Input Cost Index
Motors & drives is the steepest mover (+22%) and the main margin threat on Power Tools. Pass-through pricing recovers most of the exposure.
Motors & drives
+22%
+22%steepest mover
Margin at risk
-3.1 pts
Power Tools
Protectable
$5.4M
via pass-through
Input cost index
Indexed to 100 · metals, motors & drives, electronics
AI narrative
Why this matters
The motors & drives index has climbed ~22%, eroding Power Tools margin by ~3.1 points if unhedged. Contract pass-through on renewals recovers most of the exposure (~$5.4M protected); an index hedge is the alternative. Metals and electronics are comparatively stable.