Pilkington Issues Rebalancing Statement, Breaks with NAGS Pricing

In a letter sent to its customers, Pilkington said that it believes the NAGS rebalancing set for February 28 will cause unnecessary confusion and some disruption to an already difficult business climate." The glass manufacturer said it believes the most accurate representation of market pricing is "derived from its own manufacturing cost and not NAGS' new methodology."

So Pilkington is not following or implementing the scheduled NAGS February 28, 2005 re-balance list price as a mechanism to establish customer pricing. The basis for establishing customer pricing will remain unchanged, the company said. "Pilkington's goal is to make sure our customer's obtain the best quality at the most competitive prices.

Pilkington will implement a net priced part list individualized for each customer to ensure our partners receive the benefits of our global manufacturing cost base."

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