NAPERVILLE, Ill., May 19, 2008 (PRIME NEWSWIRE) -- Nalco Company (NYSE:NLC) has announced global price increases of 10 to 15 percent for its colloidal technologies customers on a broad range of colloidal silica and related products that are part of the Company's customer solution packages.
The price increases are driven by continuing significant escalation in the cost of raw materials, energy and freight, due to historically high oil and chemical raw material prices. Nalco's sales engineers will discuss the specific impacts of these increases with individual customers.
"In the past months, we have seen extraordinary cost increases in key raw materials, driven by energy costs and global demand for basic commodities," said Joe Kosiek Strategic Business Manager, Colloidal Technologies Group. "The prices for crude oil and natural gas have significantly impacted the cost of raw materials, packaging, conversion costs and freight for our products. Global demand and other market forces are also driving unprecedented cost increases for basic raw materials used in the manufacture of our products."
These increases are part of an ongoing process to keep prices in line with product and freight costs for Nalco programs and will allow the Company to continue to invest in research, manufacturing process improvements and new product development to enhance the value Nalco creates for customers.
The Colloidal Technologies Group manufactures colloidal silica, specialty sols and complementary process chemicals used in various industries including precision investment casting of metal parts, polishing of silicon wafers, memory disks and other electronic substrates, vacuum-formed shapes and high temperature refractories, catalyst supports, wine and juice clarification and specialty coatings.
About Nalco
Nalco is the world's leading water treatment and process improvement company, delivering significant environmental, social and economic performance benefits to our customers. We help our customers reduce energy, water and other natural resource consumption, enhance air quality, minimize environmental releases and improve productivity and end products while boosting the bottom line. Together our comprehensive solutions contribute to the sustainable development of customer operations. More than 11,500 Nalco employees operate in 130 countries supported by a comprehensive network of manufacturing facilities, sales offices and research centers to serve a broad range of end markets. In 2007, Nalco achieved sales of more than $3.9 billion. For more information visit www.nalco.com.
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This news release includes forward-looking statements, reflecting current analysis and expectations, based on what are believed to be reasonable assumptions. Forward-looking statements may involve known and unknown risks, uncertainties and other factors, which may cause the actual results to differ materially from those projected, stated or implied, depending on many factors, including, without limitation: ability to generate cash, ability to raise capital, ability to refinance, the result of the pursuit of strategic alternatives, ability to execute work process redesign and reduce costs, ability to execute price increases, business climate, business performance, economic and competitive uncertainties, higher manufacturing costs, reduced level of customer orders, changes in strategies, risks in developing new products and technologies, environmental and safety regulations and clean-up costs, foreign exchange rates, the impact of changes in the regulation or value of pension fund assets and liabilities, changes in generally accepted accounting principles, adverse legal and regulatory developments, including increases in the number or financial exposures of claims, lawsuits, settlements or judgments, or the inability to eliminate or reduce such financial exposures by collecting indemnity payments from insurers, the impact of increased accruals and reserves for such exposures, weather-related factors, and adverse changes in economic and political climates around the world, including terrorism and international hostilities, and other risk factors identified by the Company. Accordingly, there can be no assurance that the Company will meet future results, performance or achievements expressed or implied by such forward-looking statements. This paragraph is included to provide safe harbor for forward-looking statements, which are not generally required to be publicly revised as circumstances change, and which the Company does not intend to update.