Morry Taylor, CEO of Titan International, was at the company’s tire plant in Natchez Thursday to announce raises, congratulate workers on higher production and educate employees about a new tire they will eventually produce.

Under the wage increases, which Taylor said were effective Thursday, employees’ pay will increase by up to $1 per hour based on worker performance. Tire building workers will make up to $14.50 and maintenance workers will make up to $17, Taylor said before a meeting of plant management Thursday afternoon.

The raises come at a time when, due largely to a decline in demand for agricultural equipment, Titan’s financial figures have declined. For the nine months ending Sept. 30, 1999, sales fell 12 percent to $453.6 million. Net loss totaled $5.5 million versus income of $13.5 million.

Earnings before interest and taxes declined by 37 percent to $38 million, and Titan’s debt levels have risen by more than $60 million since Sept. 30, 1998, according to Standard & Poor’s, which downgraded its corporate rating for Titan in December.

Earlier Thursday, Taylor met with representatives of United Steelworkers of America Local 303L, as required by law, to tell them of the raise.

Leo &uot;T-Bone&uot;&160;Bradley, president of Local 303L, said Titan is required by law to negotiate a wage rate with the union.

But he added that the union, which has been on strike from the plant since September 1998, wants a comprehensive contract that addresses overtime, seniority, vacations, safe working conditions and a number of other considerations — not just higher wages.

&uot;We gave him a comprehensive proposal at our last negotiations in Kansas City, and he has refused to answer them,&uot; Bradley said. &uot;And yet he wants to come back and talk about one issue. We’re supposed to be negotiating, but that’s not negotiating.&uot;

No date has been set for contract negotiations in the future, according to Taylor and Bradley.

Taylor said he was also in town to congratulate plant workers on producing tires at a rate of 83 pounds per manhour, a record at the plant. Titan officials have traditionally said they would not release production numbers due to competition within the industry.

&uot;We’ll be rocking and rolling within a few years,&uot;&160;Taylor said.

Bradley disputed those figures, saying that workers were producing close to 100 pounds per manhour before the strike.

Although Taylor said Titan has no plans to add equipment or square footage to the plant in the foreseeable future, he said the number of workers there will increase.

If production keeps growing in the future, the plant will probably hire more than 400 people eventually, he added. Taylor has previously said the factory employs more than 300 people and hoped to eventually employ 400 workers.

Bradley said union members on a picket line outside the plant’s gate periodically count the number of workers who enter and leave the plant. &uot;We’re counting about 140 hourly workers and maybe 30 salaried workers,&uot; Bradley said, adding he will believe Taylor’s employment goals when he sees them reached.

One thing that will bring more business the factory’s way, according to Taylor, is production of the new LSW tire for Caterpillar equipment. Although that tire probably will not be produced at Natchez until 2002, it is being produced at other plants, which will mean that production of standard tires will increase at Natchez, Taylor said.

Officials at Caterpillar Inc. in East Peoria, Ill., did not return calls Friday.

&uot;And there are other products in the planning stages,&uot;&160;Executive Vice President Bill Campbell, who is also visiting the plant this week, told management at the meeting.