FRANKFURT -- German car parts supplier Continental AG expects a loss of $122.7 million (100 million euros) in its U.S. passenger-car tire business this year, Hannoversche Allgemeine Zeitung reported.
The business posted a loss of 80 million euros in the previous year, the German daily wrote in an advance copy of its Tuesday edition.
The paper, which did not give its sources, also reported that up to 300 of the 1,400 jobs in its plant in Charlotte, North Carolina, would be cut in July and production would be reduced by a third to roughly 16,000 tires per day.
A spokesman for the world's fourth-largest tire maker told Reuters the story was "highly speculative" but confirmed that there were adjustments in its Charlotte production output and that Continental was in talks with unions over a solution.
Continental had recently said that its goal of breaking even in its NAFTA passenger-car tire business by the fourth quarter this year had become "much harder" to reach.
Following its annual shareholder meeting in May, the head of Continental's passenger-car tire business had to leave the company over strategy differences, in particular over the chronically weak NAFTA passenger tire business.