Document:

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                                  EXHIBIT 10.8

                              EMPLOYMENT AGREEMENT

      This Employment Agreement ("Agreement") is entered into as of this 11th
Day of August, 2004 ("Effective Date") between Lannett Company, Inc. ("Company")
and Larry Dalesandro (Executive).

                                    RECITALS

      Company wishes to employ Executive as its Chief Financial Officer; and
Executive wishes to accept such employment under the terms and conditions set
forth in this Agreement.

      IT IS AGREED as follows:

      1. EMPLOYMENT. Company hereby employs Executive as its Chief Financial
Officer; and Executive accepts such employment.

      2. TERM. The term of employment under this Agreement shall commence on the
Effective Date and shall continue, unless otherwise terminated earlier under
Section 8, until the day before the third anniversary of the Effective Date,
i.e., June 17, 2007 (the "Term"), provided that on the day before the third
anniversary of the Effective Date and the day before the anniversary of any
one-year renewal of such Agreement, the Term shall be automatically extended for
successive additional one (1) year periods unless at least ninety (90) days
prior to such anniversary date, either Company or Executive furnishes the other
with written notice that the term is not to be so extended.

      3. DUTIES. Executive shall devote his full-time efforts to the proper and
faithful performance of all duties customarily discharged by a Chief Financial
Officer for a company doing the type of business engaged in by Company and any
additional duties assigned to him from time to time by the President and/or the
Chief Executive Officer of Company and/or the Board of Directors of Company.
Executive shall report directly to the President of the Company. Executive
agrees to use his best efforts and comply with all fiduciary and professional
standards in the performance of his duties hereunder. Executive shall provide
services to any subsidiary or affiliate of Company without additional
compensation and benefits beyond those set forth in this Agreement, and any
compensation and benefits provided to Executive for such services shall be a
credit with regard to amounts due from Company under this Agreement. Executive
represents and warrants to Company that, at all times prior to the Effective
Date when he has served as Chief Financial Officer of the Company and at all
times during the Term, he has either fulfilled or will fulfill his duty of
loyalty to Company; and he has either acted or will act in the best interests of
the Company's shareholders.

      4. BASE SALARY. Executive shall be paid a base salary of One Hundred and
Thirty Two Thousand Eight Hundred and Sixty Dollars and no cents ($132,860.00)
per annum for the Term, payable, less applicable withholdings, in proportional
monthly payments or more frequently in accordance with Company's regular
practice. Salary for a portion of any period will be prorated. The Compensation
Committee of the Board of Directors and the President will conduct an annual

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performance review of Executive and, as part of such review, will consider
adjustments to the base salary set forth herein based on the performance of both
Executive and Company.

      5. ANNUAL BONUS. Executive shall be eligible to participate in the
Management Incentive Bonus Plan (the "MIB") administered by the Compensation
Committee, or any successor annual bonus plan or arrangement generally made
available to the executive officers of Company. The MIB shall provide Executive
with a target bonus opportunity for each fiscal year of Company (i.e. July 1 to
June 30), regardless of whether or not a bonus is declared for any fiscal year,
with a minimum guarantee using the same criteria.

      6. BENEFITS.

      During the Term, Executive shall have the following benefits:

      a. Executive may participate in all Company sponsored stock option plans,
      retirement plans, 401(k) plans, life insurance plans, medical insurance
      plans, disability insurance plans, executive stock ownership plans and
      such other benefit plans generally available from time to time to other
      executive employees of Company for which he qualifies under the terms of
      the plans. Executive's participation in and benefits under any benefit
      plan shall be on the terms and subject to the conditions specified in such
      plan.

      b. Vacation days or personal time off (PTO) granted to Executive in
      accordance with the Company's published vacation or PTO policy generally
      afforded to salaried management employees.

      c. If the Company is sold during Executive's active employment, the
      majority shareholder sells his/her majority interest in the Company or a
      majority of the Company's ANDAs (Abbreviated New Drug Applications) are
      sold during Executive's active employment and the Organization that takes
      control of the Company desires to continue the employment of Executive
      with the same assignment and at the same place of business, regardless of
      whether Executive remains with the buying organization or not, Executive
      will be paid in a lump amount equal to six (6) months of Executive's then
      current base annual salary at the time of the transaction .

      7. REIMBURSEMENT OF EXPENSES. Company will reimburse Executive for the
      reasonable and necessary expenses incurred by him in the performance of
      his duties under this Agreement in accordance with Company's policies in
      effect from time to time.

      8. TERMINATION OF EMPLOYMENT.

      a. Executive's employment under this Agreement may be terminated at any
      time by the President, Chief Executive Officer and/or the Board of
      Directors of Company, with or without Cause (as defined below).
      Executive's employment is "at-will."

      b. Executive's employment under this Agreement shall terminate upon his
      resignation or death.

      c. Executive's employment under this Agreement shall terminate upon thirty
      (30) days written notice by Company to Executive of a termination due to
      Disability, provided such

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      notice is delivered during the period of Disability. The term "Disability"
      shall mean, for purposes of this Agreement, the inability of Executive,
      due to injury, illness, disease or bodily or mental infirmity to engage in
      the performance of his material duties of employment with Company as
      contemplated by Section 3 herein for (i) any period of ninety (90)
      consecutive days or (ii) a period of one hundred fifty days (150) in any
      consecutive twelve (12) months, provided that if the Executive returns to
      work in the consecutive 12 month period for a period of less than ten (10)
      consecutive business days in duration, such return to work shall not be
      deemed to interfere with a determination of consecutive absent days if the
      reason for absence before and after the interim return are the same.
      Benefits to which Executive is entitled under any disability policy or
      plan provided by Company shall reduce the base salary paid to Executive
      during any period of Disability on a dollar-for-dollar basis.

      d. Company shall have the right to terminate Executive's employment for
      Cause. For purposes of this Agreement, "Cause" shall consist of any of the
      following:

      1. Executive's willful misrepresentation in this Agreement or otherwise or
      fraud, willful dishonesty or willful breach of a fiduciary duty or duty of
      loyalty to Company which directly or indirectly results in his or any
      person's or entity's enrichment, economic or otherwise, at the expense of
      Company;

      2. Willful misconduct; provided, however, that conduct by Executive in
      good faith and/or ordinary negligence shall not be considered "Cause";

      3. Willful or reckless conduct of Executive which has an adverse impact
      (economic or otherwise) on Company;

      4. Willful violation of any law, rule or regulation relating to the
      operation of Company or any of its subsidiaries or affiliates;

      5. The order of any court or supervising governmental agency with
      jurisdiction over the affairs of Company or any subsidiary or affiliate;

      6. Executive's willful violation of any provision of this Agreement,
      including without limitation violation of Sections 9, 10, 11 or 12;

      7. Executive's conviction or no contest plea to a felony involving moral
      turpitude;

      8. Abuse of illegal drugs or other controlled substances or habitual
      intoxication; or

      9. Willful violation by Executive of Company's published business conduct
      guidelines, code of ethics, conflict of interest or other similar
      policies.

      e. If Executive's employment terminates for Cause or for any reason other
      than as set forth in Section 8(f), Company shall be obligated only to
      continue to pay Executive's salary and, to the extent earned, accrued and
      unpaid, annual cash bonus and long term incentive compensation and furnish
      the then existing benefits under Section 6 up to the date of termination
      (except as otherwise set forth in this Agreement).

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      f. If Executive's employment is terminated by Company without Cause, in
      addition to the amounts payable under Section 8(e), Executive shall be
      entitled to receive his (i) base salary for a period of eighteen (18)
      months after the termination date, (ii) insurance coverage provided to him
      equal to such coverage provided to him on the date of termination at no
      cost or, if ineligible for continued coverage under Company policies,
      reimbursement of the cost of comparable coverage for a period of eighteen
      (18) months (iii) a pro rated annual cash bonus for the then current
      fiscal year calculated as if all base targets and base goals are achieved
      (but no other incentive compensation beyond the date of termination) at
      the times and frequency regularly paid, and (iv) the Company shall cause
      all outstanding Company stock options awarded Executive prior to
      termination of his employment to be one hundred percent (100%) vested at
      termination. As a condition to the salary, insurance continuation, under
      this Section 8(f), Executive must first execute and deliver to Company, in
      a form prepared by Company, a release of all claims against Company and
      other appropriate parties, excluding Company's performance under this
      Section 8(f) and Executive's vested rights under Company sponsored
      retirement plans, 401(k) plans and stock ownership plans. The obligation
      of Company to pay Executive's salary as required by Subsection (i) of this
      Section 8(f) shall not be subject to offset for earnings from Executive's
      subsequent employment.

      g. The termination of Executive's employment with Company, for any reason
      and irrespective as to whether initiated by Executive or Company, shall be
      considered a contemporaneous resignation by Executive from the position of
      Company's Chief Financial Officer and shall be deemed a termination from
      employment with all entities related to Company.

      h. The Executive may terminate his employment hereunder at any time for
      any Reason by giving the Company prior written notice not less than thirty
      (30) days prior to such termination. Termination by the Executive pursuant
      to this Clause shall be deemed a termination entitling the Executive to
      compensation pursuant to Section 8(e) above.

      9. CONFIDENTIAL INFORMATION. During Executive's employment with Company
and at all times after the termination of such employment, regardless of the
reason for such termination, Executive shall hold all Confidential Information
relating to Company in strict confidence and in trust for Company and shall not
disclose or otherwise communicate, provide or reveal in any manner whatsoever
any of the Confidential Information to anyone other than Company without the
prior written consent of Company. "Confidential Information" includes, without
limitation, financial information, related trade secrets (including, without
limitation, Company's business plan, methods and/or practices) and other
proprietary business information of Company which may include, without
limitation, market studies, customer and client lists, referral lists and other
items relative to the business of Company. "Confidential Information" shall not
include information which is or becomes in the public domain through no action
by Executive or information which is generally disclosed by Company to third
parties without restrictions on such third parties.

      10. SOLICITATION OF CUSTOMERS. During his employment with Company and for
a period of eighteen (18) months after the termination of Executive's
employment, regardless of the reason for the termination (the "Non-Competition
Period"), Executive shall not, whether directly or indirectly, for his own
benefit or for the benefit of any other person or entity, or as a partner,

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stockholder, member, manager, officer, director, proprietor, employee,
consultant, representative, agent of any entity other than Company, solicit,
directly or indirectly, any customer of Company, or induce any customer of
Company to terminate any association with Company, in connection with those
certain products being offered for sale by Company or in its research and
development pipeline on the date of termination of Executive's employment (The
"Restricted Products") or otherwise attempt to provide services to any customer
of Company in connection with the Restricted Products. Executive shall prevent
such solicitation to the extent he has authority to prevent same and otherwise
shall not interfere with the relationship between Company and its customers.
This provision shall not be interpreted to prohibit, prevent or otherwise impair
the Executive's ability and right to seek and obtain employment from a
competitor of the Company, even if said competitor is currently selling products
to the Company's customers that are the same as Company's products. While the
Executive shall be unrestricted in seeking to sell products to the Company's
customers that are different than the Company's products, it is the intent of
this paragraph to preclude the Executive from having said competitor replace the
Company as a supplier of a product or otherwise take existing sales from the
Company for the period in question.

      11. SOLICITATION OF EXECUTIVES AND OTHERS. During his employment with
Company and during the Non-Competition Period, Executive shall not, whether
directly or indirectly, for his own benefit or for the benefit of any other
person or entity, or as a partner, stockholder, member, manager, officer,
director, proprietor, employee, consultant, representative, agent of any entity
other than Company, solicit, for purposes of employment or association, any
Executive or agent of Company ("Solicited Person"), or induce any Solicited
Person to terminate such employment or association for purposes of becoming
employed or associated elsewhere, or hire or otherwise engage any Solicited
Person as an Executive or agent of an entity with whom Executive may be
affiliated or permit such, or otherwise interfere with the relationship between
Company and its employees and agents. For purposes of this Agreement, an
employee or agent of Company shall mean an individual employed or retained by
Company during the Term and/or who terminates such association with Company
within a period of six (6) months after the termination of Executive's
employment with Company.

      12. NON-COMPETITION. Without the written consent of the President or the
Chief Executive Officer, during his employment with Company and during the
Non-Competition Period, Executive shall not directly or indirectly, as an
officer, director, shareholder, member, partner, joint venturer, Executive,
independent contractor, consultant, or in any other capacity:

      a. Engage, own or have any interest in;

      b. Manage, operate, join, participate in, accept employment with, render
      advice to, or become interested in or be connected with;

      c. Furnish consultation or advice to; or

      d. Permit his name to be used in connection with;

Any person or entity engaged in a business in the United States or Canada which
is engaged in the manufacture, distribution or sale of the Restricted Products
or which otherwise competes with the business of Company as it exists from time
to time and, in the case of termination of this Agreement, as it exists on the
termination date. Notwithstanding the foregoing, holding one

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percent (1%) or less of an interest in the equity, stock options or debt of any
publicly traded company shall not be considered a violation of this Section 12.

      13. DISCLOSURE AND OWNERSHIP OF WORK PRODUCT AND INFORMATION.

      (a) Executive agrees to disclose promptly to Company all ideas, inventions
      (whether patentable or not), improvements, copyrightable works of original
      authorship (including but not limited to computer programs, compilations
      of information, generation of data, graphic works, audio-visual materials,
      technical reports and the like), trademarks, know-how, trade secrets,
      processes and other intellectual property, developed or discovered by
      Executive in the course of his employment relating to the business of
      Company, or to the prospective business of Company, or which utilizes
      Company's information or staff services (collectively, "Work product").

      (b) Work product created by Executive within the scope of Executive's
      employment, on Company time, or using Company resources (including but not
      limited to facilities, staff, Information, time and funding), belongs to
      Company and is not owned by Executive individually. Executive agrees that
      all works of original authorship created during his employment are "works
      made for hire" as that term is used in connection with the U.S. Copyright
      Act. To the extent that, by operation of law, you retain any intellectual
      property rights in any Work product, Executive hereby assigns to Company
      all right, title and interest in all such Work product, including
      copyrights, patents, trade secrets, trademarks and know-how.

      (c) Executive agrees to cooperate with Company, at Company's expense, in
      the protection of Company's information and the securing of Company's
      proprietary rights, including signing any documents necessary to secure
      such rights, whether during or after your employment with Company, and
      regardless of the fact of any employment with a new company.

      14. ENFORCEMENT OF AGREEMENT; INJUNCTIVE RELIEF; ATTORNEYS' FEES AND
EXPENSES. Executive acknowledges that violation of this Agreement will cause
immediate and irreparable damage to Company, entitling it to injunctive relief.
Executive specifically consents to the issuance of temporary, preliminary, and
permanent injunctive relief to enforce the terms of this Agreement. In addition
to injunctive relief, Company is entitled to all money damages available under
the law. If Executive violates this Agreement, in addition to all other remedies
available to Company at law, in equity, and under contract, Executive agrees
that Executive is obligated to pay all Company's costs of enforcement of this
Agreement, including attorneys' fees and expenses. Company acknowledges that
violation of this Agreement will cause immediate and irreparable damage to
Executive, entitling him to injunctive relief. Company specifically consents to
the issuance of temporary, preliminary, and permanent injunctive relief to
enforce the terms of this Agreement. In addition to injunctive relief, Executive
is entitled to all money damages available under the law. If Company violates
this Agreement, in addition to all other remedies available to Executive at law,
in equity, and under contract, Company agrees that Company is obligated to pay
all Executive's costs of enforcement of this Agreement, including attorneys'
fees and expenses.

      15. SEVERABILITY AND SAVINGS. Each provision in this Agreement is
separate. If necessary to effectuate the purpose of a particular provision, the
Agreement shall survive the termination of

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Executive's employment with Company. If any provision of this Agreement, in
whole or in part, is held to be invalid or unenforceable, the parties agree that
any such provision shall be deemed modified to make such provision enforceable
to the maximum extent permitted by applicable law. As to any provision held to
be invalid or unenforceable, the remaining provisions of this Agreement shall
remain in effect.

      16. BINDING EFFECT. This Agreement shall be binding upon and shall inure
to the benefit of Company and its successors and assigns. This Agreement shall
be binding upon and inure to the benefit of Executive, his heirs and personal
representatives. This Agreement is not assignable by Executive.

      17. STATUTE OF LIMITATIONS. Executive agrees not to initiate any action or
suit relating directly or indirectly to employment with Company or the
termination of such employment more than one (1) year after the effective date
of termination of employment. Executive expressly waives any other longer
statute of limitations. However, Executive agrees that any shorter statute(s) of
limitations remain in effect.

      18. INDEMNIFICATION. To the fullest extent permitted by applicable law,
the Company shall indemnify, defend and hold harmless the Executive from and
against any and all claims, demands, actions, causes of action, liabilities,
losses, judgments, fines, costs and expenses (including reasonable attorneys'
fees and settlement expenses) arising from or relating to his service or status
as an officer, director, employee, agent or representative of the Company or any
affiliate of the Company or in any other capacity in which the Executive serves
or has served at the request of, or for the benefit of, the Company or its
affiliates. The Company's obligations under this section shall be in addition
to, and not in derogation of, any other rights the Executive may have against
the Company to indemnification or advancement of expenses, whether by statute,
contract or otherwise, and the Company's obligations pursuant to tins Section 18
shall survive termination of the Executive's employment.

      19. MISCELLANEOUS.

      a. No provision of this Agreement may be modified, waived or discharged
      unless such waiver, modification or discharge is agreed to in writing and
      signed by Company and Executive. The waiver or nonenforcement by Company
      of a breach by Executive of any provision of this Agreement shall not be
      construed as a waiver of any subsequent breach by Executive. This
      Agreement is the parties' entire agreement relating to the subject matter
      hereof and any and all prior agreements, representations or promises, oral
      or otherwise, express or implied, are superseded by and/or merged into
      this Agreement.

      b. Notices and all other communications provided for in this Agreement
      shall be in writing and shall be delivered personally or sent by
      registered or certified mail, return receipt requested, postage prepaid,
      or sent by facsimile or prepaid overnight courier to the parties at the
      addresses set forth below (or such other addresses as shall be specified
      by the parties by like notice): To Company, Lannett Company, Inc., 9000
      State Road, Philadelphia, PA 19136 Attn.: President; To the Executive:
      Larry Dalesandro, 3858 Kipling Place, Philadelphia, PA 19154. All notices
      shall be deemed effective upon receipt. The failure to accept mail
      forwarded through the U.S. Postal Service, certified,

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      return receipt requested, shall be deemed received as of the earlier of
      the first date such delivery is refused or, alternatively, if notices are
      provided of attempts to deliver, the date on which said first notice was
      provided to the Company.

      c. This Agreement shall be governed by the laws of the State of
      Pennsylvania.

      d. Although this Agreement was drafted by Company, the parties agree that
      it accurately reflects the intent and understanding of each party and
      should not be construed against Company for the sole reason that it was
      the drafter if there is any dispute over the meaning or intent of any
      provisions.

      e. Executive agrees that this Agreement is confidential and Executive will
      not disclose the terms and conditions of this Agreement to any Company
      employee or other third party, other than Executive's attorney,
      accountant, professional advisors and members of his immediate family,
      except as may be permitted by applicable law.

      f. This Agreement may be executed in counterparts, which together shall
      constitute one Agreement.

      g. Executive agrees that this Agreement is the sole Employment Agreement
      between Company and Executive and supersedes any and all prior Employment
      Agreements, Letters of Understandings, Verbal understandings or
      commitments.

      h. By their signatures below, the parties acknowledge that they have had
      sufficient opportunity to read and consider, and that they have carefully
      read and considered, each provision of this Agreement and that they are
      voluntarily signing this Agreement.

The parties have executed this Agreement as of the Effective Date.

WITNESS:

/s/ Jamie Holt                          /s/ Larry Dalesandro
--------------                          --------------------
Jamie Holt                              Larry Dalesandro

                                        LANNETT COMPANY, INC.

                                        By /s/ Arthur Bedrosian
                                           --------------------
                                        Arthur Bedrosian
                                        Its: President

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                                                                     EXHIBIT 4.2

                              [FORM OF GLOBAL NOTE]

        UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF
THE DEPOSITORY TRUST COMPANY TO THE COMPANY OR ITS AGENT FOR REGISTRATION OF
TRANSFER, EXCHANGE OR PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE
NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED
REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY (AND ANY PAYMENT HEREON IS MADE
TO CEDE & CO. OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED
REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY), ANY TRANSFER, PLEDGE OR OTHER
USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL SINCE THE
REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.

        TRANSFERS OF THIS GLOBAL NOTE SHALL BE LIMITED TO TRANSFERS IN WHOLE,
BUT NOT IN PART, TO NOMINEES OF THE DEPOSITORY TRUST COMPANY, OR TO A SUCCESSOR
THEREOF OR SUCH SUCCESSOR'S NOMINEE AND TRANSFERS OF PORTIONS OF THIS GLOBAL
NOTE SHALL BE LIMITED TO TRANSFERS MADE IN ACCORDANCE WITH THE RESTRICTIONS SET
FORTH IN ARTICLE TWO OF THE INDENTURE REFERRED TO ON THE REVERSE HEREOF.

        THIS SECURITY HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933,
AS AMENDED (THE "SECURITIES ACT"). THE HOLDER HEREOF, BY PURCHASING THIS
SECURITY, AGREES FOR THE BENEFIT OF THE COMPANY THAT THIS SECURITY MAY NOT BE
RESOLD, PLEDGED OR OTHERWISE TRANSFERRED (A) PRIOR TO THE DATE (THE "RESALE
RESTRICTION TERMINATION DATE") WHICH IS TWO YEARS AFTER THE LATER OF THE
ORIGINAL ISSUE DATE HEREOF (OR THE ISSUE DATE OF OPTIONAL SECURITIES, IF ANY)
AND THE LAST DATE ON WHICH THE COMPANY OR ANY AFFILIATE OF THE COMPANY WAS THE
OWNER OF THIS SECURITY (OR ANY PREDECESSOR OF THIS SECURITY), OTHER THAN (1) TO
THE COMPANY, (2) SO LONG AS THIS SECURITY IS ELIGIBLE FOR RESALE PURSUANT TO
RULE 144A UNDER THE SECURITIES ACT ("RULE 144A"), TO A PERSON WHOM THE SELLER
REASONABLY BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER WITHIN THE MEANING OF
RULE 144A, PURCHASING FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED
INSTITUTIONAL BUYER TO WHOM NOTICE IS GIVEN THAT THE RESALE, PLEDGE OR OTHER
TRANSFER IS BEING MADE IN RELIANCE ON RULE 144A, (3) PURSUANT TO ANOTHER
AVAILABLE EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT OR (4) PURSUANT
TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT, IN EACH CASE IN
ACCORDANCE WITH ANY APPLICABLE SECURITIES LAWS OF ANY STATE OF THE UNITED
STATES. PRIOR TO A TRANSFER OF THIS SECURITY PURSUANT TO CLAUSE (3) ABOVE, THE
HOLDER OF THIS SECURITY MUST FURNISH TO THE COMPANY AND THE TRANSFER AGENT SUCH
CERTIFICATES AND OTHER INFORMATION AND LEGAL OPINIONS AS THEY MAY REASONABLY
REQUIRE.

                                       1

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                            TITAN INTERNATIONAL, INC.

                  5-1/4% Senior Convertible Securities due 2009

                                                             CUSIP NO. 88830MAA0

No.:

Issue Date: July 26, 2004

        TITAN INTERNATIONAL, INC., an Illinois corporation, promises to pay to
Cede & Co. or registered assigns, the principal sum of One Hundred Million
Dollars ($100,000,000) on July 26, 2009.

        This Security shall bear interest as specified on the other side of this
Security. This Security is convertible as specified on the other side of this
Security.

        Additional provisions of this Security are set forth on the other side
of this Security.

Dated: July 26, 2004                         TITAN INTERNATIONAL, INC.

                                             By
                                                ------------------------------
                                                Name:
                                                Title:

TRUSTEE'S CERTIFICATE OF
AUTHENTICATION

U.S Bank National Association, as Trustee, certifies that this is one of the
Securities referred to in the within-mentioned Indenture (as defined on the
other side of this Security).

By
  ------------------------------------------
   Authorized Signatory

Dated:
      --------------------------------------

                                       2

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                         [FORM OF REVERSE SIDE OF NOTE]

                  5 1/4% Senior Convertible Securities due 2009

         Capitalized terms used herein but not defined shall have the meanings
assigned to them in the Indenture (the "Indenture") dated July 26, 2004 between
the Company and U.S. Bank National Association (the "Trustee") unless otherwise
indicated.

1.   Cash Interest.

         The Company promises to pay interest at the Interest Rate in cash on
the principal amount of this Security. The Company will pay cash interest
semiannually in arrears on June 30 and December 31 of each year (each an
"Interest Payment Date"), beginning on December 31, 2004, to Holders of record
at the close of business on the preceding June 15 and December 15 (whether or
not a business day) (each a "Regular Record Date"), as the case may be,
immediately preceding such Interest Payment Date. Cash interest on the
Securities will accrue from the most recent date to which interest has been paid
or duly provided or, if no interest has been paid, from the Issue Date. Cash
interest will be computed on the basis of a 360-day year of twelve 30-day
months. The Company shall pay cash interest on overdue principal at the rate
borne by the Securities, and it shall pay interest in cash on overdue
installments of cash interest at the same rate to the extent lawful. All such
overdue cash interest shall be payable on demand. Upon conversion, accrued and
unpaid interest shall be deemed paid in full rather than cancelled, extinguished
or forfeited.

2.   Method of Payment.

         Subject to the terms and conditions of the Indenture, the Company will
make payments in respect of the principal of, and cash interest on this Security
and in respect of the Change in Control Purchase Price and the Make-Whole
Premium, if any, to Holders who surrender Securities to a Paying Agent to
collect such payments in respect of the Securities. The Company will pay cash
amounts in money of the United States that at the time of payment is legal
tender for payment of public and private debts. However, the Company may make
such cash payments by check or wire transfer payable in such money.
Notwithstanding the foregoing, so long as this Security is registered in the
name of a Depositary or its nominee, all payments hereon shall be made by wire
transfer of immediately available funds to the account of the Depositary or its
nominee. Any payment required to be made on any day that is not a Business Day
will be made on the next succeeding Business Day.

3.   Paying Agent, Conversion Agent and Registrar.

         Initially, the Trustee will act as Paying Agent, Conversion Agent and
Registrar. The Company may appoint and change any Paying Agent, Conversion
Agent, Registrar or co-registrar without notice, other than notice to the
Trustee except that the Company will maintain at least one Paying Agent in the
State of New York, City of New York, The Borough of Manhattan, which shall
initially be an office or agency of the Trustee. The Company or any of its
Subsidiaries or any of their Affiliates may act as Paying Agent, Conversion
Agent, Registrar or co-registrar.

                                       3

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4.   Indenture.

         The Company issued the Securities under the Indenture. The terms of the
Securities include those stated in the Indenture and those made part of the
Indenture by reference to the Trust Indenture Act of 1939, as in effect from
time to time (the "TIA"). The Securities are subject to all such terms, and
Holders are referred to the Indenture and the TIA for a statement of those
terms.

         The Securities are general unsecured senior obligations of the Company
limited to $115,000,000 aggregate principal amount (subject to Section 2.07 of
the Indenture). The Indenture does not limit other indebtedness of the Company,
secured or unsecured.

         No sinking fund is provided for the Securities.

5.   Purchase by the Company at the Option of the Holder upon Change in Control.

         If there shall have occurred a Change in Control (subject to certain
conditions provided for in the Indenture), each Holder, at such Holder's option,
shall have the right, in accordance with the provisions of the Indenture, to
require the Company to purchase its Securities (or any portion of the principal
amount hereof that is at least $1,000 or any whole multiple thereof, provided
that the portion of the principal amount of this Security to be outstanding
after such purchase is at least equal to $1,000) at the Change in Control
Purchase Price in cash plus any accrued and unpaid interest to but not including
the Change in Control Purchase Date.

         If there shall have occurred a Change in Control pursuant to clause (i)
or (ii) of the definition thereof, and a Holder surrenders such their Securities
for purchase, the Company shall pay to such Holder a Make-Whole Premium in
addition to the Change in Control Purchase Price. The Make-Whole Premium will
also be paid on the Change in Control Purchase Date to the Holders of the
Securities who convert their Securities on or after the date on which the
Company has given a notice to all Holders of Securities in accordance with
Section 3.01 of the Indenture and on or before the Change in Control Purchase
Date.

         A written notice of the Change in Control will be given to the Holders
as provided in the Indenture. To exercise a purchase right, a Holder must
deliver to the Trustee a Change in Control Purchase Notice as provided in the
Indenture.

         Holders have the right to withdraw any Change in Control Purchase
Notice by delivering to the Paying Agent a written notice of withdrawal in
accordance with the provisions of the Indenture.

6.   Conversion.

         Subject to the Article 10 of the Indenture, a Holder of a Security may
convert such Security (or any portion thereof equal to $1,000 or any integral
multiple of $1,000 in excess thereof) into Common Stock at any time prior to the
close of business on the last Business Day prior to July 26, 2009 or such
earlier date set forth in the Indenture, at the Conversion Rate then in effect.
Subject to certain conditions provided for in the Indenture, in certain
circumstances, a

                                       4

<PAGE>

Holder may receive an amount in cash equal to the Make-Whole Premium, in
addition to the shares of Common Stock issuable on conversion of such Security.

         The initial "Conversion Rate" is 74.0741 shares of Common Stock per
$1,000 principal amount of the Securities and is subject to adjustment as
provided in the Indenture. A Security in respect of which a Holder has delivered
a Change in Control Purchase Notice exercising the option of such Holder to
require the Company to purchase such Security may be converted only if such
Change in Control Purchase Notice is withdrawn in accordance with the terms of
the Indenture. The Company shall pay a cash adjustment as provided in the
Indenture in lieu of any fractional share of Common Stock.

         To convert a Certificated Security, a Holder must (1) complete and
manually sign the conversion notice below (or complete and manually sign a
facsimile of such notice) and deliver such notice to the Conversion Agent, (2)
surrender the Security to the Conversion Agent, (3) furnish appropriate
endorsements and transfer documents if required by the Conversion Agent, the
Company or the Trustee and (4) pay any transfer or similar tax, if required. To
convert a Global Security, a Holder must comply with the procedures of the
Depositary in effect at such time.

7.   Denominations; Transfer; Exchange.

         The Securities are in fully registered form, without coupons, in
denominations of $1,000 of principal amount and whole multiples of $1,000. A
Holder may transfer or exchange Securities in accordance with the Indenture. The
Registrar may require a Holder, among other things, to furnish appropriate
endorsements and transfer documents and to pay any taxes and fees required by
law or permitted by the Indenture. The Registrar need not transfer or exchange
any Securities in respect of which a Change in Control Purchase Notice has been
given and not withdrawn (except, in the case of a Security to be purchased in
part, the portion of the Security not to be purchased).

8.   Persons Deemed Owners.

         The registered Holder of this Security shall be treated as the owner of
this Security for all purposes.

9.   Unclaimed Money or Securities.

         The Trustee and the Paying Agent shall return to the Company upon
written request any money, Securities or shares of Common Stock held by them for
the payment of any amount with respect to the Securities that remains unclaimed
for two years, subject to applicable unclaimed property law. After such return
to the Company, Holders entitled to the money or Securities must look to the
Company for payment as general creditors unless an applicable abandoned property
law designates another person.

10.  Amendment; Waiver.

         Subject to certain exceptions set forth in the Indenture, (i) the
Indenture or the Securities may be amended with the written consent of the
Holders of not less than a majority in aggregate

                                       5

<PAGE>

principal amount of the Securities at the time outstanding and (ii) certain
Defaults may be waived with the written consent of the Holders of not less than
a majority in aggregate principal amount of the Securities at the time
outstanding. Subject to certain exceptions set forth in the Indenture, without
the consent of any Holder, the Company and the Trustee may amend the Indenture
or the Securities to, among other things, cure any ambiguity, omission, defect
or inconsistency, or to comply with Article 5 of the Indenture, to provide for
uncertificated Securities in addition to or in place of certificated Securities
or to make any change that does not adversely affect the rights of any Holder,
or to comply with any requirement of the SEC in connection with the
qualification of the Indenture under the TIA.

11.  Defaults and Remedies.

         Under the Indenture, Events of Default include (1) the Company fails to
pay when due the principal of any of the Securities at Stated Maturity or
exercise of a purchase right or otherwise; (2) the Company fails to pay an
installment of interest (or Additional Interest Amounts, if any) on any of the
Securities that continues for 30 days after the date when due; (3) the Company
fails to deliver shares of Common Stock, together with cash in lieu of
fractional shares, when such Common Stock or cash in lieu of fractional shares
is required to be delivered upon conversion of a Security and such failure
continues for 10 days after written notice of default is given to the Company by
the Trustee or to the Company and the Trustee by the Holder of such Security;
(4) the Company fails to perform or observe any other term, covenant or
agreement contained in the Securities or the Indenture for a period of 30 days
after written notice of such failure, requiring the Company to remedy the same,
shall have been given to the Company by the Trustee or to the Company and the
Trustee by the Holders of at least 25% in aggregate principal amount of the
Securities then outstanding (a "Notice of Default"); (5) the Company fails to
make any payment by the end of the applicable grace period, if any, after the
maturity of any indebtedness for borrowed money in an amount in excess of $10
million, or there is an acceleration of indebtedness for borrowed money in an
amount in excess of $10 million because of a default with respect to such
indebtedness without such indebtedness having been discharged or such
acceleration having been cured, waived, rescinded or annulled, in either case,
for a period of 30 days after the date of a Notice of Default; (6) certain
events of bankruptcy, insolvency or reorganization with respect to the Company
or any Significant Subsidiary; and (7) the Company's filing of, or any
Significant Subsidiaries' filing of, a voluntary petition seeking liquidation,
reorganization arrangement, readjustment of debts or for any other relief under
the federal bankruptcy code. If an Event of Default (other than an Event of
Default specified in clause (6) or (7) of Section 6.01 of the Indenture) occurs
and is continuing, the Trustee, or the Holders of at least 25% in aggregate
principal amount of the Securities at the time outstanding, may declare all the
Securities to be due and payable immediately. Certain events of bankruptcy or
insolvency are Events of Default which will result in the Securities becoming
due and payable immediately upon the occurrence of such Events of Default.

         Holders may not enforce the Indenture or the Securities, except as
provided in the Indenture. The Trustee may refuse to enforce the Indenture or
the Securities unless it receives reasonable indemnity or security. Subject to
certain limitations, Holders of a majority in aggregate principal amount of the
Securities at the time outstanding may direct the Trustee in its exercise of any
trust or power. The Trustee may withhold from Holders notice of any continuing

                                       6

<PAGE>

Default (except a Default in payment of amounts specified in clause (1) or (2)
above) if it determines that withholding notice is in their interests as
provided in the Indenture.

12.  Trustee Dealings with the Company.

         Subject to certain limitations imposed by the TIA, the Trustee under
the Indenture, in its individual or any other capacity, may become the owner or
pledgee of Securities and may otherwise deal with and collect obligations owed
to it by the Company or its Affiliates and may otherwise deal with the Company
or its Affiliates with the same rights it would have if it were not Trustee.

13.  No Recourse Against Others.

         A director, officer, employee or stockholder, as such, of the Company
shall not have any liability for any obligations of the Company under the
Securities or the Indenture or for any claim based on, in respect of or by
reason of such obligations or their creation. By accepting a Security, each
Holder waives and releases all such liability. The waiver and release are part
of the consideration for the issue of the Securities.

14.  Authentication.

         This Security shall not be valid until an authorized signatory of the
Trustee manually signs the Trustee's Certificate of Authentication on the other
side of this Security.

15.  Abbreviations.

         Customary abbreviations may be used in the name of a Holder or an
assignee, such as TEN COM (=tenants in common), TEN ENT (=tenants by the
entireties), JT TEN (=joint tenants with right of survivorship and not as
tenants in common), CUST (=custodian), and U/G/M/A (=Uniform Gift to Minors
Act).

16.  GOVERNING LAW.

         THE INDENTURE AND THIS NOTE WILL BE GOVERNED BY, AND CONSTRUED IN
ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK.

                                 --------------

                                       7

<PAGE>

         The Company will furnish to any Holder upon written request and without
charge a copy of the Indenture which has in it the text of this Security.
Requests may be made to:

                  Titan International, Inc.
                  2701 Spruce Street
                  Quincy, Illinois 62301
                  Attention: Cheri Holley

                                       8
<PAGE>

                                ASSIGNMENT FORM
                  For value received _____________________ hereby sell(s),
assign(s), and transfer(s) unto __________________________ (Please insert social
security or other Taxpayer Identification Number of assignee) the within
Security, and hereby irrevocably constitutes and appoints
________________________ attorney to transfer the said Security on the books of
the Company, with full power of substitution in the premises.

                  In connection with the transfer of this Security within the
period prior to the expiration of the holding period applicable to the sales
thereof under Rule 144(k) under the Securities Act of 1933, as amended (the
"Securities Act") (or any successor provision), the undersigned registered owner
of this Security hereby certifies with respect to $____________ principal amount
of this Security presented or surrendered on the date hereof (the "Surrendered
Security") for registration of transfer, or for exchange where the Securities
issuable upon such transfer or exchange are to be registered in a name other
than that of the undersigned registered owner (each such transaction being a
"transfer"), that such transfer complies with the restrictive legend set forth
on the face of the Surrendered Security for the reason checked below:

                  [ ]      A transfer of the Surrendered Security is made to the
                           Company; or

                  [ ]      The transfer of the Surrendered Security complies
                           with Rule 144A under the U.S. Securities Act of 1933,
                           as amended (the "Securities Act"); or

                  [ ]      The transfer of the Surrendered Security is pursuant
                           to an effective registration statement under the
                           Securities Act, or

                  [ ]      The transfer of the Surrendered Security is pursuant
                           to another available exemption from the registration
                           requirement of the Securities Act,

and unless the box below is checked, the undersigned confirms that, to the
undersigned's knowledge, the Surrendered Security is not being transferred to an
"affiliate" of the Company as defined in Rule 144 under the Securities Act (an
"Affiliate").

                  [ ]      The transferee is an Affiliate of the Company.

Dated:
      ---------------                 ------------------------------------------

                                      ------------------------------------------
                                      Signature(s)

                                      Signature(s) must be guaranteed by an
                                      "eligible guarantor institution" meeting
                                      the requirements of the Registrar, which
                                      requirements include membership or
                                      participation in the Security Transfer
                                      Agent Medallion Program ("STAMP") or such
                                      other "signature guarantee program" as may
                                      be determined by the Securities registrar
                                      in addition to, or in substitution for,
                                      STAMP, all in accordance with the
                                      Securities Exchange Act of 1934, as
                                      amended.

                                       9

<PAGE>

                                CONVERSION NOTICE
To convert this Security into Common Stock of the Company, check the box:

To convert only part of this Security, state the principal amount to be
converted (which must be $1,000 or an integral multiple of $1,000):

$________________________

If you want the stock certificate made out in another person's name, fill in the
form below:

_________________________________________________________

_________________________________________________________
(Insert other person's social sec. or tax ID no.)

_________________________________________________________

_________________________________________________________

_________________________________________________________

_________________________________________________________

_________________________________________________________

_________________________________________________________
(Print or type other person's name, address and zip code)

[ ]      If you want the stock certificate made out in another person's name,
         you are required to complete and deliver to the Conversion Agent a duly
         completed Transfer Certificate (which is in the form of Exhibit C to
         the Indenture) as required thereby.

                                       10

<PAGE>

                            OPTION TO ELECT PURCHASE
                            UPON A CHANGE IN CONTROL
To:  Titan International, Inc.

[ ]      The undersigned registered owner of this Security hereby irrevocably
acknowledges receipt of a notice from the Company as to the occurrence of a
Change in Control with respect to the Company and requests and instructs the
Company to redeem the entire principal amount of this Security, or the portion
thereof (which is $1,000 or an integral multiple thereof) below designated, in
accordance with the terms of the Indenture referred to in this Security at the
Change in Control Purchase Price, including accrued interest, if any, up to, but
excluding, such date, to the registered Holder hereof.

Dated:
      ---------------                 ------------------------------------------

                                      ------------------------------------------
                                      Signature(s)

                                      Signature(s) must be guaranteed by a
                                      qualified guarantor institution with
                                      membership in an approved signature
                                      guarantee program pursuant to Rule 17Ad-15
                                      under the Securities Exchange Act of 1934.

                                      ------------------------------------------
                                      Signature Guaranty

Principal amount to be redeemed (in an integral multiple of $1,000, if less than
all):

---------------------------------------
NOTICE: The signature to the foregoing Election must correspond to the Name as
written upon the face of this Security in every particular, without alteration
or any change whatsoever.

                                       11

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