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Alcan Cable Announces Price Increase on Aluminum Alloy Rod and Strip Products Effective November 1, 2010

  9/23/2010

To Our Valued Customers:

This letter is to inform you that Alcan Cable will implement a price increase on all
aluminum alloy rod and strip products effective 1 November 2010. All quotes and bids will be priced at the new levels beginning Monday, 1 November 2010. All contractual obligations and pricing commitments in place for the balance of 2010 will be honored.

While premiums have either dropped or held stable in recent years, the costs associated with producing high quality alloy rod and strip have continued to rise. As a result, we are unable to further offset these rising costs.

The price increases for alloy rod are shown below:

1xxx series (except AA1188*) + US$0.020 / pound
2xxx series + US$0.035 / pound
5xxx series + US$0.030 / pound
6xxx series + US$0.020 / pound
8xxx series + US$0.020 / pound

*A shortage of high purity metal forced premiums of AA1188 up US$0.080 per pound in August 2010. We are monitoring this situation on an ongoing basis.

Price increases for aluminum strip are as follows:

AA1350 + US$0.030 / pound
AA5052 + US$0.045 / pound
AA5154A + US$0.045 / pound

We thank all of our customers for their support and loyalty. Please be assured of our ongoing commitment to product quality and customer service in a very challenging business environment.

Should you have any questions regarding this announcement, please contact your local Alcan Sales Representative.


Sincerely,



Lou Vulcano
Vice President, Utility and Rod & Strip

Sales and Support Locator



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