Increses in Oil and Gasoline prices. - Also increases Resin prices and my cost.

[Scale Shipyard / WLU]

I have to say that I am not surprised to hear this but.

The fiberglass shops that produce my hulls for me have just notified me that my cost are going to rise, so this next week I will be in negotiations with them about the new pricing of my hulls.

This is probably going to result in higher catalog prices for a lot if not all of my submarines and hulls very soon. This comes at a time when business is very slow, Those people on the TV news keep telling us that the economy is picking up and all is well here in the USA, I am sure it is for someone way up the food chain, I am sure not seeing it.

I think that Matt and Skip are seeing the same thing. I know that Dave Manley is.

Well the purpose of this message is to let people out there know that althought I had no intention of raising any prices this year, I may have to, I will absorb as much of any increase as I can.

W.L. Upshaw
The Scale Shipyard

[thordesign]

Lee,

I was really dreading saying

Lee,

I was really dreading saying anything, so I am glad you posted first. Like you, my resin costs, glass costs, and Urethane costs are ALL going up due to the increase in fuel prices and energy costs. My glass distributor sent me a note a couple of weeks ago notifying me that my costs were going up 27% effective June 1, 2004. I have not raised prices in quite a while now either, but I think that all of us will be forced to raise prices to some degree. I will try and absorb as much as I can, but some increase will have to be passed along.



Edited By ThorDesign on 1084678643