September 29, 2008
Dear Valued Customer,
We recently wrote to you describing the challenges that West American Rubber Company WARCO BILTRITE has faced this year and that we have successfully addressed these challenges and are moving forward. Not unlike many businesses in today’s challenging economic environment, needed changes have become evident and necessary in order to continue to provide the quality products and services you have become accustomed to from WARCO BILTRITE for nearly 100 years.
Moving forward, we are restructuring our sales organization so that all customer sales support will be accommodated through our two inside sales offices located in Orange, CA and Ripley, MS. Although we will no longer employ an outside sales force, we remain committed to providing the sales support and service you deserve.
Over the last several months especially, the unprecedented cost increases associated with raw materials and manufacturing have caused us to implement significant price increases/surcharges. Although these increases have been historically substantial, it has become evident that further price adjustments are necessary.
Effective October 01, 2008, the current raw material surcharge on shipments of all products will be 19.5% of the sales price. This surcharge will continue to appear on the invoice as a separate line item. Please be aware, we are currently developing a process to allow for more notice on future adjustments. Additionally, surcharge rates are posted on our website at www.warco.com/surcharge/.
We appreciate your business and continued support. Please contact our Inside Sales Departments should you have any questions.
Sincerely,
Oliver J. Hinkley
Executive Vice President Sales
West American Rubber Company, LLC
Biltrite Ripley Operations, LLC
