ERIC INDUSTRIES, INC. The Fantastic Plastic Envelope Company 5934 TREE SHADOW TRAIL, DALLAS, TX 75252-5104 (972)248-8009 * FAX (800)243-7318 * National WATS (800)657-2474
December 1, 2007 Dear Valued Customer:
In spite of reduced domestic demand and to the amazement of most prognosticators, the resin producers ( mostly oil companies ) appear to have fully implemented another 5% increase in November. In spite of claims that polyethylene feedstock prices are up, low inventories are usually the driving force behind any increase. October levels apparently were more heavily affected from domestic pre-buys and exports than originally thought. Consequently, we have no choice but to announce a corresponding 5% increase for all of our plastic envelope products, effective with any shipments on or after December 17th. As was the case last month, additional increases are still on the table. They are still indicating 6% increase December 1st and another 5% increase December 15th. However, December historically is a bad month to push through an increase and, with domestic demand being very weak right now, it is hard to imagine any more increases taking place before next year. As always, we appreciate your business and look forward to serving you in the future. Sincerely, |