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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory
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To: russwinter who started this subject1/15/2004 2:59:45 PM
From: russwinter  Read Replies (11) of 110194
 
I'm looking for help on something important, the question of the day really. It would be a big favor to me in fact. I suspect there is a flurry of new year price increases going into effect. I've spotted an example I'll post here, please post others? Think it would add a lot of "truth squad" value in real time to this thread.

from Masco (60% market share of home insulation market):

December 3, 2003

Re: Residential and Commercial Building Insulation Price Increase

Due to continued and un-recoverable cost increases for energy, labor, raw materials, transportation and packaging we will implement a price increase on Residential and Commercial Building Insulation in the US starting with shipments on Monday, January 5, 2004. New prices will go into effect on that date. There will be no order entry cut-off date.

Prices will be increased per the following schedule:

Residential and Commercial Products (reflects % increase to the current list price)

Fiberglass Residential and Commercial Building Insulation Batts and Rolls 7%
Fiberglass Manufactured Housing Building Insulation 7%

Loose Fill Products (reflects increase to net invoice price/bag) 5%

Throughout all of this year, we have initiated aggressive efforts to control manufacturing costs and offset them with productivity initiatives. These cost increases are of such a magnitude that they cannot be offset and absorbed. As we look into 2004, transportation costs are expected to increase as the new Federal Motor Carrier Safety Administration regulations regulating truck driver operation hours are implemented in January.
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