Price Increase Effective July 15, 2017

June 15, 2017

Dear Valued Customer –

Thank you for your ongoing business relationship with the Hedwin Division of Zacros America.

Since May of 2016, we have held our prices constant.  Unfortunately, changes in resin and corrugated pricing have continued to increase, and we must now pass on these increases to our customers.

In evaluating this material increase, we have considered the published indices for each commodity.

Quarterly resin indices for LDPE and LLDPE, specifically the Chemical Data Index (CDI), have increased as much as $0.117 per pound since our last increase, which was based on the 1Q2016 marker.   We have been able to absorb a bit of the costs, and at this time are passing on a $0.065 per pound resin increase.

Linerboard has increased by $90 per ton over the past year, or 14.6%, according to the Pulp and Paper Index (PPI).   Corrugated increases have a far larger impact on our Assembled CUBITAINER® products than on our Knocked-Down CUBITAINER® and accessory products.

Effective July 15th 2017 the Hedwin Division of Zacros America will increase prices for our CUBITAINER® product lines as outlined above.

Note:  If you currently have a signed sales agreement with Zacros America/Hedwin Division, this particular price increase will be implemented per the terms of our negotiated sales agreement.  If this is the case, this letter is for informational purposes only.

All orders will be priced using the price in effect on the day the order was received.

Please contact your Zacros America Hedwin Division Customer Service Representative should you have any questions regarding this price increase announcement.

Sincerely,

Yasuo Iwasa
President of Hedwin Division
Executive Vice President of Zacros America