By TIMOTHY AEPPEL
                    Staff Reporter of THE WALL STREET JOURNAL

                    Goodyear Tire & Rubber Co. reported a larger-than-expected
                    third-quarter loss, mainly due to high raw material and energy prices,
                    but vowed to build its market share in the wake of the Firestone recall.

                    The Akron, Ohio, company said it recorded a net loss of $6.6 million, or
                    four cents a share, compared with net income of $109.1 million, or 69
                    cents a diluted share, a year earlier. The latest quarter includes a charge
                    of $1.2 million related to closing a plant in Italy and a gain of $3.2 million
                    resulting from selling some property in Mexico. Analysts surveyed by
                    First Call/Thomson Financial had predicted Goodyear would report a loss
                    of two cents a share.

                                         Sales increased nearly 6% to $3.48 billion from
                                         $3.29 billion in the year-earlier third quarter.

                                         "High raw material costs, especially those for
                                         oil-derived products, remain a major factor in
                                         our results," said Samir G. Gibara, Goodyear's
                                         chairman and chief executive.

                                         Speaking in a call to analysts, Mr. Gibara said
                                         sales of tires to auto makers in their core North
                                         American market slumped during the quarter in
                                         the face of weaker car sales. But sales of
                                         replacement tires surged 9.4% after rival
                                         Bridgestone/Firestone Inc., a unit of Japan's
                    Bridgestone Corp., recalled 6.5 million tires in August.

                    Mr. Gibara said Goodyear has shipped more than 2.5 million tires of the
                    size and type needed to replace the Firestone tires that were subject to
                    the recall. He said he expects Goodyear to translate this sudden surge
                    in business into a permanent gain in market share in the months ahead,
                    including significant inroads in the replacement market as well as the
                    original equipment, or OE, market to car makers.

                    "Looking at next year, we expect a much stronger OE volume for
                    Goodyear as a result of the Firestone recall," said Mr. Gibara. "We have
                    received additional business from OE customers and we expect to
                    receive more as the fourth quarter unfolds, most of which will impact us
                    next year."

                    Wendy Needham, an analyst at Credit Suisse First Boston, said it
                    remains to be seen how beneficial such an increase in market share will
                    be to Goodyear or any other tire maker angling to take business once
                    held by Firestone. She said tire makers might be tempted to cut prices
                    as they battle to snare larger portions of what was formerly Firestone's
                    business. "The important question is what everyone does on prices,"
                    said Ms. Needham.

                    Write to Timothy Aeppel at timothy.aeppel@wsj.com