One Southwire Drive
Carrollton, GA 30119, USA
Telephone (770) 832-4242
www.southwire.com
______________________________________________________________________________________
June 17, 2008
SUBJECT: Price Change Effective July, 1 2008
Dear Valued Southwire OEM Customer:
We are continuing to experience significant, continued, and dramatic cost increases that affect the production inputs and delivery costs of all products - copper rod, aluminum rod, and wire and cable. Since November 2007, the cost of diesel fuel has risen 36%, natural gas has risen 69%, and insulating compounds increased an average of 20%.
In spite of efficiency improvement efforts, our cost positions have become such an issue that we can no longer absorb the entire impact of these increases.
Your sales representative will work on the specific individual impact to you. We expect rod premiums to increase $.01 to $.02 per pound, while wire and cable prices increase 3% to 5%.
Thank you for your trust in Southwire as your OEM supplier. We value our relationship, appreciate your business, and look forward to long-term mutual success.
Sincerely,
Buddy Williams
Vice President, Sales
OEM Division
