Loparex Announces August 2008 Surcharge Amount

  Willowbrook, IL, USA - In June of this year, Loparex announced that we would be initiating an index based surcharge that would be adjusted up or down by a factor 0.786 of the change in PPI (Producer Price Index for Intermediate Materials, Supplies and Components - ID Series: WPUSOP2000, www.bls.gov/ppi) value from the March 2008 baseline (184.1 at the time the surcharge was instituted) to the month of shipment.  During the month of August we announced good news that our raw material and energy costs were lower than anticipated. In order to maintain the level of transparency previously promised, Loparex reduced the weighted index factor from 0.786 to 0.653 to reflect our lower input costs, which in turn lowered the surcharge amount for the August 25^th – September 24^th time period. 

  Based on the latest PPI figures, there is additional good news this month in that the index has decreased by 1.14% on a month-to-month basis! We are all hopeful that the PPI will continue to trend downward over the next couple of months due to weakening global demand and declining energy prices.  For the September 25^th -October 24^th   timeframe we will continue using the 0.653 weighted value, which will result in a surcharge of 5.71% for all release liner products shipped during this period.