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Steel Drum Pricing to Increase by 13.5% on
November 1, 2005
Raw Materials
and
Energy costs surge in wake of
Hurricane damage.
Many businesses in America
have felt the impact of the devastation created by hurricanes Katrina and
Rita. Even though Myers Container is located on the West Coast we have
not been isolated from the dramatic cost implications of these disasters.
The supply disruption, combined with normal world events, such as the
emergence of China, higher energy costs and shortages in raw materials have
created sourcing "challenges" for all raw materials such as steel, rings,
fittings, transportation, coatings, fuel, energy, etc.
Steel mills are placing
customers on allocation and extending lead times by an
additional 30 to 50 days. Steel pricing is based on the price in
effect at the time delivery from our suppliers which creates a unique
challenge to stay ahead of announced increases. Myers Container is in good standing with our suppliers and
we will be first in line for steel -- but at a significant premium.
Myers Container continues
to receive unprecedented increases in energy, outbound freight, inbound
freight, coatings,
etc. Products and services continue to escalate with little or no advanced warning.
Some of the items you
purchase from Myers Container will necessitate pricing in effect at the time
of delivery. Our Customer Service Center can confirm your pricing at
the time of order placement. Steel drum pricing will increase by 13.5%
on November 1, 2005.
Please contact your Myers Container/CMS Account Manager to review your
specific pricing.
Website:
www.myerscontainer.com
Customer Service Center: 800.406.9377
Thanks for your support.
Myers Container Corporation/CMS, LLC
Kyle R. Stavig, Vice President, Sales &
Marketing
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