April 7, 2011

April 7, 2011

To All U.S. and Canadian Customers -

At AAF, our goal is to meet your clean air needs by providing industry-leading products and solutions with the best combination of quality and price. We work diligently to control the impact of the volatile materials and energy markets on our product costs, while maintaining product quality. However, the cost increases we have absorbed recently have outstripped our containment efforts. An example of this which is readily apparent is the increase in fuel costs.

Over the past several months we have seen the price of fuel jump significantly. Our freight carriers have been increasing fuel surcharges weekly. The increases have been based off of the U.S. Energy Information Administration’s "Weekly Retail On-Highway Diesel Prices" report. Regretfully, this increase has come to the point that it is no longer absorbable into our current price structure. After careful review, we have decided that the best way to handle this cost is to impose a fuel surcharge.

On April 18, 2011, AAF will implement a fuel surcharge to all customers where AAF is paying the freight. The surcharge will be based of the U.S. Energy Report and the percentage will be updated weekly.

If you have any questions, please contact your AAF Sales representative. As always, we appreciate your business and look forward to serving you in the future.

Greg Parlee
VP Sales, AF Americas