Email 

To: Hans Gustafson 
Operations Director 

From: Nigel Simmons 
Purchasing Manager 

Date: 27th December 2018 

Subject: Bulk purchase of raw materials 

_______________________________________________________________________ 

Hans, 

As you know we are hoping to save money on our raw material purchases in the next few months. This can be achieved by buying in bulk rather than accepting just in time deliveries. Consequently, I have placed an order for 8000 kg of Polyvinylchloride at $1.02/kg and 2500 kg of Polybutylene Terephthalate at $2.10/kg saving $0.15 and $0.10 per kg respectively. This is due to be delivered on 4th January 2018. Based on forecast usage I expect further bulk deliveries to be required in June 2019. 

In response to your previous question, I can confirm that recycled Polybutylene Terephthalate is available at $2.45/kg but I do not believe the appropriate quality can be sustained for all deliveries. Therefore, even though it could be an environmental improvement, I am not pursuing this as an option for raw material sourcing. Consequently, I have not investigated the availability of recycled PVC. 

Please ensure that suitable bulk storage facilities are made available. 

Regards 
Nigel 

Purchasing Manager 
APEC Kolath 
Plot No. 38 Kunnapattu Road 
Kunnapattu 
Tamil Nadu 6023105 
India 

Tel: +91-44-3524-0060 
Email: N.Simmons@APECKolath.co.in 
Web: www.APECKolath.co.in