Any deal, said the reports, would include only tire production operations in Russia and the Netherlands, and would not include Amtel-Vredestein’s retail business or chemical fibers operations in Russia.

According to the Russian news service, Amtel-Vredestein CEO Alexei Gurin neither confirmed nor denied negotiations with Continental. Sources told Kommersant that a deal could be finalized in March 2007.

For its part, Continental acknowledged that talks have been held.

Kommersant reported that sources close to Amtel-Vredestein said that talks aimed at Continental buying a majority stake are in advanced stages, and that a delegation of Continental managers toured A-V’s Russia facilities in recent weeks, and that A-V management  were in Hanover, Germany, to negotiate the details.