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Alpha - The Dramatic Volatility of the Cost of Metals Continues to Challenge the Electronics Assembly Industry(ENP Newswire Via Acquire Media NewsEdge) ENP Newswire - 29 March 2011 Release date- 28032011 - South Plainfield, NJ - The unprecedented global demand for commodities, including metals, such as Tin and Silver has driven up cost of metals to all time highs. There is additional price pressure created by investors relying, particularly on Silver, as an alternative investment choice to shield their investments from perceived higher risk alternatives. Alpha is sensitive to the dramatic impact escalating metal costs have on the electronics assembly industry. Cost of Metals is a critical driver to Alpha's entire business model and effectively managing this issue is at the very center of our organization's long term viability. In May 2005, Alpha introduced Cost of Metals surcharges as our business was no longer able to absorb the severe increases in this critical raw material set to our product technologies. These metal surcharges are based on a series of Tiers linked to bands of Silver and Tin cost levels. In early March silver surged to over $36.00 a troy ounce. Since there is no way to reliably predict the trends of metal prices, as the last six years have demonstrated, this surcharge program was designed to minimize daily fluctuations for our customers and allow reduced costs when the costs of metals return to more traditional levels. In March 2007, Alpha introduced Tin metal surcharges. At that time tin had surged from $7,000 metric ton to $14,000 per metric ton. Today's levels are over $28,000 per metric ton. These extensive price increases have forced Alpha to share the increased cost of our Raw Materials with our entire channel to market. The total impact of Silver and Tin cost increases, as well as the inter-day price swings, have a significant impact on our business. In order to maintain our current levels of technical support and the research and development that our customers expect, we will continue to implement the Silver and Tin surcharges. For more information about Alpha, go to alpha.cooksonelectronics.com About Alpha Alpha, a business unit of Cookson Electronics, is the global leader in the development, manufacturing and sales of innovative materials used in electronic assembly processes. With a unique worldwide presence of over 30 locations throughout the Americas, Europe and the Asia/Pacific region, Alpha supplies a full line of ALPHA Solder Paste, Stencils, Squeegee Blades, Stencil & PCB Cleaners, Bar Solder, Cored Wire Solder, Wave Soldering Fluxes, SMD Adhesives and a line of ALPHA Argomax Ag sinter paste. Alpha's Cookson Electronics Semiconductor Packaging unit is the leader in EMC and polymeric materials for semiconductor packaging. Alpha also offers product technologies for the Photovoltaic market to help lower production costs and increase throughput and yield. Since its founding in 1872, Cookson Electronics has been committed to developing and manufacturing the highest quality soldering materials. That tradition continues today through its innovative products, including its line of environmentally friendly, lead-free electronic assembly products. For more information, visit www.alpha.cooksonelectronics.com. Contact: Mike Previti Tel: (678) 475-6897 Email: [email protected] [Editorial queries for this story should be sent to [email protected]] ((Comments on this story may be sent to [email protected])) (c) 2011 Electronic News Publishing - |