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CHANGES IN PRICE LIST 2022 COMMUNICATION

16/03/2022
Klinker Natural Collection

Dear Customer,

The war in Ukraine has triggered a humanitarian crisis that we all regret and has stressed a price crisis, linked to energy, that we all suffer. The huge and volatile increase in gas and electricity costs, the rise in the price of clay, a basic raw material, and in other materials such as packaging and glazes, have a strong impact on costs.

Our price list for 2022 was calculated to guarantee its stability throughout the year and was based on price levels of the gas and all other inputs that have been surpassed by far. We are sure that you will understand that, for all these reasons and in order to give you the best service, we are forced to apply an energy surcharge to our prices for all shipments as of April 1st. This surcharge will be applied in the form of a percentage increase on the sale prices that we are currently applying to you. The existing price volatility prevents establishing a fixed percentage for the entire year, since it could soon become outdated or be excessive for you. That is the reason why this surcharge will be reviewed monthly (upwards or downwards) and will be withdrawn when the situation stabilizes.

On the 25th of every month, depending on the evolution of the average price of gas for the month (Average Price TTF), you we will notified of the surcharge % for shipments of the entire following month. We will update it monthly on a notice on our website at https://gresaragon.com/en/blog/news/

The surcharge will be calculated according to the following formula:

% Monthly Energy Surcharge = 0.256% x (TTF month average – 70)

Example: if TTF month average = €140/MWh;
then the % Monthly Energy Surcharge = 0.256% x (140 – 70) = 17.92%

We regret the inconvenience that this measure may cause. And being an exceptional and temporary situation, for reasons beyond our control, which we hope and wish will disappear soon, we appreciate your understanding.

All Gres Aragón staff is at your service.

Thanking you for your trust, yours sincerely
The Company Management