August 27, 2008
Hydro Aluminum Unit Announces Energy Surcharge Option
Hydro's Extrusion Americas unit has announced an energy surcharge option, effective with all orders placed after September 1, 2008.
"Although we have seen some easing in energy costs over the past few weeks, energy costs remain at unprecedented levels," commented Lynn Brown, senior vice president Extrusion Americas sales & marketing. "In this environment, we must increase our conversion pricing, and will offer an energy surcharge as one pricing option for our customers. We believe this surcharge, indexed to published DOE energy cost data, is a fair approach to dealing with this volatile situation. However, we realize that it will not suit all customers' circumstances."The energy surcharge will be revised at the beginning of each month, based on DOE cost data for natural gas, diesel fuel and industrial electric power, and will be applied to orders placed during the month with normal lead times.
Specific information regarding surcharge calculations is available on Hydro Extrusion America's Web site, www.hydro.com/northamerica.
Extrusion Americas is a unit of Norsk Hydro, a Fortune Global 500 supplier of aluminum and aluminum products. Based in Oslo, Norway, the company employs 25,000 in more than 30 countries, and has activities on six continents. Hydro is the world's third-largest aluminum supplier, the largest single manufacturer of primary metal and extruded aluminum products in Europe, and a leader in delivering innovative light metal solutions to the automotive and building industries worldwide.
In North America, Hydro provides aluminum solutions including supply sourcing, extrusion, finishing, and fabrication of components, as well as engineering and contract manufacturing services, for a variety of industries.