Fuci Metals Launches Internet-Based CMXchange
27 March 2000
Fuci Metals Launches Internet-Based CMXchange Moves Industry's Materials Management Into Dot.Com World
NORTHFIELD, Ill.--March 27, 2000--Recognized base metals market leader Fuci Metals USA today launched CMXchange, the first Internet-based integrated commodity management capability for materials. Fuci is the parent company and initial investor in CMXchange.Base metal physical trade is estimated at $303 billion worldwide and $93 billion in North America in the transportation, packaging, construction, machinery and consumer durable markets. There are no established exchanges or significant Web sites that offer complete commodity management for base metals.
"CMXchange has been created to meet the manufacturing industry's strong desire to move materials management into the dot.com world," said A. Demetrius (Tony) Brown, Fuci president and CMXchange founder. "CMXchange is uniquely positioned to assist manufacturers through our two e-commerce exchange sites, FUCI.com and BaseMetalsExchange.com."
He said the two sites supply both commodity metals and related supply-chain management services. FUCI.com is a Total Commodity Management(TM) site targeting nonferrous metals throughout the automobile industry. FUCI.com provides a well-defined program for its exchange customers to help them manage their raw materials efficiently and economically.
He added BaseMetalsExchange.com is a market-making exchange for all nonferrous metals (aluminum, copper, tin, zinc and lead) across all industries. The Web site will offer OTC products, various types of swaps, and both traditional and enhanced exchange functions, all within an environment of anonymity.
"CMXchange will provide great value to the supply chain participants by reducing material costs, price volatility and supply chain management expenses," said Antonio Caravia, executive vice president and co-founder.
CMXchange's domain specific services include base metal procurement and sales, financing, logistics, risk management and information services, he added. Base metal consumers and producers will exchange product through auctions and reverse auctions, swaps, and classifieds. Additional services can be obtained online including financing, hedging, immediate shipping, insurance coverage, and consultative support. Customers also can use CMXchange's innovative Mark2Market(TM) capability to ensure FASB 133 compliance on their market hedges.
"The response from the automobile and other manufacturing industries has been very positive," Brown said. "Manufacturers respect Fuci Metals as the pioneer of total commodity management and value our long-term industry relationships. Now, through CMXchange, we are recognized for bringing the efficiencies and economies of the Internet to traditional industry."
He said CMXchange is finalizing strategic partner, joint marketing and shareholder relationships with critical industries. The strategic partners will include "Fortune Ten" and "Big Three" transportation industries, aluminum producers and processors and a leading market-making and risk management company.
"We have received partial first round venture funding and are in the process of selecting the remainder of our venture partners," Brown said. "With the assistance of our strategic and venture partners, we will become the sole source provider to a marketplace valued in the billions of dollars."
Fuci Metals USA is a commodity management and trading company with 15 years of expertise providing base metals to customers primarily within the automobile industry. Fuci Metals is based in Chicago and is one of the 10 largest minority-owned businesses in the United States.