Fair Lawn, N.J. — Maxell Corp. of America said today it believes price increases are inevitable on all magnetic media products in its consumer, data storage and professional divisions due to rising prices for raw materials and other distribution and supply-chain cost increases.
“We are in an extremely competitive business environment that has been very beneficial to our customers with respect to product pricing,” said Don Patrican, executive VP. “However, raw materials costs continue to escalate, as do other costs of doing business. These economic realities have forced us to re-examine our magnetic-media pricing models to ensure the strategic long-term stability of our company. The specifics regarding the implementation of the revised pricing policy are in the final stages of development.”
Maxell said anticipated price increases will affect consumer products, such as VHS and camcorder tape; computer media products, such as SuperDLTtape and LTO Ultrium tape; and professional-use tape.