RE:RE:RE:RE:RE:Lower torch price…Cant answer that but you make assumption that theres no orders yet while we all know its imminent. No material change on any contract was announced so one should assume that imminently we'll have a tsunami of orders. Be patient olderguy, trust it or not but if uncomfortable, you should revise your invested capital here . glta
Olderguy1 wrote: So, why do you think we don't have an order yet?
ArnoldLayne wrote: US Navy sure had PYR lower their price for their waste management system ? How much that contract worth again ? For what ? A plasma torch dumpster ? Dont you think the price range was not determined beforehand all the testing / validating time and money consuming must do list ? You think now they play with the price they would have already agreed on. I can see a first mover advantage give to first to sign a purchase order. It benefit PYR so this rebate for the first makes sense. But in no way you pretend its happening imo.
Olderguy1 wrote: I understand that the all-in price for a onesy twosy torch order would be about $3 million per torch, but not for an order of a 100 or so. Bear in mind that these customers have very experienced purchasing and engineering departments. They are likely to have disected the material and labor content of a torch and have formulated an aprox. cost of manufacturing torches in the quantity they are considering purchasing. Also, they will be able to calculate the cost of annual maintenance given that all torches at a facility can be serviced in the same site visit however long a visit required.
Given the above, I expect Peter and the customer(s) are playing a cat and mouse game on price at this point. Also bear in mind that the customers are under no time constraint to make a purchase until they are completely satisfied with the terms of the agreement.
fdfd12 wrote: What makes you say that?
Olderguy1 wrote: I know most of you have trouble hearing this, but I think we will not get a torch order until PYR lowers the price to at least $1 million each.