| 4 February 2009 INEOS CHLORVINYLS TO REVIEW PRICING MECHANISM FOR CONTRACT PVC CUSTOMERSINEOS ChlorVinyls has today announced it is to review its pricing mechanisms for contracted PVC customers across Europe. The Company has taken the move in an effort to counterbalance misleading PVC market reports and to provide contract customers with more accurate and up-to-date information. Comments Geir Tuft, PVC Business Manager for INEOS ChlorVinyls, “Market reports have become increasingly speculative in recent weeks, which is undermining consumer confidence across the PVC sector. Our own customers are telling us that they find it very difficult to forecast accurately, and to plan their business, when market reports vary so widely. “To illustrate our point, there was a variance of almost €100 on PVC prices quoted across the range of market sources in January alone. We believe there also to be inaccuracies on reported outputs across the sector. Where such sources form the basis of pricing mechanisms, it becomes clear that confusion will arise. “As one of Europe's leading PVC producers, our extensive experience in the market allows us to form an up-to-the minute view of how the market is performing and more importantly to ensure that our prices accurately reflect market trends.” INEOS ChlorVinyls has started the process to review its PVC pricing mechanism with contracted customers on a case-by-case basis, which will continue over the coming weeks. Concludes Geir: “To put it simply, we want all of our contract customers to clearly understand the basis upon which our PVC prices are established and to work with them to ensure that their own business forecasts are realistic.” ENDS For further information please contact the INEOS ChlorVinyls Press Office:
|
