Titan Tire Corporation, a subsidiary of Titan International, Inc. (NYSE: TWI), will implement a price increase on Titan and Goodyear branded farm and construction tires, effective November 1, 2007. The increase of up to 5% will offset rising raw material and energy costs, but certain tire prices may rise more than 5% due to repositioning of the product.
Goodyear Tire (NYSE:GT) and Cooper Tire & Rubber Co. (NYSE:CTB) probably just got some more pricing power. With oil at $80.00+ and rising commodity costs, they are going to need it. Granted, this is in the larger industrial and agricultural tires rather than full scale consumer auto tires, but where there is smoke…..there’s a tire.
Jon C. Ogg
September 27, 2007
Jon Ogg can be reached at email@example.com; he produces the Special Situation Investing Newsletter and does not own securities in the companies he covers.