Greif, Inc. Announces a $60 Per Ton Price Increase on All Uncoated Recycled Paperboard (URB) Grades and a minimum 7% Increase on Tube and Core and Protective Packaging Products

Rhea-AI Summary

Greif, Inc. (NYSE: GEF, GEF.B) has announced a price increase of $60 per ton on all grades of uncoated recycled paperboard, effective for new orders and shipments after November 8, 2021. Additionally, a minimum 7% increase on tube and core and protective packaging products will take effect for shipments after November 22, 2021. These price hikes respond to strong demand and rising costs in energy, transportation, labor, and other inputs. This announcement follows earlier price increases, indicating ongoing inflationary pressures in the industrial packaging sector.

Positive

• None.

Negative

• Price increases may result in reduced demand from customers sensitive to rising costs.
• Continued inflation in input costs may negatively impact profit margins if prices cannot be passed on effectively.

DELAWARE, Ohio, Oct. 12, 2021 /PRNewswire/ -- Greif, Inc. (NYSE: GEF, GEF.B), a global leader in industrial packaging products and services, announced today that it is implementing a $60 per ton price increase for all grades of uncoated recycled paperboard (URB) and a minimum 7.0 percent increase on all tube and core and protective packaging products. The uncoated recycled paperboard increase is effective today with new orders and shipments on and after November 8, 2021. The tube and core and protective packaging products increase is effective with shipments on and after November 22, 2021. These price increases are in addition to previously announced increases and are in response to strong demand across the Greif paperboard and converting network and increasing energy, transportation, labor and other input costs.

About Greif, Inc.

Greif is a global leader in industrial packaging products and services and is pursuing its vision: In industrial packaging, be the best performing customer service company in the world. The Company produces steel, plastic and fibre drums, intermediate bulk containers, reconditioned containers, flexible products, containerboard, uncoated recycled paperboard, coated recycled paperboard, tubes and cores and a diverse mix of specialty products. The Company also manufactures packaging accessories and provides filling, packaging and other services for a wide range of industries. In addition, Greif manages timber properties in the southeastern United States. The Company is strategically positioned in over 40 countries to serve global as well as regional customers. Additional information is on the Company's website at www.greif.com. 

Contacts:
Matt Eichmann
Office: 740–549–6067
Email: matt.eichmann@greif.com

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SOURCE Greif, Inc.

FAQ

What is the recent price increase announced by Greif, Inc. (GEF, GEF.B)?

Greif announced a $60 per ton price increase for uncoated recycled paperboard and a minimum 7% increase on tube and core and protective packaging products.

When do the new prices for Greif's products take effect?

The price increase for uncoated recycled paperboard takes effect on November 8, 2021, and for tube and core and protective packaging products on November 22, 2021.

What are the reasons behind Greif's price increases?

The price increases are due to strong demand and rising costs in energy, transportation, labor, and other inputs.

How might the price increases affect Greif's financial performance?

While price increases could enhance revenue, they may also reduce demand from cost-sensitive customers and compress profit margins if input costs continue to rise.