Schupan Aluminum Sales
4200 Davis Creek Ct., Kalamazoo, MI 49001
Phone: 269-382-3434, Toll-free: 800-531-3434
JUNE 2009

THE ECONOMY

If you are receiving this publication it is safe to say the economy is having some impact on your business. Whether it is from a sharp decline in sales, customers closing their doors, or trying to turn your higher cost inventory, this sharp downturn in business has affected everyone.


The past six months have been a very trying time for any business involved with manufacturing. We saw a historic run of the commodities market's which put virtually every metal at all time highs.

The aluminum market went from a high of $1.49 lb for ingot in July of 2008 to a low of $.64 lb in Feb of 2009 (London Metals Exchange: Mid-West spot). This presents a significant problem for anyone who carries a large amount of inventory, as it puts a premium on "turning your products".

The ride down in the aluminum market has not been without pain. This "nosedive" in the aluminum market has put every distributor in a vulnerable position. As with each passing month, inventories are worth less than the month before.

Warehouse

End of the Tunnel

Schupan Aluminum & Plastic Sales services the entire Mid-West with aluminum and plastic mill products. The good news is we are seeing a light at the end of the tunnel as it relates to overall activity (quotes and orders). Metal prices have stabilized over the last few months and have had modest increases compared to their lows. (Current London Metals Exchange: Mid-West spot is at $.73 lb)

Our customer base has been seeing more activity in the last few months-whether it be from an increase in orders or quoting activity. In addition, end use customers are seeing substantially lower commodity prices- decreasing the overall cost of their goods and services. The road to economic recovery is going to be a marathon- not a sprint, but we are seeing some signs of positive activity.

Although I don't feel we will see the record commodity prices seen in July of 2008 for sometime, I do believe we have found some market stabilization for the time being.

Market

Commitment to YOU

Being a family owned, privately held company we have the ability to be patient in this tough economy. We have a long term view in the way we run our business and treat our employees.

We feel it is imperative that we continue to offer the most competitive pricing, service, and quality that our customers have relied on for 41 years.

You have our word that our products and services will continue to be priced fairly, competitively, and most importantly:

A commitment to help YOU secure any job you can!

We invite you to learn more about the ways we can better service you at www.schupan.com

 
Schupan Sales Team
Schupan Sales team

spaz NOW CARRYING A FULL LINE OF PLASTICS!

Metal Service Center Institute