Citing the increased cost of fuel and raw material needed to make laminate flooring, the maker of Pergo and Uniboard said it will increase prices on those two lines by 5 percent beginning May 15.
“Over the past five years, we have taken extraordinary steps to reduce the
costs of producing laminate flooring and have passed along the savings to our
customers,” explained George Kelley, president and CEO of Pfleiderer’s North America Flooring Business Unit, which includes
Pergo and Uniboard. “However, production
and distribution costs now have risen so dramatically that we have no choice
but to share the burden of these increases with our retail partners.”
specifically noted a recent jump in the cost of woodchips and methanol/resin –
which has boosted the cost of MDF/HDF – as key contributing factors to the
pending price increase.
is no good time for a price increase – especially during the housing crisis and
economic recession that we are experiencing in the flooring industry,”
continued Kelley. “However, we cannot
continue to absorb these extraordinary costs and maintain the acceptable
margins that shareholders of Pfleiderer demand and expect.”
Pergo to hike prices: "We have no choice"
April 1, 2008