Slide 4 of 15

Notes:

• States are following the patterns shown in the prior charts.

• Ohio, on the bottom of the chart, is showing very little increase as of January 24, while the Northeastern states are all showing the price surge.

• New York prices vary considerably within the state. On January 24, reported values varied from $1.35 to $2.00. The weighted average was almost $1.78. For example, prices in Upstate New York and in the Western part of the State are often less than prices in New York City and Long Island. Prices vary for a number of reasons but mainly because the cost of doing business in the City and Long Island is much higher. Long Island has one of the highest per capita income rates in the country. Wages and salaries (union based) plus benefits are higher, along with real estate taxes and utility rates. In addition, lease/rent costs, insurance costs, overhead operations (including advertising costs) plus county inspection fees are also factored into the price.

• Lastly, heating oil prices on Long Island, for example, include the cost of service. These costs are factored into a gallon of heating oil whereas in other parts of New York State service contracts are paid for separately ($150 - $250).