BioLab, a Chemtura Company, Increases Prices Over 30 Percent On Many Pool and Spa Products.LAWRENCEVILLE, Ga. -- BioLab Inc., a Chemtura Company (NYSE NYSE See: New York Stock Exchange : CEM CEM contagious equine metritis. CEM selective medium chocolate agar made with Eugon agar and 5% horse blood; used to cultivate Taylorella equigenitalis. ), has implemented price increases across all classes of trade, including the mass merchandiser, distributor and dealer channels, on a broad array of pool and spa products. Over the past three years, raw material, energy, transportation, packaging and other costs have risen dramatically. More specifically, published industry cost averages over the past 12 months have risen 29 percent for chlorine, 130 percent for caustic, and 115 percent for natural gas, and similar increases have been seen in petroleum-based raw materials over the past few months. The negative impact of these increases has been significantly greater than any efficiency gains BioLab has implemented over the past year. As a result of these dramatic cost increases, BioLab must implement price increases across its product line. These increases will vary by product, but in many cases the increase will exceed 30 percent. The price increase impacts products such as calcium hypochlorite calcium hypochlorite n. A white crystalline solid used as a bactericide, fungicide, and bleaching agent. , lithium hypochlorite Lithium hypochlorite: LiClO, is a colorless crystalline solid. It is used as a disinfectant for pools and a reagent for some chemical reactions. Safety Doses of 500 mg/kg cause clinical signs and significant mortality in rats. and chlorinated chlorinated /chlo·ri·nat·ed/ (klor´i-nat?ed) treated or charged with chlorine. chlorinated charged with chlorine. chlorinated acids some, e.g. isocyanurates. "We have aggressively streamlined our cost structure, but will not do anything to compromise the quality, consistency, and innovation on which this company's reputation is built," said John Peterson, who heads pool, spa and home care for BioLab. "As a result of continued escalating costs, these increases are being implemented immediately, or as soon as contracts allow, for the 2005/2006 pool season. BioLab considers these increases to be necessary, fair and consistent across all classes of trade. "BioLab will continue to provide our customers with the value and creativity that has been our hallmark during the company's 50-year history as a leader in this industry," Peterson added. About BioLab Based in Lawrenceville, Ga., BioLab, A Chemtura Company, supplies water treatment products for recreational and industrial applications on a global basis and specialty household consumer products in the U.S. BioLab is part of the Chemtura family, following the merger of former parent company Great Lakes Chemical Corporation Great Lakes Chemical Corporation is a chemical research, production, sales and distribution company that produces specialty chemicals used for polymers, fire suppressants and retardants, pool and spa water purification systems and various other applications. and Crompton Corporation Crompton Corporation, formerly Crompton and Knowles, is a chemical research, production, sales and distribution company headquartered in Middlebury, Connecticut. The company produces specialty chemicals used for polymers, fire suppressants and retardants, pool and spa water . Chemtura, with pro-forma 2004 sales of $3.7 billion, specializes in performance chemicals, crop protection and pool, spa and home care. Additional information concerning Chemtura is available at www.chemtura.com. |
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