As previously announced, liner board (corrugated liner material) increased $50 per ton. This results in a corrugated material increase of 12% on Sheet Goods and 10% on Boxes.
Knox Box has been working diligently over the past several weeks to find ways to minimize this increase for you.
Price increases are never warmly received, but we are proud of how we have been able to accomplish in this instance.
Effective with all deliveries made after May 19th, Knox Box prices for corrugated products will be increased 8%.
Also effective with deliveries made after May 19th, Knox Box is taking additional actions to offer pricing relief, including…
- An increase in early payment discount of 1% to 2% for all payments received within 10 days of invoice date; and
- A discount for Make & Ship versus Warehoused items (more details below).
With early payment and Make & Ship discounts, the national 10-12% increase could be as little as 2-3% for Knox Box customers
If Knox Box holds inventory of any items for you, we may be able to convert those warehoused goods to Make & Ship items at a discounted price. Please expect your sales reps to have these conversations with you over the next few weeks.
Update to Terms & Conditions
For your convenience attached are our new Sales Terms & Conditions to support this new structure. Here are the significant changes:
- 60 Days of free storage will be included for all Warehoused items. We want to work with you to ensure that appropriate stock levels are set for each item at or below 60 days of quantity needed.
- Any Warehoused item held greater than 60 days will be subject to a warehousing/storage fee of 5% of the item value per month.
- Make & Ship items will be delivered when ready to ship. If this is not possible, those items will be subject to a Hold Order fee of 5% of the item value per day.
Also for your reference, attached are our Sales Terms & Conditions for Crating Products and Services.
As always, if you have any questions or concerns please do not hesitate to contact me or your Knox Box representative.