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SENASTE
Redeye was surprised by the magnitude of price inflation displayed in the Q1 numbers. Bong has made significant price increases but is still lagging the rapid surge in raw material costs. Gross margins took a serious hit and Bong’s top priority is to restore margins by Q3. Light Packaging posted double digit growth, which is clearly encouraging. We are mainly making adjustments to our near-term forecasts at this point. The impact on our valuation is minimal.
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