Simultaneous implementation of the commodity surcharge
BOSTON – June 22, 2022 – Cabot Corporation (NYSE: CBT) will increase the prices of all carbon black products sold by its Reinforcement Materials segment in the Europe, Middle East and Africa (EMEA) region, effective immediately. shipments from August 1, 2022, or as customer contracts allow. These products include BLACK PEARLS®, CRX®, ENDURE®, PROPEL®, REGAL®, STERLING®, SPHERON® and VULCAN® carbon black grades from Cabot’s tire and industrial product lines. The price increase will vary by grade and source.
This price increase is necessary due to a significantly higher demand for these products and to recover the increased costs necessary for the smooth and efficient operation of operations, logistics, supply chain and the packaging in the region.
Cabot will also increase the raw material surcharge applied to all carbon black products sold by its Reinforcement Materials segment in EMEA, effective on all shipments on or after August 1, 2022, or to the extent customer contracts allow it. This adjustment is necessary to reflect ongoing changes in EMEA energy markets, which impact raw material availability, quality and logistics costs.
In addition, due to the extraordinary increase in working capital due to high raw material and natural gas costs, extended payment terms to EMEA reinforcement customers will be limited to a maximum of thirty days, counting from all shipments beginning August 1, 2022, or as customer contracts permit.
Together, these actions will enable Cabot to remain a reliable, long-term supplier of high quality products and services. It will also allow Cabot to continue to invest in the development of new products and applications to support its customers.
ABOUT THE CABOT COMPANY
Cabot Corporation (NYSE: CBT) is a global specialty chemicals and performance materials company, headquartered in Boston, Massachusetts. The company is a leading supplier of rubber and specialty carbons, engineered elastomer composites, inkjet colorants, masterbatches and conductive compounds, fumed silica and airgel. For more information about Cabot, please visit the company’s website at cabotcorp.com.
# # #
Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995: Statements in this press release about the company that are not statements of historical fact are forward-looking statements and are subject to risks and uncertainties. inherent in projecting future conditions, events and results . For a discussion of risks and uncertainties that could cause results to differ materially from those expressed in the forward-looking statements, see “Risk Factors” in the Company’s Annual Report on Form 10-K.