Page 40 - The Inside Scoop Archive

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difference in impact that the three nominated price incrases have on your bottom line.

80 gauge 20" x 5,500' = 35.2 lbs per roll x $ 0.15 ( the 3 nominated increases ) = $ 5.28 for 5,500' increase

Stratos 51 gauge 20" x 9,000' = 36.7 lbs per roll x $ 0.15 ( the 3 nominated increases ) = $ 5.51 for 9,000'
or $ 3.37 for 5,500'.

If you are using 10 pallets of machine film a month, or 120 pallets a year ( 40 rolls plt x 120 plts = 4,800
rolls ), and are still using 80 gauge 20" x 5,500', you will be paying $ 25,344.00 more for film than you are
currently paying. But if you have already changed to the new technology Stratos ( trademark) machine film,
you will only be paying $ 16,176.00 for the same amount of film as the 80 gauge. The impact of changing to
a better performing Stratos film is $ 9,168.00 reduction on the increases. The 3 nominated increase would
have a 36% lesser impact to you than the company still using 80 gauge film.

But here is the real kicker, by changing to PX2 or Stratos from your 70 or 80 gauge film, you will most
likely be paying less for your film after the 3 nominated increases than you are paying now. For you, the
increases will have never happened.

My phone number is 800-241-7940 and my email is billjackson@npsinc.net . Give me a call and let's tell
these increases to go away.

Footnote: The truth is that these increase and more are on the way. Oil topped $ 90.00 a
barrel this week and is being talked at $ 100.00 a barrel the first quarter of 2008. The Eruo is
$ 1.43 to the dollar which puts everything in the US on "sale" to much of the world. There are
a lot of things we cannot control, but we can reduce our spend for stretch film by using thinner
films that are stronger and give the same performance while reducing cost.

file://C:\Documents and Settings\William Jackson\My Documents\Northwoods Software\... 1/26/2008