Price increase at Nexans Germany
Information letter regarding price increase at Nexans Germany
Dear Sir or Madam,
After we have already faced a significant cost increase for most raw materials since the beginning of 2007, this situation has changed for the worse again during the first half of 2008. For the coming months we have to expect two-digit price increases for most plastics.
Main driver in this situation is the oil but also materials such as steel, zinc etc. show the same tendency. Rising costs of labor due to the high inflation rate and increasing fees such as highway toll add to this situation.
The share of plastics within the entire costs of our products varies between 15 % and 50 % and makes it impossible for us to compensate this evolution by internal rationalization activities completely like we succeeded to do for so many months.
Due to this complex situation we are forced to increase our prices for various cable types by approx. 5 % up to 15 %. You will shortly receive details from your dedicated sales partner.
We kindly ask for your understanding for this unavoidable step and hope to keep our trustful and cooperative relationship.
Nexans Deutschland Industries GmbH & Co. KG
- Executive Board -
Dr. Francis Krähenbühl Christof Barklage
About Nexans Germany
With energy as the basis of its development, Nexans, the worldwide leader in the cable industry, offers an extensive range of cables and cabling systems. The Group is a global player in the infrastructure, industry, building and Local Area Network markets. Nexans addresses a series of market segments from energy, transport and telecom networks to shipbuilding, oil and gas, nuclear power, automotive, electronics, aeronautics, handling and automation. With an industrial presence in more than 30 countries and commercial activities worldwide, Nexans employs 28,000 people and had sales in 2007 of 7.4 billion euros. Nexans is listed on NSYE Euronext Paris, compartment A. More information on