Newsletter 32- October 2008

"Keeping you Informed"

Prices

(1st Jan 06 = 100 units)

                             From 1st Oct  (1st Jan) Remarks:

                                           2008  (2008)

Merchant Bar                     189       (124)   Prices falling.

(Rounds, Flats, Angles etc)                      

Heavy sections                  212      (157)   An increase of

(Beams, Columns etc)                               £60/t from 1st

                                                                  October has been

                                                                  announced.

Hollow Sections                 194      (117)   Prices have fallen back

(Box, Tubes etc)                                       slightly.

Prices

Merchant bar prices are falling quickly, hollow sections are falling back slightly and heavy section prices are under a lot of pressure but, as yet, have not started to fall. Please keep talking to us as the situation is changing on a daily basis.

Supply

Mills are not busy and this is reflected by the cost prices. There are no supply problems and some mills are looking at reducing output by 15% in an attempt to stop prices falling.

Demand
September followed August which was very slow and we are all being swept along by the present economic turmoil. We do not see much improvement this side of Christmas.

Credit

As with the banking system our insurers are looking at reducing their risks and therefore all credit limits are under pressure. We will help wherever we can.

Tomrods Limited

Our new 7.5 tonne wagon arrived during August and we can now offer all our local customers a same day service.

Thank you for reading this and if you have any comments about Tomrods Ltd or our website please email the undersigned at johnt@tomrods.co.uk

John Thompson
Managing Director -