"They" have been saying that for several years now, John. I remember a few
years back here someone saying he took out a loan from the bank to buy
$?,??? to "buy up while prices are cheap". Hasn't happened yet as mgf'ing
techinques improve and sales are high and competitive.

Don

" wrote:

Fuji to Boost Recordable CD Prices 10 - 15 Pct
By REUTERS

Published: November 6, 2003

NEW YORK (Reuters) - The U.S. unit of Japan's Fuji Photo Film Co. Ltd.
(4901.T) said it plans to raise prices on its recordable compact discs
by 10-15 percent, citing supply shortages because of an increased
demand for DVD discs.

The price rise in CD-R and CD-RW media by Fuji Photo Film U.S.A., best
known for its camera film, follows similar announcements in recent
months from rivals Memorex Products Inc. and Maxell Corp. of America.

Consumers typically buy blank CDs to record or ``burn'' personalized
music or video discs or to store private data using a computer. On
average, they can buy 50 blank disks at electronics chain stores for
less than $15, or about 33 cents a piece. Prices on certain retail Web
sites can be much lower.

A Fuji representative declined to detail the price levels at which
Fuji sells its CDs. The Valhalla, New York-based company said that
over the past year, production costs for petroleum-based plastics used
to make CDs, as well as transportation costs, have risen.

``In addition, escalating demand of DVD media has shifted
manufacturing production from CD-R (CD recordable) to DVD production,
causing a leveling-off of supply,'' Fuji said in a statement.

Growth in sales of computers and standalone devices with built-in DVD
burners have spurred a boom in demand for blank DVD discs. Moreover,
the popularity of CDs have slipped for those music lovers who
increasingly store tunes on hard drive-based devices such as Apple
Computer Corp.'s popular (AAPL.O) iPod portable player.

The new prices will take effect in January 2004, Fuji said.

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