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Sun Chemical Latin America Inks Raises Prices on Inks and Coatings
Fort Lauderdale, FL
- May 09, 2005 -- Sun Chemical has announced price increases averaging 9 percent on all inks and coatings starting June 1. These increases include all packaging inks and coatings sold in South America, Mexico, Caribbean, and Central America.
There continues to be a steady rise in the cost of raw materials due to rising oil prices and related petrochemicals which are key ingredients in many ink and coating products. Other leading factors contributing to rising costs have been environmental compliance, and freight. In addition, there also are shortages of some key raw materials due to production cutbacks, increased demand worldwide and lack of investment in new industry capacity for production of several key raw material sectors such as resins and acrylic acid-based derivatives.
"Sun Chemical has improved its productivity through programs such as Six Sigma and continued to make capital investments to improve efficiencies," said Greg Lawson, president, Sun Chemical Latin America. "However, the announced price increases only partially offset the impact of rising costs, which are rising faster than our ability to absorb them to such a level that we cannot sustain an acceptable minimum level of return on our capital investment."
About Sun Chemical
Sun Chemical, the world’s largest producer of printing inks and pigments, is a leading provider of materials to packaging, publication, coatings, plastics, cosmetics, and other industrial markets. With annual sales approaching $4 billion, Sun Chemical has over 12,000 employees supporting customers around the world. The Sun Chemical Group of companies includes such well-known names as Coates Lorilleux, Gibbon, Hartmann, Kohl & Madden, Swale, Usher-Walker, Rycoline and US Ink.
Sun Chemical Corporation in the U.S. and Sun Chemical Limited in England are subsidiaries of Sun Chemical Group B.V., the Netherlands. Sun Chemical has headquarters in Parsippany, New Jersey, U.S.A.; Watford, England; and Weesp, the Netherlands. For more information, please visit our Web site at www.sunchemical.com.
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