MillerCoors Sees Metal-Warehouse Delay Costing Buyers $3 Billion
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Global aluminum costs were inflated by $3 billion in the past year through unfair rules that allow Goldman Sachs Group Inc., JPMorgan Chase & Co. and other warehouse owners to slow deliveries, said a risk executive at brewer MillerCoors LLC.
The practices of warehouse owners authorized to hold aluminum by the London Metal Exchange created artificial limits on available supply, leaving prices “inflated relative to the massive oversupply and record production,” Tim Weiner, a global risk manager at Chicago-based MillerCoors, said in written testimony before his appearance today at a U.S. Senate subcommittee hearing in Washington.