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| Comex Copper Surcharge based on Comex Prices |
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The Comex base copper surcharge is to assist in offsetting hte significant
capital cost increases caused by the high level of Comex copper prices and
their affect on the cost of producing all copper and copper alloy products.
This surcharge became effective June 5, 2006 and applies to all products
produced at Revere. |
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The Comex base copper surcharge is in effect when the previous month's Comex
average exceeds $1.50/lb. The surcharge is calculated using the difference
between the previous month's Comex average price for copper and $1.50/lb. This
ammount is multipled by 2% to determine the surcharge in $/lb. |
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The graph below shows the monthly Comex spot average for each month of the
current year. |
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For October 2008 Previous month (September) Comex average = $3.14 $3.14 – $1.50 = $1.64 $1.64 @ 2% = $0.0328/lb October surcharge = $0.0328/lb |
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