Continental "hold"

01/02/07 - Dresdner Kleinwort Wasser.

LONDON, January 2 (newratings.com) - Analysts at Dresdner Kleinwort maintain their "hold" rating on Continental AG (CON). The target price is set to €92.

In a research note published this morning, the analysts mention that the recent ratification of the new US union contract presents an opportunity for Goodyear to sell-off its Engineering product division. Continental intends to purchase the unit, following the ratification. The ratification is expected to have a limited direct impact on European tire manufacturers, the analysts add.