                                                                                                          puts through the carcasses,
                                                                                                                          both the soft and the medium
                                                                                                                          tires stood up extremely well
                                                                                                                          to this massive test, with no
                                                                                                                          blistering beyond the usual
                                                                                                                          parameters and very good
                                                                                                                          durability. It meant that none
                                                                                                                          of the drivers had to hold
                                                                                                                          back and we saw some great
                                                                                                                          entertainment all the way
                                                                                                                          down the field from start to
                                                                                                                          finish. We’re now looking
                                                                                                                          forward to our very first night
                                                                                                                          race at Singapore, which the
                                                                                                                          heat here has prepared us
                                                                                                                          well for, where we will see
Red Bull driver Sebastien Vettel takes the checkered flag at Pirelli’s “home” track of Monza in
                                                                                                                          the return of our P Zero Red
Italy.
                                                                                                                          supersoft tires.”

3       Pirelli Newsletter     September 2011
PORSCHE CHOOSES PIRELLI
P ZERO FOR NEW 911                                                                                                      CORPORATE
                                                                                                                          NEWS



                                                                                                           OCTOBER
                                                                                                         calendar of events
                                                                                                           F        S          S
                                                                                                           7        8          9
                                                                                                          14        15         16
                                                                                                          21        22         23
                                                                                                          28        29         30




                                                                                                         10/7    Japanese GP
                                                                                                         10/8    Japanese GP
                                                                                                         10/9    Japanese GP
                                                                                                         10/14   Korean GP
                                                                                                                 PCA
                                                                                                         10/15   Korean GP




P
                                                                                                                 PCA
            orsche has fitted the latest            driving, thus eliminating the risk of oversteer      10/15   Korean GP
            iteration of its iconic 911 model       or degradation of the tire itself. The front tire            PCA
            with Pirelli’s P Zero. Preferring the   compound contains special nano-composites            10/28   Indian GP
            performance of Pirelli’s reference      with longitudinal and side action that provides      10/29   Indian GP
            ultra-high-performance         (UHP)    excellent grip and a marked improvement in           10/30   Indian GP
            tire, two different compounds of        cornering and lateral thrust.
            P Zero were specially developed            The P Zero tread was specially developed
            for Porsche’s 911 Carrera whose
world premiere occurred at the Frankfurt Motor
                                                    by Pirelli engineers with side blocks featuring
                                                    optimized sipe depth, notably reducing noise         NOVEMBER
Show in September in sizes 245/35ZR20 front         emissions in compliance with European Union          calendar of events
and 295/30ZR20 rear.                                regulations.                                         11/1    DUB Las Vegas
   P Zero brings the new Porsche prodigious            Porsche has also chosen Pirelli for the 911               SEMA Convention
grip while enhancing the aerodynamic                Carrera Turbo variant which will be launched         11/2    DUB Las Vegas
characteristics of the new Stuttgart supercar.      in the coming months. The eagerly-awaited                    SEMA Convention
With Porsche, Pirelli confirms its premium          supercar will be fitted with P Zero 245/35ZR20       11/3    DUB Las Vegas
strategy and position as a leading partner to the   front and 305/30ZR20 rear tires.                             SEMA Convention
world’s most prestigious car manufacturers.            Pirelli strives for continuous improvement        11/4    DUB Las Vegas
The P Zero developed for the Carrera                and the P Zero chosen by the German                          SEMA Convention
accentuates the car’s characteristics, ensuring     manufacturer       is    undergoing      continual   11/11   Abu Dhabi GP
comfort, performance and driving enjoyment.         development in regards to both its design and        11/12   Abu Dhabi GP
   The latest tread compounds were specially        the materials utilized. In fact, the P Zero family   11/13   Abu Dhabi GP
designed for the new Porsche 911; the rear          of tires has enabled Pirelli to consolidate its      11/25   Brazilian GP
features Kevlar, a synthetic fiber offering         leadership of the top vehicle ranges, having         11/26   Brazilian GP
excellent heat resistance and elasticity, whose     obtained more than 200 fitment approvals             11/27   Brazilian GP
longitudinal action allows the tire to react to     and chosen by leading car manufacturers to
thermal stress. The rear tires give the Porsche     aid and enhance the extreme performance
maximum lateral grip, excellent stability even      of supercars and offering increasingly higher
at high speed and greater precision when            levels of driving pleasure and safety.


4     Pirelli Newsletter   September 2011
           THE DAYS OF DECREASED SALES SUCH AS THOSE IN 2009 ARE LONG
           GONE. Back then, OEMs were not taking orders, and large stockpiles of tires built up.
           Now, the tire business in North America and emerging markets are showing strength,
which has Pirelli positioned to exceed expectations after weathering the economic crisis. The
new surge in demand has forced some companies to search for additional logistics capacity and                                   CORPORATE
to scramble around to find new logistics providers, says John Godfrey, responsible for Pirelli’s                                  NEWS
logistics and purchasing in the NAFTA region (the US, Canada and Mexico).


    IMPROVED LOGISTICS BRING
         COST SAVINGS
F       ounded in 1872, Pirelli has decided to focus its logistics
        efforts on higher premium tires such as high performance or
        ultra-high performance tires used for SUVs or sports cars,
                                                                        contracts in order to secure lower costs and observe careful bench-
                                                                        marking. In Europe, a Milan-based control tower system also allows
                                                                        Pirelli to monitor every truck within Europe. This should be rolled
which now account for the bulk of its North American business. “The     out in the US in 2012. Pirelli also has three warehouses in Canada.
aim is not to have high logistics costs on transporting low-margin          As global and domestic demand picks up, companies such as
tires, and to focus on more lucrative higher-margin products,” says     Pirelli are boosting their production capacities. Pirelli is expanding
Godfrey.                                                                its production to include a large-scale factory and distribution
    Pirelli, which uses a modular integrated robotized system           operation, located some 400 kilometers from Mexico City by 2012
(MIRS) in the United States, produces ultra-high performance            The new factory - located in the city of Silao - will produce high-
tires in Georgia with which it supplies the North American OEM          performance and ultra-high-performance tires for cars and light
market customers such as Mercedes, BMW, Ford, as well as for            trucks. Pirelli will invest some $210 million in the factory, with some
replacement market customers. The factory was initially opened to       700 direct and 300 indirect jobs being created in the local area.
be close to two major customers, Mercedes in Alabama and BMW in             Pirelli will gradually ramp up production at the facility of 120,000
South Carolina. The plant currently has five lines and a compound       square meters to reach 5 million units by 2015. The company is
mixer in operation, he says.                                            currently holding a tender with local and international 3PLs to
    Godfrey says that Pirelli also undertakes direct orders from        provide warehousing and logistics services. The plant is expected to
customers. For instance, customers make an order straight to            be completed by the end of this year and up and running in the first
an overseas factory and, therefore, cut out some unnecessary            quarter of 2012.
warehousing and distributing costs  “As Pirelli makes savings, it can       The plant in Mexico is part of the company’s moves to be “local
give discounts to the customer,” he says.                               for local” and to be self-sufficient in key regions. The company has
                                                                        also made a recent acquisition in Russia and has operations in China.
                                                                            The Mexico plant will be Pirelli’s eighth tire manufacturing plant

P     irelli also has a mrp system to monitor and optimize raw
      material stock on a real-time basis. The company centrally has
      the muscle and volume to constantly renegotiate raw material
                                                                        in Latin America joining five in Brazil, and one in both Argentina
                                                                        and Venezuela. The Mexican plant will also join Pirelli’s Georgia
                                                                        factory as the second manufacturing site in the NAFTA region.




    2012 PIRELLI
                                                                        Famed fashion photographer Mario Sorrenti will be the first Ital-



    CALENDAR
                                                                        ian to capture the Pirelli Calendar story. The 2012 spread features
                                                                        12 models and actresses photographed on the isolated resort of
                                                                        Murtoli, south of Corsica. Notable names including Kate Moss,
                                                                        Lara Stone, and Natasha Poly are all featured in this year’s edition.




5     Pirelli Newsletter    September 2011
_________
Conceptual                                                                                                        CORPORATE
                                                                                                                    NEWS




Reality
Maserati's Kubang
Concept SUV
    Maserati introduced an all                                                                         has outfitted the Kubang
new concept for the sport/                                                                             with Pirelli P Zero tires.
luxury SUV segment at the                                                                                 The distinctive
2011 Frankfort Auto Show                                                                               Maserati style
this week. The Kubang will                                                                             that makes the
enlarge Maserati’s product                                                                             Kubang immediately
range and strengthen its                                                                               recognizable as a true
presence in the sport/                                                                                 Maserati has been
luxury market if it hits the                                                                           created by the Maserati
production line.                                                                                       Style Center headed by
    Maserati seeks to increase                                                                         Lorenzo Ramaciotti.
its customers’ driving                                                                                 New-generation high-
pleasure and offer a luxury                                                                            tech Maserati proprietary
atmosphere reminiscent of                                                                              engines will be designed
today’s high-end sports and                                                                            in Modena by Paolo
luxury cars and has created                                                                            Martinelli - Head of the
an SUV concept that will be                                                                            Maserati Powertrain
the forerunner of the future                                                                           Department and for
Maserati range, creating at                                                                            nearly 30 years at
once discontinuity by entering                                                                         Ferrari, where he also
a new segment and continuity                                                                           served as engine chief
by maintaining the integrity of                                                                        of the Formula One
Maserati’s DNA.                                                                                        racing team – and will be
    The idea of a sport luxury                                                                         produced in Maranello
SUV is naturally not totally                                                                           by Ferrari.
new to Maserati. Many                                                                                     An AT 8 speed
will remember the Kubang                                                                               automatic transmission
concept that was unveiled                                                                              and specific performance
at the Detroit Auto Show in                                                                            settings will be
2003. At a time in which few                                                                           exclusively developed
other brands were going in                                                                             in Modena for the
the direction of a sport luxury                                                                        Maserati sport luxury
SUV, Maserati was already                                                                              SUV by the Maserati
thinking to build one.                                                                                 Product Development
    Today potential synergies                                                                          Department. Until today
with sister brand Jeep - a                                                                             Maserati has been
brand that 70 years ago                                                                                producing sedans,
created a new segment of the                                                                           coupes and two- or
market and is today a leader                                                                           four-seater convertibles.
of this very segment – are                                                                             Whether named
the important catalyst for        SUV will unmistakably be       sportiness, style, elegance,     Quattroporte, GranTurismo
Maserati’s own interpretation     Maserati: its style, engine,   luxury, performance and          or GranCabrio – or Ghibli,
of a sport luxury SUV.            suspension, brakes, handling   craftsmanship all shine          Mistral, Bora or Indy - their
The essence and all major         and performance will all       through.                         common denominator rested
system components of              be 100% Maserati and              Maserati continues its        in two words: sportiness and
the Maserati sport luxury         the brand’s core values of     relationship with Pirelli, and   luxury.

6     Pirelli Newsletter   September 2011
                                                                                                                            DEALER
                                                                                                                             NEWS




Butler Tire services Atlanta’s high performance wheel and tire needs through its four retail locations including: Buckhead,
Marietta, Austell and Alpharetta (pictured)




BABY                                                             your
                                                                                             ATL
                                                                                      in
                                                                  car
 Pirelli Dealer Butler Tire’s Mel Dobrin Takes Five to tell
 us why his shops are ATL’s High Performance Specialists
    Atlanta’s Mel Dobrin knows a
thing or two about high performance
vehicle applications. Mr. Dobrin
is president of Butler Tire, a high-
performance center across four
locations that has a total focus on
personalized customer service.
    All company’s collateral and
signage are emblazoned with the
slogan “Get Butlerized!” and “We
Baby Your Car”. Known as the
reference for high performance
(HP) tires and wheels in the Atlanta
metro area, Butler Tire gives its
customers the wisdom of over 50
years experience in the HP market,
selling, servicing and personalizing
the world’s finest automobiles, SUVs
and Light Trucks.
    As a Pirelli high performance
and ultra-high performance dealer,
Butler Tire is highly regarded in
its markets for offering its clientele
– which includes professional
athletes, music producers,
entrepreneurs and professionals – a
wide selection of wheels, tires, and
performance accessories, and a
knowledgeable staff that knows its       The “Butlerized” Ferrari 458 Italia includes multi-spoke wheels that took to paint beautifully
business and gives “VIP” treatment a     using original Ferrari paint on the faces – matching the car’s exterior. Butler’s crew painted
whole new dimension.                     the outer lips and part of the spokes white to really make the Carbon Fiber features stand
    We recently sat down with            out. This car doesn’t look big going down the road but the front fenders swallowed a pair of
Dobrin to get his take on the state      21 inch front rims with 255.30.21 Pirelli P Zero Nero tires like nobody’s business. Out back
of the market and just what makes a      a pair of 22 rims wrapped in 315.25.22 Pirelli P Zero Neros gets the 458’s crazy power to
“Butlerized” car so special.             the asphalt. That’s some pretty serious rubber - a 315 sized Pirelli measures almost 12.5
                               > p.9     inches across!

7     Pirelli Newsletter     September 2011
Pirelli World
Challenge in
High Gear and
                                                                                                             MOTO
                                                                                                             NEWS
                                                                        are seeing lap times within a tenth of a second

Looking Ahead                                                           at the end of the race of what we were seeing
                                                                        at the start.”
                                                                            Across the paddock, the series’ move to
Pirelli’s p zero racing slick                                           Pirelli’s P Zero racing slick this year has been
                                                                        a positive move for all involved.
delivers results – full grids                                               “This is the first year I have raced with
and competitive racing                                                  Pirelli tires,” said Ben Crosland, Pirelli World
                                                                        Challenge GTS driver, “unlike all the tires I
    As the Pirelli World Challenge moves                                have run before, like the Continental, there is
into the final third of the 2011 racing season,                         so much grip with the Pirelli’s it is like Velcro.
the series is demonstrating that ambient                                There is nothing like these tires.”
temperatures around the United States are not                               “The Pirelli tires have been great, it was
the only things heating up. The red-hot racing                          a big switch,” said Touring Car driver Robb
action all summer has meant physical battles                            Holland. “They work really, really well,
in GT, GTS and TC classes.                                              we enjoy running them. The level of grip
    In a day and age where race series’                                 that (P Zero) has is absolutely amazing. It’s
are experiencing declining entries, the                                 something the touring cars haven’t seen for a
Pirelli World Challenge front straights are                             number of years and it makes the racing a lot




                                                      I
consistently filled to capacity, promising a                            more fun.”
bright future for the series.                                               “There are not many manufacturers that
    “I’ve been watching the Pirelli World                               can bring the level of racing and product
Challenge project from Milan with great                                 development experience that Pirelli does
interest”, said GianMaria Dolci, Motorsport                             to the paddock,” said Tom Gravalos, VP
Commercial Operations Manager. “I know                                  of Marketing, Motorsports and Original
that the grids have been full and sold out                              Equipment for Pirelli’s NAFTA Region.
at some tracks this year, but, it is really                                 “There are companies that enter
incredible to stand at the front and look back                          motorsports as a branding exercise who
toward the end of the grid and not be able to       am delighted        have their race tires made for them and
see where it ends. I am delighted that Pirelli is   that Pirelli        simply put their name on the sidewall. We
here for the long-haul.”                             is here for        at Pirelli are proud to design, develop and
    Pirelli has introduced the teams and drivers      the long-         manufacture race tires that bear our name.
of the Pirelli World Challenge (PWC) to the             haul.           We are passionate about racing and it is in
                                                    – GianMaria Dolci
P Zero racing slick developed in extreme GT                             the DNA of our company”, “This is precisely
competition around the globe. The current                               why we chose to become the exclusive tire
PWC specification tire was developed                                    supplier and title sponsorship of the Pirelli
specifically on the circuits of North America                           World Challenge Championships. This is
and is a derivative of the experience gained                            a highly competitive racing series where
while supplying series such as the Grand-Am.                            drivers, teams and fans can develop a strong,
Pirelli has been racing for 104 of its nearly                           positive relationship with the Pirelli brand.
140 year existence in collaboration with the                            Pirelli Motorsport continues our strategy of
most prestigious automotive manufacturers                               growth as we are now partnered with some
allowing the company to anticipate and                                  of the most important race series and world
develop proprietary racing tires that are                               championships including Formula One, GP2,
durable and perform consistently.                                       GP3, Ferrari Challenge, Lamborghini Super
     “I’ve driven on Pirellis in the past and                           Trofeo, and Pirelli Drivers Cup USA. There’s
I’ve always liked their tire, but this season                           a reason why we can align such an impressive
they brought an amazing tire to the World                               list of partners; you don’t buy trust, you
Challenge series,” PWC GTS competitor Eric                              develop, build and earn it.”
Fosse said,. “We are able to drive flat-out on                              For more information and complete results
every lap - every second of every session -                             and class standings please visit www.world-
and we don’t have any tire degradation. We                              challenge.com. And follow World Challenge
                                                                        on Twitter @WCRacing.
8      Pirelli Newsletter     September 2011
Pirelli
                                                                                         P ZeroTM
                                                             P Zero tires offer power and control for all top of the range sports,
                                                             mid and high powered cars. With increased pattern durability
                                                             and high lateral rigidity, the P Zero expels water efficiently and
    P Zero                                                   has an excellent steering response.
                                                                                                                                     PRODUCT




                             }
                                                             •	 Safer braking from high speeds
                                                             •	 Enhanced and precise handling for sports driving
                                                             •	 Improved control in aquaplaning environments
                                                             • Reduced noise, improved mileage and even tread wear
                                  Three solid longitudinal ribs.
                              1
                                  Outer shoulder with large rigid blocks.
                              2
                                  Three wide longitudinal grooves.
                              3


                                                      Passenger Product Update




                                                       LT/ SUV Product Update




    > BABY | cont'd from p.7
                                                                           MD: To separate ourselves from the ultra-competitive mass
    Pirelli Electronic News: What is the mission of Butler Tire?           market. We saw an opportunity to serve a high quality customer
    Mel Dobrin: To be the discerning customer’s first choice for           whose needs were not being properly met.
    high-performance tire & wheel service by offering un-paralleled,       PEN: What makes your associates some of the best in the
    personal attention and only the highest quality products.              business?
    PEN: Customer service is central to your successes; how do you         MD: The majority of our business is geared around ultra- high
    make the customer’s experience special?                                performance, European and exotic vehicles. This gives the staff an
    MD: From the first step into one of our locations, a customer          opportunity to stand out from the crowd. They are enthusiastic
    senses a clean and inviting environment. The customer lounge           car fanatics and love working with exotic vehicles and challenging
    includes free coffee and WiFi. We also offer shuttle, pick-up &        wheel and tire applications. Our associates see (working at) Butler
    delivery and flatbed service for our customers.                        as a career and we are proud of our low turnover and employee
    PEN: Is a large portion of your business repeat?                       loyalty.
    MD: We realize that satisfied customers tell our story. Dialogue       PEN: With four locations in the ATL Metro area, where do you go
    is also vital. The connection we make with our customers               from here?
    confirms our commitment to quality, service and exceeding their        MD: We’re constantly addressing ways to improve the customer
    expectations. After all, without repeat business, there would be no    experience at each location; scale isn’t necessarily a positive. Too
    business.                                                              many locations presents issues of diluting the ability to maintain
    PEN: Butler Tire is known as THE high performance tire dealer in       control over quality and service goals. We’re aggressively building
    the Atlanta metro area.  Why did you choose high performance as        our online community and garnering valuable feedback from our
    a specialty?                                                           active social media channels.


9       Pirelli Newsletter    September 2011

				
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