A colossus of off-roads, Titan International makes off-highway steel wheels and tires for the agricultural, construction, mining, and consumer markets. It assembles wheel-tire systems for original equipment manufacturers and aftermarket distributors of tractors, cranes, combines, scrapers, all-terrain vehicles, golf carts, and utility trailers. Other operations include the manufacture and distribution of wheels, rims, and tires to the military for trucks, tanks, and personnel carriers, as well as boat and trailer wheels for the consumer. Titan sells its products directly to manufactures and through dealers, distributors, and at its own distribution centers. Agricultural accounts for more than 75% of sales.
Titan doesn't just make wheels and tires. The company combines the two lines to create assemblies for applications covered by its three segments: agricultural, earthmoving/construction, and consumer markets.
Through its Titan Tire subsidiary, the company is shifting its organization-wide strategy to focus on the overall tire aftermarket, which is usually less cyclical than the OEM market. On its home turf, Titan Tire picked up the machinery and equipment assets of bankrupt Denman Tire, including the name, tire specifications, molds, customer list, and some tools for about $4.4 million in 2010. The move is intended to round out the company's mining and specialty tire offerings. In 2008 Titan introduced its line of giant mining tires and wheels, including its huge "Big Daddy" tires (measuring some 13 feet tall and weighing 12,500 lbs.). The startup of production was made possible by a $60 million capital expansion project at its plant in Bryan, Ohio. Titan plans to continue growth in the giant tires and wheels market and explore additional acquisitions to help expand in this area.
For its consumer segment, Titan made the decision to exit the OEM business for lawn and garden equipment and all terrain vehicles (ATVs), and instead focus on aftermarket products for the consumer market, including ATV, golf cart, and trailer applications. The company also provides wheels and tires, as well as assembles brakes, actuators, and components for the domestic boat, recreational, and utility trailer markets.
Deere & Company, Titan's largest customer accounts for 26% of sales; CNH Global N.V. (another maker of agricultural equipment) represents about 15% of Titan's sales. Other customers include Caterpillar, Kubota Corporation, and AGCO Corporation.
Titan has five manufacturing facilities in the US, but the company is beginning to roll its tires to more distant shores. With the mining industry showing promise, the company is expanding its sales and service operations in 2010 by forming a distribution joint venture in Mexico and building a mining industry service in Canada. Building upon its 2005 acquisition of Goodyear Tire & Rubber Company's North American farm tire assets, Titan also purchased Goodyear's Latin American and European farm tire business in early 2011. The $130 million deal included a plant, equipment, and inventory in San Paulo, Brazil, and Goodyear Dunlop Tires' plant in Amiens, France. The latter acquisition is Titan's first tire producing plant in Europe. Titan has also made an offer to acquire Titan Europe, which was founded by Titan in 1994 and spun off in 2004. Titan has continued to hold about a 22% stake in Titan Europe.
Titan's agricultural wheels and rims range in diameter from 1 to 7 ft., the latter being the largest agricultural wheel manufactured in North America. Its earthmoving/construction (also known as OTR or off-the-road) rims, wheels, and tires range in outside diameter from 3 to 13 ft., and can weigh as much as 12,500 lbs. – less