Last week I went to the Certainteed Roofing Counsel Advisory Meeting. A couple dozen local Sellect contractors attended.
Present was the regional rep, Mr. Jay Butch, and a handfull of managers/supervisors from the Shakopee plant.
We talked about raising shingle costs more than any other topic. Axiom has mentioned the key reason why the price has skyrocketed from what we were told from the source.
One of the fellow roofers asked why they don’t buy from different asphalt suppliers. The manager of operations said that when the supplier(s) (two total) call days prior to a delivery they tell them the price and thats it. They can’t shop around or say no because they only have a couple sources and if they say no they don’t get any asphalt and it goes to another shingle manufacturing plant or an asphalt road company. He said they were given more price increases than they gave to the suppliers last year. It was close to every couple weeks for increases in asphalt.
Like Axiom mentioned on a previous thread with the new stimulous project(s) projected to fix up many roads across the US and more than likely build more roads to nowhere the price of asphalt will go up again in 2009.
The idea is the shingles will go up again this year but hopefully not like they did last year. There will be another chance of a shingle shortage this Summer.
Certainteed Shakopee since Dec 1st has been running 24 hours a day and for the first time in history has rented 13 acres from the race track to store shingles.
My guess is if new construction stays down and there is no more hail storms they should be ok but I really doubt it won’t hail in the regions that CT Shakopee delivers to. Shokopee delivers as far south as MO, West to the Dakotas, and East to IL.