FOR DATA ONLY:  (202) 691-5200      USDL 04-28
FOR TECHNICAL INFORMATION:          TRANSMISSION OF MATERIAL IN
(202) 691-7705                      THIS RELEASE IS EMBARGOED
MEDIA CONTACT:  (202) 691-5902      UNTIL 8:30 A.M. (EST), WEDNESDAY,
http://www.bls.gov/ppi              JANUARY 14, 2004
                                     
                  Producer Price Indexes -- December 2003

     The Producer Price Index for Finished Goods rose 0.3 percent in
December, seasonally adjusted, the Bureau of Labor Statistics of the U.S.
Department of Labor reported today.  This increase followed a 0.3-percent
decline in November and a 0.8-percent advance in October.  At the earlier
stages of processing, prices received by producers of intermediate goods
turned up 0.5 percent, after falling 0.2 percent in the previous month.
The crude goods index rose 2.0 percent in December, following a 0.2-percent 
increase in November.  (See table A.)
     
Table A.  Monthly and annual percent changes in selected stage-of-processing price
indexes, seasonally adjusted
 ______________________________________________________________________________________
|        |                                                         |         |         |
|        |                   Finished goods                        |         |         |
|        |                                                         |         |         |
|        |---------------------------------------------------------|         |         |
|        |          |          |          |         |  Change in   |         |         |
|        |          |          |          | Except  |finished goods| Inter-  |         |
|        |          |          |          |foods and|from 12 months| mediate |  Crude  |
| Month  |  Total   |  Foods   |  Energy  | energy  |  ago(unadj.) | goods   |  goods  |
|--------------------------------------------------------------------------------------|
 2002                                                   
   Dec.      -0.3        0.4        0.2       -0.6          1.2        -0.1       2.0
                                                                             
 2003                                                                          
   Jan.       1.4        1.9        4.6         .3          2.5         1.2       7.6
   Feb.       1.1         .4        7.4        -.1          3.3         2.0       5.2
   Mar.       1.4         .2        5.4         .7          4.0         2.1      13.0
   Apr.      -1.7         .8       -8.1        -.7          2.4        -2.3     -15.8
   May        -.4         .1       -2.9         .1          2.5         -.7       1.4
   June        .5         .3        2.9        -.1          2.9          .5       4.4
   July        .1        -.3         .7         .1          3.0          .1      -3.0
   Aug.      r .6       r .9      r 1.6         .2        r 3.5        r .6      -1.1
   Sept.     r .2      r 1.0      r -.3          0          3.5       r -.2     r 3.5
   Oct.        .8        2.2        -.1         .5          3.4          .4       2.6
   Nov.       -.3        -.3       -1.2        -.1          3.4         -.2        .2
   Dec.        .3         .2        1.8        -.1          4.0          .5       2.0
r=revised.  Some of the figures shown above and elsewhere in this release may differ 
from those previously reported because data for August 2003 have been revised to reflect 
the availability of late reports and corrections by respondents.

                                    -2-
                                     
     Among finished goods, prices for finished energy goods advanced 1.8
percent in December, after decreasing 1.2 percent a month earlier.  The
index for finished consumer foods rose 0.2 percent, compared with a 0.3-
percent decline in the prior month.  On the other hand, the index for
finished goods other than foods and energy inched down 0.1 percent in
December, the same as in November.

     Before seasonal adjustment, the Producer Price Index for Finished
Goods was unchanged from its level of 144.5 (1982=100) in November.  From
December 2002 to December 2003, finished goods prices increased 4.0
percent, after climbing 1.2 percent during 2002.  Finished consumer food
prices turned up 7.7 percent in 2003, as opposed to slipping 0.6 percent in
the prior year.  A 1.0-percent increase in the index for finished goods
other than foods and energy in 2003 followed a 0.5-percent dip in 2002.  By
contrast, the index for finished energy goods advanced 11.5 percent in
2003, following a 12.3-percent rise in the previous calendar year.  At the
earlier stages of processing, the intermediate goods index advanced 3.9
percent from December 2002 to December 2003, after registering a 3.2-
percent gain during 2002.  Prices received by producers of crude materials
for further processing increased 18.5 percent in 2003, following a 24.7-
percent jump in the prior calendar year.  (See summary below.)


Summary of December-to-December, 9-month, and 3-month seasonally adjusted annual rates for 
selected stages of processing
 ________________________________________________________________________________________________
|                               |     Percentage     |                                           |
|                               |      change 12     |  Seasonally adjusted annual rate for 3    |
|                               |    months ended    |               months ended                |
|           Grouping            |     in December    |-------------------------------------------|
|                               |--------------------|   March  |   June   |September | December |
|                               | 2001 | 2002 | 2003 |   2003   |   2003   |   2003   |   2003   |
|------------------------------------------------------------------------------------------------|
Finished goods                    -1.6    1.2    4.0     16.8       -6.2       3.7        3.1
   Finished consumer foods         1.8    -.6    7.7     10.1        5.1       6.8        8.7
   Finished energy goods         -17.1   12.3   11.5     96.8      -29.0       8.2        2.0 
   Finished goods less foods        
   and energy                       .9    -.5    1.0      3.5       -2.4       1.3        1.3
      Finished consumer goods,       
      excluding foods and                
      energy                       1.5    -.5    1.0      4.1       -2.7       1.0        1.8
      Capital equipment              0    -.6     .9      2.9       -2.0       1.7        1.2
                                                                         
Intermediate materials, supplies,       
and components                    -4.0    3.2    3.9     23.4       -9.6       1.8        2.7
   Intermediate foods and feeds     .3    4.2   12.7      8.0       12.4       8.6       22.4
   Intermediate energy goods     -16.9   12.0   10.9    149.0      -41.1       2.6        -.4
   Intermediate materials less     
   foods and energy               -1.6    1.5    2.1      6.0        -.9        .9        2.6
      Materials for nondurable            
      manufacturing               -5.5    4.2    5.1     28.1       -7.8      -2.3        5.7
      Materials for durable     
      manufacturing               -4.0    3.1    3.9      1.6        1.3       7.1        8.0
      Materials and components             
      for construction               0     .8    3.0      2.4         .8       5.9        2.9
                                                                        
Crude materials for further   
processing                       -32.5   24.7   18.5    168.1      -37.0      -3.2       21.1
   Foodstuffs and feedstuffs      -7.6    4.5   24.0     18.0       11.8      32.2       36.2
   Crude energy materials        -52.9   61.5   12.3    579.4      -62.9     -34.2       -3.9
   Crude nonfood materials    
   less energy                    -9.9   12.6   20.8     19.0       -7.4      27.8       52.5
    
NOTE: Late reports and corrections by respondents may cause some indexes to change 4 months after 
original publication.  In addition, seasonally adjusted indexes may be revised for 5 years due to
the recalculation of seasonal factors each January.

                                    -3-

Finished goods
     
     Prices for finished energy goods turned up 1.8 percent in December,
after decreasing 1.2 percent in November.  The gasoline index rose 5.1
percent, following a 4.8-percent decline in the preceding month.  Prices
for liquefied petroleum gas and residential electric power climbed more
rapidly in December than they did a month earlier.  The indexes for home
heating oil and diesel fuel moved up, subsequent to declines in November.
Residential natural gas prices decreased at a slower rate in December than
they did in November.
     
     The index for finished consumer foods edged up 0.2 percent in
December, after falling 0.3 percent in the prior month.  Most of this
reversal can be attributed to fresh and dry vegetable prices, which jumped
20.7 percent, following a 5.2-percent decrease in November.  The indexes
for finfish and shellfish and for eggs for fresh use also turned up, after
declining in the preceding month, while the indexes for fresh fruits and
melons, shortening and cooking oils, and processed turkeys rose at a faster
pace than they did in November.  Alternatively, prices for dairy products
slipped 0.8 percent in December, following a 0.5-percent hike in November.
The indexes for beef and veal and for pork fell more rapidly in December
than they did in the previous month, while prices for processed young
chickens rose less than they did in the prior month.  The soft drinks index
turned down slightly, after posting an increase in November.
     
     Prices for finished consumer goods other than foods and energy inched
down 0.1 percent in December, following no change in the prior month.  In
December, price declines for light motor trucks, men's and boys' apparel,
floor coverings, mobile homes, periodical circulation, and for sanitary
papers and health products prevailed over rising prices for book
publishing, passenger cars, pharmaceutical preparations, women's apparel,
alcoholic beverages, and household furniture.  During the 2003 calendar
year, the index for finished consumer goods other than foods and energy
advanced 1.0 percent, following a 0.5-percent decrease in 2002.
     
Table B.  Monthly and annual percent changes in selected price indexes for 
intermediate goods and crude goods, seasonally adjusted
 __________________________________________________________________________________
|      |                                     |                                     |
|      |       Intermediate goods            |       Crude goods                   |
|      |                                     |                                     |
|      |---------------------------------------------------------------------------|
|      |       |        |         |Change in |       |         |         | Change  |
|      |       |        |         | interme- |       |         |         |in crude |
|      |       |        |         |  diate   |       |         |         | goods   |
|      |       |        |         |goods from|       |         |         | from 12 |
|      |       |        | Except  |12 months |       |         | Except  | months  |
|      |       |        |foods and|   ago    |       | Energy  |foods and|  ago    |
|Month | Foods | Energy | energy  | (unadj.) | Foods | (unadj.)| energy  |(unadj.) |
|----------------------------------------------------------------------------------|

 2002                                                           
  Dec.    1.0      -0.5     -0.1        3.2      1.3      3.3       0.2      24.7
                                                                           
 2003                                                                       
  Jan.    1.5       5.6       .4        4.5      5.3     13.0       1.3      28.7
  Feb.     .7       7.9       .7        6.6       .7      9.9       3.4      36.7
  Mar.    -.3      10.2       .4        8.0     -1.8     30.1       -.3      46.8
  Apr.     .1     -11.0      -.2        4.6      1.2    -30.7      -1.1      18.2
  May     1.1      -4.4        0        4.2      2.0      1.9       -.7      19.1
  June    1.8       2.9        0        4.5      -.4     10.5       -.1      29.1
  July    -.7       1.1      -.1        4.4     -3.1     -4.8       1.7      24.2
  Aug.   r .4     r 2.6     r .1        4.4      3.4   r -6.1     r 2.0    r 20.8
  Sept. r 2.4    r -3.0     r .3        3.7      7.0     r .7     r 2.5      22.3
  Oct.    3.1        .6       .3        3.4      8.9     -3.6       3.1      22.8
  Nov.    2.7      -2.9       .2        3.3      -.1     -1.5       4.3      18.3
  Dec.    -.7       2.2       .1        3.9      -.7      4.3       3.4      18.5
r=revised.  Some of the figures shown above and elsewhere in this release may 
differ from those previously reported because data for August 2003 have been 
revised to reflect the availability of late reports and corrections by respondents.

                                    -4-
                                     
     Capital equipment prices decreased 0.1 percent in December, the same
rate of decline that was registered in November.  Falling prices for light
motor trucks, electronic computers, x-ray and electromedical equipment,
welding machines and equipment, metal cutting machine tools, and printing
trades machinery slightly outweighed price increases for civilian aircraft,
heavy motor trucks, construction machinery and equipment, and for
integrating and measuring instruments.  For the 12 months ended December
2003, capital equipment prices advanced 0.9 percent, after posting a 0.6-
percent drop during the previous calendar year.

Intermediate goods

     The Producer Price Index for Intermediate Materials, Supplies, and
Components advanced 0.5 percent in December, following a 0.2-percent
decline in the previous month.  Prices for intermediate energy goods turned
up, after falling in the prior month.  The index for materials for
nondurable manufacturing increased at a faster rate than it did in
November.  By contrast, prices for intermediate foods and feeds decreased
in December, following gains a month earlier.  The materials and components
for construction index showed no change, after moving up in the preceding
month.  Prices for materials for durable manufacturing rose less than they
did in November.  Excluding prices for foods and energy, the intermediate
goods index inched up 0.1 percent in December, compared with a 0.2-percent
increase in the previous month.  (See table B.)

     Prices for intermediate energy goods increased 2.2 percent in
December, after falling 2.9 percent in the prior month.  The index for
commercial electric power moved up 1.4 percent, compared with a 4.0-percent
drop in November.  Prices for natural gas to electric utilities, gasoline,
diesel fuel, and commercial natural gas also turned up, following declines
in the preceding month.  The index for industrial natural gas fell less
than it did in the previous month.  Prices for jet fuels and liquefied
petroleum gas advanced at a quicker rate than they did in November.  On the
other hand, the industrial electric power index moved down 1.1 percent in
December, after edging down 0.1 percent a month earlier.  From December
2002 to December 2003 prices for intermediate energy goods rose 10.9
percent, following a 12.0-percent gain in 2002.

     The index for materials for nondurable manufacturing increased 0.5
percent in December, after rising 0.2 percent in the preceding month.
Prices for primary basic organic chemicals went up 5.8 percent, compared
with a 0.3-percent decrease in November.  The indexes for intermediate
basic organic chemicals, sulfuric acid, and synthetic rubber also turned
up, following declines in the prior month.  Prices for fertilizer materials
and plastic resins and materials advanced at a faster rate in December than
they did in the previous month.  Alternatively, the medicinal and botanical
chemicals index fell 1.6 percent in December, after moving up 2.5 percent a
month earlier.  Prices for inedible fats and oils, paper, finished fabrics,
and woodpulp also turned down, following gains in November.  Nondurable
manufacturing materials prices increased 5.1 percent in 2003, following a
4.2-percent gain in 2002.

     The index for intermediate foods and feeds moved down 0.7 percent in
December, after posting a 2.7-percent gain in the prior month.  Leading
this downturn, prices for prepared animal feeds decreased 0.4 percent,
after jumping 7.0 percent a month earlier.  The indexes for crude vegetable
oils and for natural, processed, and imitation cheese also fell, following
increases in November.  Flour prices rose at a slower pace in December than
they did in the previous month.  The indexes for beef and veal and fluid
milk products declined at a quicker pace in December than they did in the
preceding month.  By contrast, prices for shortening and cooking oils
advanced 4.6 percent in December, compared with a 0.9-percent gain a month
earlier.  The indexes for refined sugar and byproducts, liquid beverage
bases (used for soft drinks), and butter turned up, after falling in
November.  During the 2003 calendar year, prices for intermediate foods and
feeds jumped 12.7 percent, following a 4.2-percent increase in the previous
calendar year.

                                    -5-

     Subsequent to a 0.5-percent increase in November, the index for
materials and components for construction showed no change in December.
Plywood prices fell 7.1 percent, following a 1.0-percent increase a month
earlier.  The indexes for wiring devices, asphalt felts and coatings,
treated wood, and hardwood lumber also decreased in December.  Offsetting
these falling prices, the indexes for fabricated structural metal products,
concrete products, nonferrous wire and cable, steel mill products, and
plastic construction products moved up in December.  From December 2002 to
December 2003, prices for materials and components for construction
advanced 3.0 percent, after edging up 0.8 percent in 2002.

     The materials for durable manufacturing index climbed 0.5 percent in
December, compared with a 0.8-percent gain in the preceding month.  In
December, rising prices for steel mill products, primary nonferrous metals,
copper and brass mill shapes, and aluminum mill shapes outweighed falling
prices for building paper and board, plywood, soft fiber cordage and twine
(except cotton), hardwood lumber, and flat glass.  For the 12 months ended
in December 2003, the index for materials for durable manufacturing
advanced 3.9 percent, following a 3.1-percent increase in the preceding
year.

Crude goods

     The Producer Price Index for Crude Materials for Further Processing
rose at a 2.0-percent rate in December, after posting a 0.2-percent gain in
November.  This acceleration was due to an upturn in prices for crude
energy materials.  By contrast, the index for crude foodstuffs and
feedstuffs fell at a quicker rate in December than it did in the prior
month, and price increases for basic industrial materials slowed from
November to December.  (See table B.)

     The index for crude energy materials climbed 4.3 percent in December,
compared with a 1.5-percent decrease in November.  Leading this upturn,
natural gas prices advanced 6.1 percent, after moving down 1.3 percent in
the previous month.  The index for crude petroleum rose 2.6 percent in
December, following a 2.3-percent drop a month earlier.  Coal prices
increased 0.4 percent, subsequent to a 0.6-percent dip in November.  From
December 2002 to December 2003, the index for crude energy materials moved
up 12.3 percent, after surging 61.5 percent during the preceding calendar
year.

     Prices for crude foodstuffs and feedstuffs fell 0.7 percent in
December, after inching down at a 0.1-percent rate in November.  The index
for fluid milk declined 8.2 percent, following a 5.4-percent gain in the
prior month.  Prices for slaughter hogs, unprocessed shellfish, and raw
cane sugar also turned down in December.  The indexes for wheat, corn, and
soybeans increased at a slower rate than they did in November.  Conversely,
the rate of decrease in prices for slaughter cattle slowed from 6.6 percent
in November to 3.5 percent in December.  The indexes for slaughter broilers
and fryers, fresh and dry vegetables, and unprocessed finfish advanced,
after falling in the preceding month.  In 2003, prices for crude foodstuffs
and feedstuffs climbed 24.0 percent, compared with a 4.5-percent rise in
2002.

     Registering its sixth consecutive increase, the index for crude
nonfood materials less energy moved up at a 3.4-percent rate in December.
This rise followed a 4.3-percent gain in November.  Prices for iron and
steel scrap jumped 10.3 percent, after surging 13.8 percent in the previous
month.  The indexes for aluminum base scrap, copper base scrap, copper
ores, pulpwood, and for construction sand, gravel, and crushed stone also
rose at a slower rate in December.  Prices for raw cotton, leaf tobacco,
and wastepaper turned down, following increases in November.  On the other
hand, the gold ores index advanced 7.0 percent in December, outpacing a 0.9-
percent rise in November.  Price increases for hardwood logs and for
phosphates also accelerated in December.  The indexes for hides and skins
and for softwood logs turned up, after falling in November.  After climbing
at a 12.6-percent rate in 2002, prices for basic industrial materials
advanced 20.8 percent in 2003.

                                    -6-

Net output price indexes for mining, manufacturing, and services industries

Mining.  The Producer Price Index for the Net Output of Total Mining
Industries rose 4.2 percent in December, following a 0.9-percent fall in
November.  (Net output price indexes are not seasonally adjusted.)  The
industry index for natural gas liquids and natural gas residue advanced 9.9
percent, after slipping 0.2 percent in the preceding month.  Prices for
gold ores increased more quickly in December than they did in November.
The industry indexes for crude petroleum and natural gas, bituminous coal
and lignite surface mining, and bituminous coal underground mining turned
up, after falling in the prior month.  On the other hand, the industry
index for oil and gas field services other than drilling and exploration
decreased 0.4 percent in December, following a 0.4-percent increase in
November.  Prices for the potash, soda, and borate minerals industry turned
down in December, as did the industry indexes for industrial sand and for
oil and gas well drilling.  Prices for copper ores advanced more slowly in
December than they did in November.  The December Producer Price Index for
the Net Output of Total Mining Industries was 127.2 (December 1984=100).
From December 2002 to December 2003, prices received by the mining sector
increased 11.8 percent, after rising 46.6 percent in 2002.

Manufacturing.  The Producer Price Index for the Net Output of Total
Manufacturing Industries posted no change in December, following a 0.4-
percent decline in November.  Prices received by the petroleum refining and
related products industry group increased 1.4 percent, after a 4.4-percent
drop in the prior month.  Prices received by the industry group for
fabricated metal products (except machinery and transportation equipment)
and the industry group for rubber and miscellaneous plastic products also
advanced in December, following November decreases.  The index for the
printing, publishing, and allied industries group rose, after showing no
change in the prior month.  Prices received by the primary metal industries
group rose more quickly in December than in the preceding month, and the
index for the industry group for machinery (except electrical) fell less
than it did in November.  Alternatively, the industry group index for food
and kindred products declined 0.5 percent in December, after showing no
change in November.  The industry group indexes for transportation
equipment and for electrical and electronic machinery, equipment, and
supplies fell more in December than they did in November, while the
industry group indexes for lumber and wood products (except furniture), and
for paper and allied products turned down.  Prices received by the industry
group for stone, clay, glass, and concrete products rose less quickly in
December than they did in the prior month.  In December, the Producer Price
Index for the Net Output of Total Manufacturing Industries was 137.7
(December 1984=100).  From December 2002 to December 2003, prices received
by the manufacturing sector rose 2.8 percent, after moving up 1.8 percent
in 2002.

Services.  Among service industries in December, prices received by the
industries for operators and lessors of nonresidential buildings;
engineering design, analysis, and consulting services; offices of
physicians; investment advice; general medical and surgical hospitals; and
insurance agencies and brokerages increased.  Conversely, prices received
by the industries for security brokers, dealers, and investment banking
companies; telephone communications (except radiotelephone); life insurance
carriers; truck rental and leasing; television broadcasting; and real
estate agents and managers decreased in December.

                                   *****
            Producer Price Index data for January 2004 will be
       released on Thursday, February 19, 2004, at 8:30 a.m. (EST).

                                    -7-

   Recalculated Seasonal Adjustment Factors and Relative Importance 
             Figures to be Available on February 17, 2004

     Each year with the release of PPI data for January, seasonal
adjustment factors are recalculated to reflect price movements from the
just-completed calendar year.  This routine annual calculation may result
in revisions to seasonally adjusted indexes for the previous 5 years.  The
following information will be available on February 17, 2004 (2 workdays
prior to the release of PPI data for January 2004 on February 19):

Seasonal factors for commodity indexes for the year 2004,

Recalculated seasonal factors for the last 5 years (1999-2003) for the
commodity indexes,

Recalculated seasonal factors for the last 5 years (1999-2003) for the
stage-of-processing indexes.

     In addition to recalculated seasonal factors, December 2003 relative
importance figures will also be available on February 17, 2004.
     
     To obtain any of this information, visit the PPI website at
http://www.bls.gov/ppi/ or call the Division of Industrial Prices and Price
Indexes, Section of Index Analysis and Public Information at (202) 691-
7705.

                             NAICS Conversion

     The net output price indexes will be converted from the 1987 Standard
Industrial Classification (SIC) basis to the 2002 North American Industry
Classification System (NAICS) basis with the February 2004 release of
January 2004 indexes.  The NAICS conversion involves major definitional
changes to many of the currently published SIC-based indexes.  After the
conversion to NAICS, SIC-based indexes will no longer be produced or
published.  Historical index data based on the NAICS publication structure
will be available depending on the scope of the definitional changes
between SIC and NAICS.  A concordance between the two structures is
available at http://www.bls.gov/ppi/ppinaicstosic.htm through a World Wide
Web site.
     
     For more information contact the Division of Industrial Prices and
Price Indexes, Section of Index Analysis and Public Information at ppi-
info@bls.gov or (202) 691-7705.
Table 1.  Producer price indexes and percent changes by stage of processing                                                    
(1982=100)                                                                                                                     
_______________________________________________________________________________________________________________________________
                                                 |          |                       |Unadjusted     |                          
                                                 |          |                       |  percent      |Seasonally adjusted       
                                                 | Relative |    Unadjusted index   |change to      |percent change from:      
                    Grouping                     |importance|                       |Dec. 2003 from:|                          
                                                 |          |_______________________|_______________|__________________________
                                                 |   Dec.   |       |       |       |       |       |       |         |        
                                                 |          |Aug.   |Nov.   |Dec.   |  Dec. | Nov.  |Sept.to|Oct.  to |Nov.  to
                                                 |   2002 1/|2003 2/|2003 2/|2003 2/|  2002 | 2003  |  Oct. |   Nov.  |  Dec.  
_________________________________________________|__________|_______|_______|_______|_______|_______|_______|_________|________
                                                 |                                                                             
Finished goods...................................|  100.000   143.7   144.5   144.5     4.0    0        0.8     -0.3     0.3   
  Finished consumer goods........................|   73.339   145.9   146.5   146.6     5.0     .1      1.0      -.4      .4   
    Finished consumer foods......................|   20.672   146.3   150.2   150.3     7.7     .1      2.2      -.3      .2   
      Crude......................................|    1.333   128.2   137.0   150.8    33.8   10.1     -2.2      -.7    11.7   
      Processed..................................|   19.339   147.8   151.3   150.2     5.9    -.7      2.6      -.3     -.7   
    Finished consumer goods, excluding foods.....|   52.667   145.4   144.7   144.8     3.9     .1       .3      -.3      .5   
      Nondurable goods less foods................|   36.364   150.0   147.4   147.9     5.2     .3       .1      -.6      .8   
      Durable goods..............................|   16.303   131.8   135.1   134.4     1.2    -.5      1.1      0       -.3   
  Capital equipment..............................|   26.661   139.2   140.7   140.4      .9    -.2       .6      -.1     -.1   
    Manufacturing industries.....................|    7.839   139.9   140.3   140.4      .3     .1       .1      -.4      .1   
    Nonmanufacturing industries..................|   18.822   138.8   140.8   140.4     1.2    -.3       .7      -.1     -.1   
                                                 |                                                                             
Intermediate materials, supplies, and components.|  100.000   134.1   134.0   134.5     3.9     .4       .4      -.2      .5   
  Materials and components for manufacturing.....|   46.896   129.8   130.7   131.0     3.0     .2       .5       .2      .2   
    Materials for food manufacturing.............|    2.918   135.5   142.0   140.9    11.0    -.8      3.8       .6     -.8   
    Materials for nondurable manufacturing.......|   14.707   137.5   137.4   138.1     5.1     .5       .7       .2      .5   
    Materials for durable manufacturing..........|    9.136   127.5   130.5   131.1     3.9     .5       .6       .8      .5   
    Components for manufacturing.................|   20.136   125.8   125.7   125.7     -.2    0        -.1      -.1     0     
  Materials and components for construction......|   12.772   153.7   155.6   155.6     3.0    0         .3       .5     0     
  Processed fuels and lubricants.................|   16.110   114.5   109.7   111.7    10.7    1.8       .5     -2.9     2.3   
    Manufacturing industries ....................|    6.430   118.1   115.2   115.8    11.8     .5      -.8     -2.3      .1   
    Nonmanufacturing industries..................|    9.680   112.3   106.3   109.2    10.1    2.7      1.5     -3.4     3.8   
  Containers.....................................|    3.248   153.6   153.5   153.4      .1    -.1      -.3       .2     -.1   
  Supplies.......................................|   20.974   141.2   142.6   142.7     2.2     .1       .1       .6     0     
    Manufacturing industries.....................|    4.589   146.8   146.8   146.9     1.4     .1      0         .1      .1   
    Nonmanufacturing industries..................|   16.385   138.6   140.4   140.5     2.5     .1       .2       .6      .1   
      Feeds......................................|    1.097   101.5   118.2   117.7    17.0    -.4      1.2      8.7     -.4   
      Other supplies.............................|   15.288   143.2   143.5   143.6     1.4     .1       .1       .1      .1   
                                                 |                                                                             
Crude materials for further processing...........|  100.000   131.3   137.4   139.9    18.5    1.8      2.6       .2     2.0   
  Foodstuffs and feedstuffs......................|   38.685   111.5   126.1   124.6    24.0   -1.2      8.9      -.1     -.7   
  Nonfood materials..............................|   61.315   142.7   141.9   147.4    15.0    3.9     -1.5       .4     4.0   
    Nonfood materials except fuel 3/.............|   33.142   117.1   120.2   123.8    17.1    3.0      4.5      1.6     3.1   
      Manufacturing 3/...........................|   32.295   107.7   110.6   113.9    17.5    3.0      4.5      1.6     3.1   
      Construction...............................|    0.847   179.9   182.2   184.6     1.9    1.3       .8       .1     1.5   
    Crude fuel 4/................................|   28.173   171.2   163.8   172.1    12.5    5.1     -7.9     -1.2     5.1   
      Manufacturing industries...................|    2.540   163.0   156.3   163.9    12.1    4.9     -7.6     -1.2     4.9   
      Nonmanufacturing industries................|   25.633   175.1   167.4   176.0    12.5    5.1     -7.9     -1.2     5.1   
                                                 |                                                                             
               Special groupings                 |                                                                             
                                                 |                                                                             
Finished goods, excluding foods..................|5/ 79.328   142.7   142.8   142.8     3.0    0         .4      -.3      .3   
Intermediate materials less foods and feeds......|6/ 95.985   134.6   134.1   134.7     3.6     .4       .3      -.4      .5   
Intermediate foods and feeds.....................|6/  4.015   125.0   134.8   133.9    12.7    -.7      3.1      2.7     -.7   
Crude materials less agricultural products 3/ 7/.|8/ 59.316   144.8   142.9   148.9    14.9    4.2     -2.0       .2     4.2   
                                                 |                                                                             
Finished energy goods............................|5/ 14.951   104.7   100.3   101.1    11.5     .8      -.1     -1.2     1.8   
Finished goods less energy.......................|5/ 85.049   148.7   151.0   150.8     2.6    -.1      1.0      -.1     -.1   
Finished consumer goods less energy..............|5/ 58.388   152.8   155.5   155.3     3.4    -.1      1.2      -.1     0     
                                                 |                                                                             
Finished goods less foods and energy.............|5/ 64.377   149.9   151.7   151.4     1.0    -.2       .5      -.1     -.1   
Finished consumer goods less foods and energy....|5/ 37.716   157.2   159.0   158.8     1.0    -.1       .6      0       -.1   
Consumer nondurable goods less foods and energy..|5/ 21.413   177.8   178.2   178.2      .8    0         .2      0        .1   
                                                 |                                                                             
Intermediate energy goods........................|6/ 16.468   114.3   109.0   110.9    10.9    1.7       .6     -2.9     2.2   
Intermediate materials less energy...............|6/ 83.532   137.5   138.9   139.0     2.6     .1       .4       .4      .1   
Intermediate materials less foods and energy.....|6/ 79.517   138.4   139.2   139.5     2.1     .2       .3       .2      .1   
                                                 |                                                                             
Crude energy materials 3/........................|8/ 41.909   139.7   133.6   139.3    12.3    4.3     -3.6     -1.5     4.3   
Crude materials less energy......................|8/ 58.093   121.7   135.5   135.8    22.9     .2      7.0      1.3      .6   
Crude nonfood materials less energy 4/...........|8/ 19.406   151.8   163.7   169.0    20.8    3.2      3.1      4.3     3.4   
                                                 |                                                                             
_______________________________________________________________________________________________________________________________
                                                                                                                               
  1/  Comprehensive relative importance figures are initially computed          4/  Excludes crude petroleum.                  
      after the publication of December indexes and are recalculated            5/  Percent of total finished goods.           
      after final December indexes are available.                               6/  Percent of total intermediate materials.   
  2/  The indexes for August 2003 have been recalculated to incorporate         7/  Formerly titled "Crude materials for       
      late reports and corrections by respondents.  All indexes                     further processing, excluding crude        
      are subject to revision 4 months after original publication.                  foodstuffs and feedstuffs, plant and       
  3/  Includes crude petroleum.                                                     animal fibers, oilseeds, and leaf tobacco."
                                                                                8/  Percent of total crude materials.


          
Table 2.  Producer price indexes and percent changes for selected commodity groupings by stage of processing                         
(1982=100 unless otherwise indicated)                                                                                                
____________________________________________________________________________________________________________________________________ 
           |                                                       |                       |Unadjusted     |                         
           |                                                       |                       | percent       |Seasonally adjusted      
           |                                                       |   Unadjusted index    |change to      |percent change from:     
 Commodity |                                                       |                       |Dec. 2003 from:|                         
   code    |                      Grouping                         |_______________________|_______________|________________________ 
           |                                                       |       |       |       |       |       |       |       |         
           |                                                       |Aug.   |Nov.   |Dec.   | Dec.  | Nov.  |Sept.to|Oct. to|Nov. to  
           |                                                       |2003 1/|2003 1/|2003 1/| 2002  | 2003  |  Oct. |  Nov. |  Dec.   
___________|_______________________________________________________|_______|_______|_______|_______|_______|_______|_______|________ 
           |                                                       |                                                                 
           |FINISHED GOODS.........................................| 143.7   144.5   144.5     4.0    0        0.8    -0.3     0.3   
           | FINISHED CONSUMER GOODS...............................| 145.9   146.5   146.6     5.0     .1      1.0     -.4      .4   
           |  FINISHED CONSUMER FOODS..............................| 146.3   150.2   150.3     7.7     .1      2.2     -.3      .2   
           |                                                       |                                                                 
01-11      |   Fresh fruits and melons 2/..........................|  85.9    92.3    98.6    28.9    6.8      7.5     3.8     6.8   
01-13      |   Fresh and dry vegetables 2/.........................| 124.6   130.6   157.6    38.5   20.7     -9.1    -5.2    20.7   
01-71-07   |   Eggs for fresh use (Dec. 1991=100)..................| 114.4   139.3   136.4    40.5   -2.1      4.3    -2.8      .6   
02-11      |   Bakery products 2/..................................| 195.2   195.2   195.0     1.5    -.1       .1     -.2     -.1   
02-13      |   Milled rice 2/......................................| 106.1   119.7   122.0    42.9    1.9      3.0     3.8     1.9   
02-14-02   |   Pasta products (June 1985=100) 2/...................| 126.8   126.8   126.6     4.2    -.2      -.2     0       -.2   
02-21-01   |   Beef and veal 2/....................................| 136.2   159.4   150.5    27.9   -5.6     18.3    -4.7    -5.6   
02-21-04   |   Pork................................................| 117.4   113.8   113.6     7.0    -.2      4.2    -1.6    -2.3   
02-22-03   |   Processed young chickens............................| 124.1   127.4   127.0    20.4    -.3      3.2     1.9      .2   
02-22-06   |   Processed turkeys...................................|  89.8   100.8   101.6     8.0     .8      1.1     1.5     4.5   
02-23      |   Finfish and shellfish...............................| 194.5   185.8   191.8     6.5    3.2     -2.9    -2.4     3.2   
02-3       |   Dairy products......................................| 143.9   145.7   143.5     6.2   -1.5       .3      .5     -.8   
02-4       |   Processed fruits and vegetables 2/..................| 133.5   133.5   133.4     -.1    -.1       .5     0       -.1   
02-55      |   Confectionery end products 2/.......................| 184.2   185.3   185.6     5.1     .2       .5      .2      .2   
02-62      |   Soft drinks.........................................| 152.3   153.7   152.6      .5    -.7       .3      .3     -.1   
02-63-01   |   Roasted coffee 2/...................................| 127.8   127.9   128.0     5.2     .1       .2     0        .1   
02-78      |   Shortening and cooking oils 2/......................| 156.6   172.8   180.7    16.9    4.6      9.3      .9     4.6   
           |                                                       |                                                                 
           |  FINISHED CONSUMER GOODS EXCLUDING FOODS..............| 145.4   144.7   144.8     3.9     .1       .3     -.3      .5   
           |                                                       |                                                                 
02-61      |   Alcoholic beverages.................................| 148.7   148.3   148.6      .2     .2      -.1     -.3      .1   
03-81-01   |   Women's apparel 2/..................................| 124.0   122.3   122.7    -1.0     .3       .3     -.3      .3   
03-81-02   |   Men's and boys' apparel 2/..........................| 127.5   127.5   126.5    -1.4    -.8       .6     0       -.8   
03-81-03   |   Girls', children's, and infants' apparel 2/.........| 119.6   120.1   120.1      .7    0        0       -.1     0     
03-82      |   Textile housefurnishings 2/.........................| 122.4   122.3   122.3      .1    0        0        .1     0     
04-3       |   Footwear 2/.........................................| 147.9   148.0   147.9     1.0    -.1       .3     0       -.1   
05-41      |   Residential electric power (Dec. 1990=100)..........| 124.1   118.6   118.7     4.9     .1       .8      .2      .5   
05-51      |   Residential gas (Dec. 1990=100).....................| 170.0   170.1   171.7    20.2     .9     -1.8    -1.1     -.9   
05-71      |   Gasoline............................................| 106.4    94.8    94.3    14.9    -.5     -3.0    -4.8     5.1   
05-73-02-01|   Fuel oil No. 2......................................|  91.6    89.9    93.5    13.6    4.0      9.6    -1.6     6.4   
06-38      |   Pharmaceutical preparations (June 2001=100) 2/......| 107.7   108.3   108.5     4.1     .2       .2     -.1      .2   
06-71      |   Soaps and synthetic detergents 2/...................| 130.2   131.5   131.4      .7    -.1      -.2      .6     -.1   
06-75      |   Cosmetics and other toilet preparations 2/..........| 140.4   140.6   140.6      .7    0         .1     0       0     
07-12      |   Tires, tubes, tread, etc 2/.........................|  98.0    98.9    98.7     3.6    -.2       .6     0       -.2   
09-15-01   |   Sanitary papers and health products 2/..............| 150.3   150.3   150.2     -.5    -.1      0       0       -.1   
09-31-01   |   Newspaper circulation 2/............................| 229.8   232.4   232.3     2.2    0        1.0     0       0     
09-32-01   |   Periodical circulation..............................| 219.7   220.1   219.7     3.5    -.2       .5     0       -.2   
09-33      |   Book publishing.....................................| 244.3   245.7   248.3     4.2    1.1       .4      .1     1.1   
12-1       |   Household furniture.................................| 158.2   158.4   158.3      .3    -.1       .1     0        .1   
12-3       |   Floor coverings 2/..................................| 134.8   134.9   132.0     1.5   -2.1       .8     -.1    -2.1   
12-4       |   Household appliances 2/.............................| 101.9   101.8   101.9    -1.7     .1       .4     -.3      .1   
12-5       |   Home electronic equipment 2/........................|  67.5    67.2    67.2    -1.5    0         .3      .1     0     
12-62      |   Household glassware.................................| 169.0   169.2   169.2     -.4    0         .5      .3      .1   
12-64      |   Household flatware 2/...............................| 145.2   145.2   145.2     0      0        0       0       0     
12-66      |   Lawn and garden equip., ex. tractors 2/.............| 132.9   134.0   134.0      .4    0         .3     1.3     0     
14-11-01   |   Passenger cars......................................| 126.6   131.9   131.5     1.9    -.3      1.6     -.8      .2   
15-11      |   Toys, games, and children's vehicles 2/.............| 125.1   124.5   124.5     -.3    0        -.5     0       0     
15-12      |   Sporting and athletic goods 2/......................| 123.3   123.9   123.7     -.9    -.2       .2      .2     -.2   
15-2       |   Tobacco products 2/.................................| 429.3   433.1   433.8     -.1     .2       .5      .1      .2   
15-5       |   Mobile homes 2/.....................................| 169.7   173.1   172.3     3.5    -.5       .6      .4     -.5   
15-94-02   |   Jewelry, platinum, & karat gold 2/..................| 132.1   133.3   133.8     2.8     .4       .4      .5      .4   
15-94-04   |   Costume jewelry and novelties 2/....................| 145.4   145.4   145.4      .8    0        0        .4     0     
           |                                                       |                                                                 
           | CAPITAL EQUIPMENT.....................................| 139.2   140.7   140.4      .9    -.2       .6     -.1     -.1   
           |                                                       |                                                                 
11-1       |   Agricultural machinery and equipment 2/.............| 161.8   161.8   161.8     1.3    0        1.1     -.1     0     
11-2       |   Construction machinery and equipment................| 153.4   153.5   153.6     1.3     .1       .1     -.1      .3   
11-37      |   Metal cutting machine tools 2/......................| 150.7   150.2   150.0     -.4    -.1     -1.4     1.2     -.1   
11-38      |   Metal forming machine tools 2/......................| 167.7   167.9   167.9      .4    0        0       0       0     
11-39      |   Tools, dies, jigs, fixtures, and ind. molds 2/......| 139.2   139.4   139.4     -.8    0         .1     -.2     0     
11-41      |   Pumps, compressors, and equipment...................| 163.2   163.7   163.5     1.2    -.1       .6     -.1     0     
11-44      |   Industrial material handling equipment 2/...........| 138.1   138.2   138.2      .7    0         .1     -.1     0     
11-51      |   Electronic computers (Dec. 1998=100) 2/.............|  33.4    32.4    31.8   -17.2   -1.9     -1.8    -1.2    -1.9   
11-62      |   Textile machinery 2/................................| 157.5   157.7   157.7      .3    0        -.1     -.2     0     
11-64      |   Paper industries machinery (June 1982=100)..........| 170.3   170.3   170.3      .4    0        0        .1      .1   
11-65      |   Printing trades machinery 2/........................| 143.3   143.3   143.1     -.7    -.1       .5     0       -.1   
11-74      |   Transformers and power regulators 2/................| 132.3   132.1   132.1     -.2    0        -.1     -.1     0     
11-76      |   Communication & related equip. (Dec. 1985=100) 2/...| 104.9   105.1   105.1    -1.0    0         .6     -.4     0     
11-79-05   |   X-ray and electromedical equipment 2/...............| 101.0    99.6    99.5    -1.0    -.1      -.6     -.1     -.1   
11-91      |   Oil field and gas field machinery ..................| 140.1   140.7   141.0     3.7     .2       .1      .1      .2   
11-92      |   Mining machinery and equipment 2/...................| 155.1   155.3   156.4     1.6     .7       .2      .1      .7   
11-93      |   Office and store machines and equipment 2/..........| 112.2   113.2   113.2      .4    0        -.8     0       0     
12-2       |   Commercial furniture 2/.............................| 162.5   163.0   163.2     1.0     .1       .2     -.1      .1   
14-11-05   |   Light motor trucks..................................| 146.0   157.5   154.3     2.5   -2.0      3.4     1.0    -1.7   
14-11-06   |   Heavy motor trucks 2/...............................| 154.2   154.5   154.9     -.2     .3       .5     -.4      .3   
14-14      |   Truck trailers 2/...................................| 139.6   139.7   139.7     1.0    0        0        .1     0     
14-21-02   |   Civilian aircraft (Dec. 1985=100)...................| 183.7   184.4   184.7     6.1     .2       .1     -.1      .2   
14-31      |   Ships (Dec. 1985=100) 2/............................| 158.2   159.1   159.1     4.1    0        -.2      .1     0     
14-4       |   Railroad equipment 2/...............................| 136.5   137.6   137.7     2.4     .1      0        .5      .1   
           |                                                       |                                                                 
           |INTERMEDIATE MATERIALS, SUPPLIES, AND COMPONENTS.......| 134.1   134.0   134.5     3.9     .4       .4     -.2      .5   
           |                                                       |                                                                 
           | INTERMEDIATE FOODS AND FEEDS..........................| 125.0   134.8   133.9    12.7    -.7      3.1     2.7     -.7   
           |                                                       |                                                                 
02-12-03   |   Flour 2/............................................| 125.2   125.5   127.8     7.0    1.8     -3.0     5.3     1.8   
02-53      |   Refined sugar and byproducts 2/.....................| 123.2   120.9   121.4     1.1     .4      1.7    -1.5      .4   
02-54      |   Confectionery materials 2/..........................| 124.3   123.3   124.2      .2     .7     -2.8     1.4      .7   
02-72      |   Crude vegetable oils 2/.............................| 142.6   145.2   142.7    25.8   -1.7    -11.5    18.1    -1.7   
02-9       |   Prepared animal feeds 2/............................| 108.6   122.8   122.3    13.8    -.4      1.1     7.0     -.4   
           |                                                       |                                                                 
           | INTERMEDIATE MATERIALS LESS FOODS AND FEEDS...........| 134.6   134.1   134.7     3.6     .4       .3     -.4      .5   
           |                                                       |                                                                 
03-1       |   Synthetic fibers 2/.................................| 106.5   105.9   105.7     -.8    -.2      -.4     -.1     -.2   
03-2       |   Processed yarns and threads 2/......................| 103.6   104.5   105.4     2.7     .9      -.1     1.1      .9   
03-3       |   Gray fabrics 2/.....................................| 111.4   111.2   110.6    -1.9    -.5      1.4     -.4     -.5   
03-4       |   Finished fabrics....................................| 121.1   121.2   120.9     -.4    -.2      -.2      .6     -.2   
03-83-03   |   Industrial textile products 2/......................| 130.6   130.3   129.7    -1.1    -.5      -.4     -.1     -.5   
04-2       |   Leather 2/..........................................| 212.0   218.3   218.6     4.5     .1      1.3     1.0      .1   
05-32      |   Liquefied petroleum gas 2/..........................| 143.3   148.3   164.4    23.3   10.9      6.6      .7    10.9   
____________________________________________________________________________________________________________________________________ 
See footnotes at end of table.                                                                                                       

Table 2.  Producer price indexes and percent changes for selected commodity groupings by stage of processing - Continued             
(1982=100 unless otherwise indicated)                                                                                                
____________________________________________________________________________________________________________________________________ 
           |                                                       |                       |Unadjusted     |                         
           |                                                       |                       | percent       |Seasonally adjusted      
           |                                                       |   Unadjusted index    |change to      |percent change from:     
 Commodity |                                                       |                       |Dec. 2003 from:|                         
   code    |                      Grouping                         |_______________________|_______________|________________________ 
           |                                                       |       |       |       |       |       |       |       |         
           |                                                       |Aug.   |Nov.   |Dec.   | Dec.  | Nov.  |Sept.to|Oct. to|Nov. to  
           |                                                       |2003 1/|2003 1/|2003 1/| 2002  | 2003  |  Oct. |  Nov. |  Dec.   
___________|_______________________________________________________|_______|_______|_______|_______|_______|_______|_______|________ 
           |                                                       |                                                                 
           | INTERMEDIATE MATERIALS LESS FOODS AND FEEDS           |                                                                 
           |   -Continued..........................................|                                                                 
05-42      |   Commercial electric power...........................| 150.3   137.0   138.2     2.6    0.9      2.7    -4.0     1.4   
05-43      |   Industrial electric power...........................| 151.3   144.4   142.8     2.3   -1.1      1.1     -.1    -1.1   
05-52      |   Commercial natural gas (Dec. 1990=100)..............| 172.4   175.2   180.1    19.3    2.8     -3.1    -2.3      .7   
05-53      |   Industrial natural gas (Dec. 1990=100)..............| 178.0   181.5   185.4    20.4    2.1     -3.2    -5.7     -.1   
05-54      |   Natural gas to electric utilities (Dec. 1990=100)...| 144.7   139.8   156.5    18.3   11.9     -6.2   -12.2     9.4   
05-72-03   |   Jet fuels...........................................|  80.8    80.2    86.6    10.2    8.0      8.6     5.9    11.8   
05-73-03   |   No. 2 Diesel fuel...................................|  96.6    95.9    97.9    12.8    2.1     18.4    -2.4     8.5   
05-74      |   Residual fuel 2/....................................| 121.5     (3)   104.3    39.1    (3)     -7.1     (3)     (3)   
06-1       |   Industrial chemicals 2/.............................| 140.5   140.7   143.4     8.3    1.9       .9     -.1     1.9   
06-21      |   Prepared paint......................................| 171.8   172.3   172.6     2.9     .2       .2      .5      .3   
06-22      |   Paint materials 2/..................................| 172.7   173.6   172.1      .5    -.9      -.1      .5     -.9   
06-31      |   Medicinal and botanical chemicals 2/................| 135.1   138.6   136.4     2.9   -1.6       .1     2.5    -1.6   
06-4       |   Fats and oils, inedible.............................| 110.6   152.8   148.8    26.9   -2.6     15.9    17.5    -7.1   
06-51      |   Mixed fertilizers...................................| 119.7   120.7   121.1     6.1     .3       .7      .5      .5   
06-52-01   |   Nitrogenates........................................| 145.5   151.1   156.8    36.5    3.8      1.4     -.6     1.5   
06-52-02   |   Phosphates 2/.......................................| 110.5   110.5   112.7    12.6    2.0      -.3      .5     2.0   
06-53      |   Other agricultural chemicals 2/.....................| 148.5   149.8   147.6    -1.1   -1.5       .7      .3    -1.5   
06-6       |   Plastic resins and materials........................| 143.6   145.8   145.4     7.5    -.3       .9      .9     1.2   
07-11-02   |   Synthetic rubber 2/.................................| 125.5   125.5   125.6     3.4     .1       .2    -2.1      .1   
07-21      |   Plastic construction products ......................| 137.6   138.8   138.8     3.2    0        1.5      .7      .7   
07-22      |   Unsupported plastic film, sheet, & other shapes 2/..| 143.2   142.6   143.2     4.2     .4     -1.7      .8      .4   
07-26      |   Plastic parts and components for manufacturing 2/...| 116.6   115.7   116.7      .7     .9      0       -.4      .9   
08-11      |   Softwood lumber.....................................| 172.0   179.4   178.8     8.5    -.3     -1.9     1.3      .1   
08-12      |   Hardwood lumber ....................................| 191.4   196.5   195.8     8.3    -.4      -.2     1.7     -.4   
08-2       |   Millwork............................................| 182.2   183.7   183.6     2.2    -.1       .2      .4     0     
08-3       |   Plywood 2/..........................................| 166.3   206.0   191.4    30.8   -7.1      5.4     1.0    -7.1   
09-11      |   Woodpulp 2/.........................................| 122.6   125.4   125.3     6.3    -.1      1.9     1.7     -.1   
09-13      |   Paper 2/............................................| 146.5   146.2   145.9      .3    -.2      -.4      .4     -.2   
09-14      |   Paperboard 2/.......................................| 162.5   159.7   159.9    -4.0     .1      -.1     -.2      .1   
09-15-03   |   Paper boxes and containers 2/.......................| 172.6   172.0   172.0    -1.3    0        -.6      .2     0     
09-2       |   Building paper and board 2/.........................| 169.4   195.1   178.0    38.5   -8.8      4.2     -.1    -8.8   
09-37      |   Commercial printing (June 1982=100) 2/..............| 158.5   158.6   158.4      .8    -.1      0        .1     -.1   
10-15      |   Foundry and forge shop products.....................| 137.6   137.9   138.0      .7     .1       .1      .2      .1   
10-17      |   Steel mill products.................................| 108.4   110.7   112.1     1.8    1.3      1.4      .8     1.7   
10-22      |   Primary nonferrous metals 2/........................| 103.7   113.1   115.8    13.9    2.4      2.9     4.0     2.4   
10-25-01   |   Aluminum mill shapes 2/.............................| 143.4   142.4   142.6     -.8     .1      -.1      .1      .1   
10-25-02   |   Copper and brass mill shapes 2/.....................| 151.5   161.8   164.9    12.2    1.9      1.4     3.1     1.9   
10-26      |   Nonferrous wire and cable 2/........................| 135.0   137.4   140.0     5.7    1.9       .1     1.4     1.9   
10-3       |   Metal containers 2/.................................| 109.2   109.5   109.5     1.1    0         .2      .1     0     
10-4       |   Hardware 2/.........................................| 156.7   156.3   156.9      .8     .4       .2     -.1      .4   
10-5       |   Plumbing fixtures and brass fittings................| 183.9   183.6   183.6      .9    0        -.3      .4     -.1   
10-6       |   Heating equipment 2/................................| 163.3   164.1   164.0     3.6    -.1       .1      .2     -.1   
10-7       |   Fabricated structural metal products 2/.............| 145.3   145.6   146.4      .7     .5       .1     -.1      .5   
10-88      |   Fabricated ferrous wire products (June 1982=100) 2/.| 131.7   132.3   133.1     2.6     .6       .2     -.4      .6   
10-89      |   Other misc. metal products 2/.......................| 127.5   127.6   127.5     -.1    -.1      0       0       -.1   
11-45      |   Mechanical power transmission equipment.............| 170.7   171.6   172.0      .9     .2       .2      .3      .1   
11-48      |   Air conditioning and refrigeration equipment 2/.....| 136.8   137.1   137.4      .3     .2       .4     -.1      .2   
11-49-02   |   Metal valves, ex.fluid power (Dec. 1982=100)........| 169.7   170.2   170.0     1.1    -.1      -.1      .2     -.1   
11-49-05   |   Ball and roller bearings............................| 171.3   170.9   170.9      .1    0        -.2     0       -.1   
11-71      |   Wiring devices 2/...................................| 153.2   152.6   151.7     -.5    -.6       .1     -.2     -.6   
11-73      |   Motors, generators, motor generator sets............| 147.3   147.2   147.4      .1     .1      -.1     0       0     
11-75      |   Switchgear, switchboard, etc., equipment 2/.........| 159.8   160.1   159.8     -.2    -.2       .4      .3     -.2   
11-78      |   Electronic components and accessories 2/............|  90.6    90.4    90.0    -1.6    -.4      -.4     -.2     -.4   
11-94      |   Internal combustion engines.........................| 145.6   145.2   145.2      .9    0        -.1     -.3     0     
11-95      |   Machine shop products 2/............................| 140.6   141.2   141.2      .6    0         .4      .1     0     
13-11      |   Flat glass 2/.......................................| 110.9   110.4   110.2    -1.3    -.2      -.5      .3     -.2   
13-22      |   Cement..............................................| 152.1   151.4   151.2     -.9    -.1      0        .1     -.1   
13-3       |   Concrete products...................................| 153.6   153.8   154.7     1.4     .6       .1      .5      .6   
13-6       |   Asphalt felts and coatings..........................| 118.0   117.6   116.4     6.3   -1.0      -.4     1.6     -.8   
13-7       |   Gypsum products 2/..................................| 169.3   175.2   177.2     3.1    1.1     -3.4     1.9     1.1   
13-8       |   Glass containers 2/.................................| 141.0   140.9   140.9     3.3    0        -.1      .1     0     
14-12      |   Motor vehicle parts 2/..............................| 111.7   111.3   111.3    -1.1    0        -.2     -.2     0     
14-23      |   Aircraft engines & engine parts (Dec. 1985=100).....| 153.4   154.1   154.0     5.7    -.1      0        .3     0     
14-25      |   Aircraft parts & aux.equip.,nec (June 1985=100).....| 150.6   149.3   149.4    -1.1     .1      0       -.1      .2   
15-42      |   Photographic supplies 2/............................| 116.4   116.4   116.4    -1.5    0       -1.9     0       0     
15-6       |   Medical/surgical/personal aid devices 2/............| 154.8   155.6   155.6     2.3    0         .6     0       0     
           |                                                       |                                                                 
           | CRUDE MATERIALS FOR FURTHER PROCESSING................| 131.3   137.4   139.9    18.5    1.8      2.6      .2     2.0   
           |                                                       |                                                                 
           |  CRUDE FOODSTUFFS AND FEEDSTUFFS......................| 111.5   126.1   124.6    24.0   -1.2      8.9     -.1     -.7   
           |                                                       |                                                                 
01-21      |   Wheat 2/............................................|  98.3   107.6   110.6     4.0    2.8     -3.0    15.9     2.8   
01-22-02-05|   Corn................................................|  88.8    92.1    98.0     6.8    6.4    -12.2     7.9     5.4   
01-31      |   Slaughter cattle 2/.................................| 117.1   146.8   141.6    35.4   -3.5     20.4    -6.6    -3.5   
01-32      |   Slaughter hogs......................................|  73.0    62.5    60.6    20.7   -3.0     -3.8    10.6    -6.8   
01-41-02   |   Slaughter broilers/fryers...........................| 153.8   153.6   162.1    35.4    5.5      5.5    -1.9     9.3   
01-42      |   Slaughter turkeys...................................|  91.6   118.5   110.8      .1   -6.5      3.7     4.0     4.2   
01-6       |   Fluid milk..........................................|  99.0   111.7   102.5    15.3   -8.2      9.3     5.4    -8.2   
01-83-01-31|   Soybeans 2/.........................................|  96.6   131.3   134.2    40.7    2.2     19.4     5.0     2.2   
02-52-01-01|   Cane sugar,raw 2/...................................| 114.1   112.1   109.6    -6.5   -2.2      -.7      .4    -2.2   
                                                                                                                                     
           |                                                       |                                                                 
           |  CRUDE NONFOOD MATERIALS..............................| 142.7   141.9   147.4    15.0    3.9     -1.5      .4     4.0   
           |                                                       |                                                                 
01-51-01-01|   Raw cotton 2/.......................................|  85.0   118.6   106.6    37.5  -10.1     23.5     6.9   -10.1   
01-92-01-01|   Leaf tobacco 2/.....................................| 106.7   116.4   116.1     -.3    -.3      1.1     4.8     -.3   
04-19      |   Hides and skins (June 2001=100) 2/..................|  84.6    85.6    87.7     2.5    2.5      1.5    -2.5     2.5   
05-1       |   Coal 2/.............................................|  99.0   100.5   100.9     3.0     .4       .8     -.6      .4   
05-31      |   Natural gas 2/......................................| 195.4   184.8   196.1    14.6    6.1     -9.4    -1.3     6.1   
05-61      |   Crude petroleum 2/..................................|  83.8    79.8    81.9    12.3    2.6      6.8    -2.3     2.6   
08-5       |   Logs, timber, etc...................................| 181.3   185.7   188.4     4.0    1.5      1.7     -.3     1.6   
09-12      |   Wastepaper 2/.......................................| 195.7   204.3   203.9     8.5    -.2      1.7     1.3     -.2   
10-11      |   Iron ore 2/.........................................|  96.5    96.5    96.5     1.6    0        0       0       0     
10-12      |   Iron and steel scrap................................| 183.2   210.2   231.7    62.5   10.2      4.7    13.8    10.3   
10-21      |   Nonferrous metal ores (Dec. 1983=100) 2/............|  78.9    83.5    87.8    26.1    5.1      1.0     2.7     5.1   
10-23-01   |   Copper base scrap 2/................................| 126.6   142.0   151.6    29.8    6.8      2.7     7.6     6.8   
10-23-02   |   Aluminum base scrap.................................| 166.9   175.1   177.7    11.2    1.5      4.4     2.5      .6   
13-21      |   Construction sand, gravel, and crushed stone........| 177.4   178.2   178.3     2.5     .1       .3      .3      .2   
____________________________________________________________________________________________________________________________________ 
                                                                                                                                     
1/  The indexes for August 2003 have been recalculated to incorporate late           2/  Not seasonally adjusted.                    
    reports and corrections by respondents.  All indexes are subject to              3/  Not available.                              
    revision 4 months after original publication.  


                                                                                  
Table 3.  Producer price indexes for selected commodity groupings                              
(1982=100 unless otherwise indicated)                                                          
_______________________________________________________________________________________________
         |                                                |                                   |
         |                                                |         Unadjusted index 1/       |
Commodity|                                                |___________________________________|
  code   |                    Grouping                    | Aug. 2003 | Nov. 2003 | Dec. 2003 |
_________|________________________________________________|___________|___________|___________|
         |                                                |           |           |           |
         | Finished Goods (1967=100)......................|   403.1   |   405.4   |   405.6   |
         | All commodities................................|   138.0   |   138.9   |   139.4   |
         |                                                |           |           |           |
         |                                                |           |           |           |
         |            MAJOR COMMODITY GROUPS              |           |           |           |
         |                                                |           |           |           |
         | Farm products and processed foods and feeds....|   132.1   |   140.3   |   139.8   |
01       |   Farm products................................|   109.0   |   124.0   |   124.2   |
02       |   Processed foods and feeds....................|   143.6   |   148.3   |   147.3   |
         |                                                |           |           |           |
         | Industrial commodities.........................|   139.1   |   138.7   |   139.4   |
03       |   Textile products and apparel.................|   119.9   |   119.7   |   119.5   |
04       |   Hides, skins, leather, and related products..|   161.9   |   163.9   |   164.6   |
05       |   Fuels and related products and power.........|   113.7   |   108.5   |   110.6   |
06       |   Chemicals and allied products 2/.............|   161.2   |   162.2   |   163.3   |
07       |   Rubber and plastic products..................|   130.5   |   130.3   |   130.8   |
08       |   Lumber and wood products.....................|   177.8   |   185.2   |   184.0   |
09       |   Pulp, paper, and allied products.............|   190.4   |   191.1   |   190.9   |
10       |   Metals and metal products....................|   129.0   |   131.2   |   132.8   |
11       |   Machinery and equipment......................|   121.8   |   121.7   |   121.6   |
12       |   Furniture and household durables.............|   133.9   |   134.0   |   133.8   |
13       |   Nonmetallic mineral products.................|   148.3   |   148.6   |   148.8   |
14       |   Transportation equipment.....................|   144.6   |   147.8   |   147.2   |
15       |   Miscellaneous products.......................|   179.3   |   180.7   |   180.7   |
         |                                                |           |           |           |
         | Industrial commodities less fuels and related  |           |           |           |
         |   products and power...........................|   144.8   |   146.1   |   146.2   |
         |                                                |           |           |           |
         |                                                |           |           |           |
         |             OTHER COMMODITY GROUPINGS          |           |           |           |
         |                                                |           |           |           |
01-1     | Fruits and melons, fresh and dry vegetables,   |           |           |           |
         |   and tree nuts................................|   109.1   |   116.0   |   130.8   |
01-2     | Grains.........................................|    91.7   |    96.6   |   101.3   |
01-3     | Slaughter livestock............................|   105.8   |   124.4   |   120.2   |
01-4     | Slaughter poultry..............................|   139.4   |   144.5   |   149.7   |
01-5     | Plant and animal fibers........................|    86.1   |   119.4   |   107.5   |
01-7     | Chicken eggs...................................|   146.7   |   182.9   |   173.4   |
01-8     | Hay, hayseeds, and oilseeds....................|   119.2   |   149.3   |   152.5   |
01-83    | Oilseeds.......................................|   106.7   |   141.3   |   144.9   |
01-9     | Other farm products............................|   159.1   |   173.6   |   173.1   |
02-1     | Cereal and bakery products.....................|   171.0   |   171.8   |   172.5   |
02-2     | Meats, poultry, and fish.......................|   131.3   |   139.9   |   137.0   |
02-22    | Processed poultry..............................|   118.3   |   121.9   |   122.5   |
02-5     | Sugar and confectionery........................|   149.1   |   148.9   |   149.1   |
02-6     | Beverages and beverage materials...............|   149.8   |   150.0   |   149.8   |
02-63    | Packaged beverage materials....................|   129.2   |   129.1   |   129.3   |
02-7     | Fats and oils..................................|   152.5   |   172.3   |   175.0   |
03-81    | Apparel........................................|   125.7   |   125.0   |   124.8   |
04-4     | Other leather and related products.............|   148.7   |   148.5   |   148.6   |
05-3     | Gas fuels......................................|   180.2   |   173.3   |   185.5   |
05-4     | Electric power.................................|   148.0   |   139.2   |   139.3   |
05-7     | Refined petroleum products.....................|   100.0   |    91.8   |    92.7   |
06-3     | Drugs and pharmaceuticals......................|   275.4   |   277.2   |   277.0   |
06-5     | Agricultural chemicals and products............|   135.2   |   136.9   |   137.7   |
06-7     | Other chemicals and allied products............|   141.3   |   141.8   |   142.1   |
07-1     | Rubber and rubber products.....................|   119.3   |   119.7   |   119.6   |
07-11    | Rubber, except natural rubber..................|   124.9   |   124.8   |   125.0   |
07-13    | Miscellaneous rubber products..................|   141.0   |   141.2   |   141.1   |
07-2     | Plastic products...............................|   138.9   |   138.6   |   139.2   |
08-1     | Lumber.........................................|   176.0   |   182.4   |   181.8   |
09-1     | Pulp, paper, and products, excluding building  |           |           |           |
         |   paper and board..............................|   157.2   |   157.1   |   157.0   |
09-15    | Converted paper and paperboard products........|   165.3   |   165.2   |   165.1   |
10-1     | Iron and steel.................................|   120.8   |   125.0   |   128.1   |
10-2     | Nonferrous metals..............................|   123.5   |   127.9   |   130.4   |
10-25    | Nonferrous mill shapes.........................|   136.9   |   138.2   |   138.9   |
11-3     | Metalworking machinery and equipment...........|   150.2   |   150.5   |   150.4   |
11-4     | General purpose machinery and equipment........|   155.6   |   155.8   |   155.9   |
11-6     | Special industry machinery.....................|   167.2   |   167.4   |   167.9   |
11-7     | Electrical machinery and equipment.............|   114.4   |   114.3   |   114.1   |
11-9     | Miscellaneous machinery and equipment..........|   137.5   |   138.1   |   138.5   |
12-6     | Other household durable goods..................|   158.5   |   158.8   |   158.8   |
13-2     | Concrete ingredients...........................|   165.1   |   165.3   |   165.3   |
14-1     | Motor vehicles and equipment...................|   127.7   |   131.9   |   131.0   |
15-1     | Toys, sporting goods, small arms, etc..........|   132.1   |   132.4   |   132.4   |
15-4     | Photographic equipment and supplies............|   103.6   |   103.5   |   103.5   |
15-9     | Other miscellaneous products...................|   140.4   |   141.9   |   142.2   |
__________________________________________________________|___________|___________|___________|
                                                                                               
1/  Data for August 2003 have been revised to reflect the availability of late reports and     
    corrections by respondents.  All data are subject to revision 4 months after original      
    publication.                                                                               
                                                                                               
2/  Prices of some items in this grouping are lagged 1 month.


                                  
Table 4.  Producer price indexes for the net output of major industry groups, not seasonally adjusted             
__________________________________________________________________________________________________________________
                  |                                              |     |         Index         |  Percent change  
  Industry        |                Industry 1/                   |Index|_______________________|to_Dec._2003_from:
    code          |                                              |base |       |       |       |        |         
                  |                                              |     |Aug.   |Nov.   |Dec.   |  Dec.  |  Nov.   
                  |                                              |     |2003 2/|2003 2/|2003 2/|  2002  |  2003   
__________________|______________________________________________|_____|_______|_______|_______|________|_________
                  |                                              |     |                                          
                  |Total mining industries...................... |12/84| 125.5   122.1   127.2     11.8      4.2  
       10         | Metal mining................................ |12/84|  82.1    86.0    89.4     20.0      4.0  
       12         | Coal mining................................. |12/85|  94.1    94.8    95.6      2.7       .8  
       13         | Oil and gas extraction...................... |12/85| 151.1   145.1   152.6     14.0      5.2  
       14         | Mining and quarrying of non-metallic         |     |                                          
                  |  minerals, except fuels..................... |12/84| 146.8   147.4   147.2      2.1      -.1  
                  |                                              |     |                                          
                  |Total manufacturing industries............... |12/84| 137.0   137.7   137.7      2.8    0      
       20         | Food and kindred products................... |12/84| 137.8   141.6   140.9      6.3      -.5  
       21         | Tobacco manufactures........................ |12/84| 376.0   379.2   379.6      -.2       .1  
       22         | Textile mill products....................... |12/84| 116.2   116.2   115.2      -.8      -.9  
       23         | Apparel and other finished products made     |     |                                          
                  |  from fabrics and similar materials......... |12/84| 124.7   124.9   124.9       .1    0      
       24         | Lumber and wood products, except furniture.. |12/84| 161.0   168.0   165.7      7.5     -1.4  
       25         | Furniture and fixtures...................... |12/84| 147.5   147.8   147.8       .7    0      
       26         | Paper and allied products................... |12/84| 144.9   144.6   144.5      -.3      -.1  
       27         | Printing, publishing, and allied industries. |12/84| 197.8   198.2   198.5      2.3       .2  
       28         | Chemicals and allied products............... |12/84| 164.2   165.1   165.4      3.8       .2  
       29         | Petroleum refining and related products..... |12/84| 124.0   115.8   117.4     14.6      1.4  
       30         | Rubber and miscellaneous plastic products... |12/84| 128.7   128.4   128.8      2.4       .3  
       31         | Leather and leather products................ |12/84| 142.8   143.7   143.6       .8      -.1  
       32         | Stone, clay, glass, and concrete products... |12/84| 138.0   138.4   138.6       .9       .1  
       33         | Primary metal industries.................... |12/84| 117.8   119.9   121.1      2.5      1.0  
       34         | Fabricated metal products, except machinery  |     |                                          
                  |  and transportation equipment............... |12/84| 132.9   133.1   133.5      1.0       .3  
       35         | Machinery, except electrical................ |12/84| 115.9   115.8   115.7      -.7      -.1  
       36         | Electrical and electronic machinery,         |     |                                          
                  |  equipment, and supplies.................... |12/84| 102.4   102.1   101.9     -2.3      -.2  
       37         | Transportation equipment.................... |12/84| 137.1   140.9   140.2      1.9      -.5  
       38         | Measuring and controlling instruments;       |     |                                          
                  |  photographic, medical, optical goods;       |     |                                          
                  |  watches, clocks............................ |12/84| 130.0   129.9   129.8       .8      -.1  
       39         | Miscellaneous manufacturing industries...... |12/85| 133.8   134.0   134.2       .3       .1  
                  |                                              |     |                                          
                  |Services industries                           |     |                                          
       40         | Railroad transportation..................... |12/96| 109.1   109.7   109.5      2.2     -0.2  
       42         | Motor freight transportation and warehousing |06/93| 128.4   128.8   128.8      2.3    0      
       43         | United States Postal Service................ |06/89| 155.0   155.0   155.0    0        0      
       44         | Water transportation........................ |12/92| 151.1   149.2   148.9      4.7      -.2  
       45         | Transportation by air....................... |12/92| 163.1   163.6   164.0      2.6       .2  
       46         | Pipelines, except natural gas............... |12/86| 112.0   112.0   112.0       .2    0      
       48         | Communications.............................. |06/01|  97.5    97.4    97.0      -.4      -.4  
       54         | Food stores................................. |12/99| 119.6   118.6   119.0      3.8       .3  
       55         | Automotive dealers and gasoline service      |     |                                          
                  |  stations................................... |12/01|  92.2    91.6    89.0      3.4     -2.8  
       59         | Miscellaneous retail........................ |06/00| 106.4   105.4   103.5     -1.4     -1.8  
       80         | Health services............................. |12/94| 124.8   125.9   126.0      3.8       .1  
       81         | Legal services.............................. |12/96| 125.4   126.4   126.7      3.0       .2  
__________________________________________________________________________________________________________________
1/ Indexes in this table are derived from the net-output-weighted industry price indexes.  Because of differences 
   in coverage and aggregation methodology, they will generally not match movements of similarly titled indexes   
   which are derived from traditional commodity groupings.                                                        
2/ The indexes for August 2003 have been recalculated to incorporate late reports and corrections by respondents. 
   All indexes are subject to revision 4 months after original publication.                                       
3/ Not available.                                                                                                 
   
   Note: NAICS 2002 replaces the SIC classification system beginning with the release of PPI data for January 2004. 
   See http://www.bls.gov/ppi/ppinaics.htm for details.
Table 5.  Producer price indexes by stage of processing, seasonally adjusted
(1982=100)
_____________________________________________________________________________________________________________
                                                       |                                                     
                                                       |                      Index 1/                       
                                                       |_____________________________________________________
               Grouping                                |        |        |        |        |        |        
                                                       |  July  |  Aug.  |  Sep.  |  Oct.  |  Nov.  |  Dec.  
                                                       |  2003  |  2003  |  2003  |  2003  |  2003  |  2003  
_______________________________________________________|________|________|________|________|________|________
                                                       |                                            
      Finished goods...................................|  142.7    143.5    143.8    144.9    144.5    144.9 
        Finished consumer goods........................|  144.6    145.5    145.8    147.2    146.6    147.2
          Finished consumer foods......................|  144.6    145.9    147.4    150.7    150.2    150.5 
            Crude......................................|  124.0    130.6    137.3    134.3    133.3    148.9 
            Processed..................................|  146.3    147.1    148.2    152.0    151.6    150.5 
          Finished consumer goods, excluding foods.....|  144.3    145.1    144.9    145.4    144.9    145.6 
            Nondurable goods less foods................|  148.0    149.0    148.8    149.0    148.1    149.3 
            Durable goods..............................|  132.6    132.8    132.6    134.1    134.1    133.7 
        Capital equipment..............................|  139.3    139.7    139.7    140.5    140.3    140.1
          Manufacturing industries.....................|  139.8    140.0    140.6    140.8    140.2    140.3 
          Nonmanufacturing industries..................|  139.0    139.5    139.3    140.3    140.2    140.0
                                                       |                          
      Intermediate materials, supplies, and components.|  133.3    134.1    133.8    134.3    134.0    134.7
        Materials and components for manufacturing.....|  129.1    129.8    129.8    130.5    130.8    131.1 
          Materials for food manufacturing.............|  132.7    134.8    136.4    141.6    142.4    141.2
          Materials for nondurable manufacturing.......|  136.2    137.6    136.4    137.3    137.6    138.3 
          Materials for durable manufacturing..........|  126.9    127.3    128.8    129.6    130.7    131.3 
          Components for manufacturing.................|  125.8    125.9    125.9    125.8    125.7    125.7
        Materials and components for construction......|  153.2    153.4    154.9    155.3    156.0    156.0 
        Processed fuels and lubricants.................|  112.3    114.7    112.0    112.6    109.3    111.8
          Manufacturing industries ....................|  117.6    119.5    117.9    117.0    114.3    114.4 
          Nonmanufacturing industries..................|  108.9    111.7    108.3    109.9    106.2    110.2
        Containers.....................................|  153.8    153.6    153.6    153.2    153.5    153.4 
        Supplies.......................................|  141.4    141.2    141.7    141.8    142.7    142.7 
          Manufacturing industries.....................|  146.8    146.7    146.6    146.6    146.8    146.9 
          Nonmanufacturing industries..................|  138.9    138.6    139.2    139.5    140.4    140.5
            Feeds......................................|  104.4    101.5    107.4    108.7    118.2    117.7 
            Other supplies.............................|  143.2    143.2    143.3    143.4    143.5    143.6 
                                                       |                          
      Crude materials for further processing...........|  131.7    130.2    134.7    138.2    138.5    141.3 
        Foodstuffs and feedstuffs......................|  105.9    109.5    117.2    127.6    127.5    126.6 
        Nonfood materials..............................|  147.9    142.4    144.2    142.0    142.5    148.2
          Nonfood materials except fuel 2/.............|  114.5    116.7    114.2    119.3    121.2    125.0
            Manufacturing 2/...........................|  105.3    107.3    105.0    109.7    111.5    115.0 
            Construction...............................|  177.7    179.9    181.4    182.9    183.0    185.7 
          Crude fuel 3/................................|  189.1    171.2    180.1    165.8    163.8    172.1 
            Manufacturing industries...................|  179.5    163.0    171.3    158.2    156.3    163.9 
            Nonmanufacturing industries................|  193.5    175.1    184.1    169.5    167.4    176.0
                                                       |                          
                     Special groupings                 |                          
                                                       |                          
      Finished goods, excluding foods..................|  142.0    142.7    142.6    143.2    142.8    143.2 
      Intermediate materials less foods and feeds......|  133.9    134.6    134.2    134.6    134.1    134.8
      Intermediate foods and feeds.....................|  124.0    124.5    127.5    131.5    135.1    134.1 
      Crude materials less agricultural products 2/....|  150.1    144.5    146.2    143.3    143.6    149.7
                                                       |                          
      Finished energy goods............................|  101.5    103.1    102.8    102.7    101.5    103.3
      Finished goods less energy.......................|  148.5    149.0    149.4    150.9    150.7    150.6 
      Finished consumer goods less energy..............|  152.5    153.0    153.6    155.4    155.2    155.2
                                                       |                          
      Finished goods less foods and energy.............|  150.2    150.5    150.5    151.3    151.2    151.0 
      Finished consumer goods less foods and energy....|  157.6    157.7    157.7    158.6    158.6    158.4 
      Consumer nondurable goods less foods and energy..|  177.8    177.9    177.9    178.2    178.2    178.3 
                                                       |                          
      Intermediate energy goods........................|  111.6    114.5    111.1    111.8    108.6    111.0
      Intermediate materials less energy...............|  137.3    137.4    138.0    138.5    139.0    139.2
      Intermediate materials less foods and energy.....|  138.2    138.3    138.7    139.1    139.4    139.6 
                                                       |                          
      Crude energy materials 2/........................|  148.7    139.7    140.7    135.7    133.6    139.3 
      Crude materials less energy......................|  116.5    120.0    126.6    135.4    137.2    138.0
      Crude nonfood materials less energy 3/...........|  147.8    150.8    154.5    159.3    166.1    171.7 
_____________________________________________________________________________________________________________
                                                                                                             
  1/  All seasonally adjusted indexes are subject to change up to 5 years after original publication due to  
      the recalculation of seasonal factors each January.  The indexes for August 2003 have been recalculated   
      to incorporate late reports and corrections by respondents.                                           
  2/  Includes crude petroleum.                                                                              
  3/  Excludes crude petroleum.                                                                              
Technical Note


                Brief Explanation of Producer Price Indexes

     The term Producer Price Index (PPI) refers to a family of indexes that
measure the average change over time in the selling prices received by
domestic producers of goods and services.  PPIs measure price change from
the perspective of the seller.  This contrasts with other measures, such as
the Consumer Price Index (CPI); CPIs measure price change from the
purchaser's perspective.  Sellers' and purchasers' prices may differ due to
government subsidies, sales and excise taxes, and distribution costs.

     More than 10,000 PPIs for individual products and groups of products
are released each month.  PPIs are available for the products of virtually
every industry in the mining and manufacturing sectors of the U.S. economy.
New PPIs are gradually being introduced for the products of industries in
the transportation, utilities, trade, finance, and services sectors of the
economy.

     More than 100,000 price quotations per month are organized into three
sets of producer price indexes: (1) stage-of-processing indexes; (2)
commodity indexes; and (3) indexes for the net output of industries and
their products.  The stage-of-processing structure (tables 1, 2, and 5)
organizes products by class of buyer and degree of fabrication.  The
commodity structure (tables 2 and 3) organizes products by similarity of
end-use or material composition.  The entire output of various industries
is sampled to derive price indexes for the net output of industries and
their products (table 4).

     Within the stage-of-processing system, finished goods are commodities
that will not undergo further processing and are ready for sale to the
final demand user, either an individual consumer or business firm.
Consumer foods include unprocessed foods such as eggs and fresh vegetables,
as well as processed foods such as bakery products and meats.  Other
finished consumer goods include durable goods such as automobiles,
household furniture, and appliances; and nondurable goods such as apparel
and home heating oil.  Capital equipment includes producer durable goods
such as heavy motor trucks, tractors, and machine tools.

     The stage-of-processing category for intermediate materials, supplies,
and components consists partly of commodities that have been processed but
require further processing.  Examples of such semifinished goods include
flour, cotton yarn, steel mill products, and lumber.  The intermediate
goods category also encompasses nondurable physically complete items
purchased by business firms as inputs for their operations.  Examples
include diesel fuel, belts and belting, paper boxes, and fertilizers.

     Crude materials for further processing are products entering the
market for the first time that have not been manufactured or fabricated and
that are not sold directly to consumers.  Crude foodstuffs and feedstuffs
include items such as grains and livestock.  Examples of crude nonfood
materials include raw cotton, crude petroleum, coal, hides and skins, and
iron and steel scrap.

     Producer price indexes for the net output of industries and their
products are grouped according to the Standard Industrial Classification
(SIC).  Industry price indexes are compatible with other economic time
series organized by SIC codes, such as data on employment, wages, and
productivity.  Table 4 lists indexes for the net output of major mining and
manufacturing industry groups at the 2-digit level.

     Producer price indexes are based on selling prices reported by
establishments of all sizes selected by probability sampling, with the
probability of selection proportionate to size.  Individual items and
transaction terms from these firms are also chosen by probability
proportionate to size.  BLS strongly encourages cooperating companies to
supply actual transaction prices at the time of shipment to minimize the
use of list prices.  Prices are normally reported by mail questionnaire for
the Tuesday of the week containing the 13th.

    Price data are provided on a voluntary and confidential basis; no one
but sworn BLS employees are allowed access to individual company price
reports.  The Bureau publishes price indexes instead of unit dollar prices.
All producer price indexes are routinely subject to revision once, 4 months
after original publication, to reflect the availability of late reports and
corrections by respondents.

    The BLS periodically updates the PPI sample of survey respondents to
better reflect current conditions when the structure, membership,
technology, or product mix of an industry shifts significantly and to
spread reporting burden among smaller firms.  Results of these resampling
efforts are incorporated into the PPI every January and July.

    As part of an ongoing effort to expand coverage to sectors of the
economy other than mining and manufacturing, an increasing number of
service sector industries have been introduced into the PPI.  The following
list of recently introduced service industries includes the month in which
an article describing the industry's content appeared in the PPI Detailed
Report:

                                           PPI
                                        Detailed
             Industry                                    SIC   Report
                                                               Issue
                                                 
Wireless Telecommunications............................. 4812  July 1999
Telephone Communications, Except Radio Telephone........ 4813  July 1995
Television Broadcasting................................. 4833  July 2002
Grocery Stores.......................................... 5411  July 2000
Meat and Fish (Seafood) Markets......................... 5421  July 2000
Fruit and Vegetable Markets............................. 5431  July 2000
Candy, Nut, and Confectionery Stores.................... 5441  July 2000
Retail Bakeries......................................... 5461  July 2000
Miscellaneous Food Stores............................... 5499  July 2000
New Car Dealers......................................... 5511  July 2000
Gasoline Service Stations............................... 5541  January 2002
Boat Dealers............................................ 5551  January 2002
Recreational Vehicle Dealers............................ 5561  January 2002
Miscellaneous Retail.................................... 59    January 2001
Security Brokers, Dealers, and Investment Bankers....... 6211  January 2001
Investment Advice....................................... 6282  January 2003
Life Insurance Carriers................................. 6311  January 1999
Property and Casualty Insurance......................... 6331  July 1998
Insurance Agencies and Brokerages....................... 6412  January 2003
Operators and Lessors of Nonresidential Buildings....... 6512  January 1996
Real Estate Agents and Managers......................... 6531  January 1996
Prepackaged Software.................................... 7372  January 1998
Data Processing Services................................ 7374  January 2002
Home Health Care Services............................... 8082  January 1997
Legal Services.......................................... 8111  January 1997
Engineering Design, Analysis, and Consulting Services... 8711  January 1997
Architectural Design, Analysis, and Consulting Services. 8712  January 1997
Premiums for Property and Casualty Insurance............ 9331  July 1998

     Weights for most traditional commodity groupings of the PPI, as well
as all indexes (such as stage-of-processing indexes) calculated from
traditional commodity groupings, currently reflect 1997 values of shipments
as reported in the Census of Manufactures and other sources.  From January
1996 through December 2001, PPI weights were derived from 1992 shipment
values.  Industry indexes shown in table 4 also are now calculated with
1997 net output weights.  This periodic update of the value weights used to
calculate the PPI is done to more accurately reflect changes in production
and marketing patterns in the economy.

     Net output values of shipments are used as weights for industry
indexes. Net output values refer to the value of shipments from
establishments in one industry to establishments classified in another
industry.  However, weights for commodity price indexes are based on gross
shipment values, including shipment values between establishments within
the same industry. As a result, broad commodity grouping indexes such as
the all commodities index are affected by the multiple counting of price
change at successive stages of processing, which can lead to exaggerated or
misleading signals about inflation.  Stage-of-processing indexes partially
correct this defect, but industry indexes consistently correct for this at
all levels of aggregation.  Therefore, industry and stage-of-processing
indexes are more appropriate than broad commodity groupings for economic
analysis of general price trends.

     Effective with publication of January 1988 data, many important PPI
series (including stage-of-processing groupings and most commodity groups
and individual items) were placed on a new reference base, 1982=100.  From
1971 through 1987, the standard reference base for most PPI series was
1967=100. Except for rounding differences, the shift to the new reference
base did not alter any changes to previously published percent changes for
affected PPI series. (See "Calculating Index Changes," below.) The new
reference base is not used for indexes with a base later than December
1981, nor for indexes for the net output of industries and their products.

     For further information on the underlying concepts and methodology of
the Producer Price Index, see chapter 14, "Producer Prices," in BLS
Handbook of Methods (April 1997), Bulletin 2490. Reprints are available
from the Bureau of Labor Statistics on request.

                         Calculating Index Changes

     Each index measures price changes from a reference period which equals
100.0 (1982 or some later month). An increase of 5.5 percent from the
reference period in the Finished Goods Price Index, for example, is shown
as 105.5.  This change can also be expressed in dollars as follows:
"Prices received by domestic producers of a systematic sample of finished
goods have risen from $100 in 1982 to $105.50 today." Likewise, a current
index of 90.0 would indicate that prices received by producers of finished
goods today are 10 percent lower than they were in 1982.

    Movements of price indexes from one month to another are usually
expressed as percent changes rather than as changes in index points because
index point changes are affected by the level of the index in relation to
its base period, whereas percent changes are not.  The example below shows
the computation of index point and percent changes.

     Index point change

     Finished Goods Price Index              107.5
     Less previous index                     104.0
     Equals index point change                 3.5

     Index percent change

     Index point change                        3.5
     Divided by the previous index           104.0
     Equals                                  0.034
     Result multiplied by 100          0.034 x 100
     Equals percent change                     3.4



                  Seasonally Adjusted and Unadjusted Data

     Because price data are used for different purposes by different
groups, the Bureau of Labor Statistics publishes seasonally adjusted and
unadjusted changes each month.  Seasonally adjusted data are preferred for
analyzing general price trends in the economy because they eliminate the
effect of changes that normally occur at about the same time and in about
the same magnitude every year--such as price movements resulting from
normal weather patterns, regular production and marketing cycles, model
changeovers, seasonal discounts, and holidays.  For these reasons,
seasonally adjusted data more clearly reveal underlying cyclical trends.

     Unadjusted data are of primary interest to users who need information
that can be related to actual dollar values of transactions.  Individuals
requiring this information include marketing specialists, purchasing
agents, budget and cost analysts, contract specialists, and commodity
traders.  It is the unadjusted data that are generally cited in escalating
long-term contracts such as purchasing agreements or real estate leases.
(See Escalation and Producer Price Indexes:  A Guide for Contracting
Parties, BLS Report 807, September 1991, available on request from BLS.)

     For more information, see (1) "Appendix A: Seasonal Adjustment
Methodology at BLS," in the BLS Handbook of Methods (April 1997), Bulletin
2490 and (2) "Summary of  Changes to the PPI's  Seasonal Adjustment
Methodology" in the January 1995 issue of Producer Price Indexes.