Kawneer to Increase Prices on North American
February 7, 2011
Effective February 28, 2011, Kawneer Co. Inc., based in Norcross, Ga., will increase prices by approximately 6 percent on North American customer orders. A letter was sent to customers January 31 informing them of the intended price increase.
In a statement provided to USGNN.com, Bob Leyland, Kawneer's director of sales, says, "During the past year, Kawneer has continued to incur increases in aluminum cost as well as other material costs. We have been very focused on productivity improvements to offset the cost increases we've experienced, but achieving these improvements alone is not enough to offset the continued escalation of material prices that have occurred. As a result, effective February 28, 2011 Kawneer will be increasing prices to our North American customers by approximately 6 percent."
According to the letter, orders received before February 28 will be invoiced at the current pricing level, provided all information required to produce the order is complete and it is released for immediate production. Orders received on or after February 28 will be subject to the price increase. Projects quoted prior to February 28 will be honored per the 60 day terms indicated on the quotation.
Aluminum prices have increased steadily over the past few months.
According to the Bureau of Labor Statistics' producer price indexes
(PPI) for the net output of selected industries and their products,
not seasonally adjusted, extruded aluminum rod, bar, and other
extruded shapes rose from 181.2 in August 2010 to 195.9 in December
2010. Primary (aluminum) products increased from 176.1 in August
2010 to 190.8 in December.