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> Gas prices "stink"
Southsider2k12
post May 3 2007, 01:10 PM
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I know people aren't happy about the prices, but dealing with futures all day long, I can tell you later this summer, we will probably be wishing for these prices. mad.gif

http://www.michigancityin.com/articles/200.../news/news2.txt

QUOTE
Gas prices ‘stink'

By Laurie Wink, The News-Dispatch


Getting people to talk about gasoline prices is not difficult, especially with prices in Michigan City ranging from $3.09 to $3.19 for a gallon of regular unleaded on Wednesday. The lowest price was $2.99 a gallon at the Kroger gas station in LaPorte.

The Meijer gas station on Franklin Street on Wednesday morning was $3.09 a gallon, the lowest in Michigan City. Meijer credit card holders received an extra 3 cents a gallon discount. Patty Fries of Michigan City said she watched the gas price rise from $2.79 a gallon in the morning to $3.09 by the afternoon on Tuesday.

“It's outrageous because I have an SUV,” Fries said. “I told my husband we should have kept the car. I don't do any extra driving, that's for sure.”

Jim Wimmer of LaPorte said gas prices have forced him to postpone a vacation and he already plans to cut back this summer. “It stinks. We're being ripped off. It's really hard in Michigan City because jobs only pay minimum wage. I know people who are working three or four jobs because they're only making $5 a hour.”

Donna Cody of LaPorte, a cashier at the Meijer station, said, “We always try to stay lower than anywhere else,” she said, adding that the line of customers was almost back to the coolers earlier that morning.

The higher price of crude oil and the short supply of gasoline as refineries switch from winter to summer fuel blends are the reason for the high prices, said Nicole Niemi, spokeswoman for AAA Chicago. “The price of crude oil is high by any standard at $65 a barrel,” Niemi said. “To give you some perspective, four years ago, crude oil was $30 a barrel. At the beginning of this year it was $50 a barrel.”

At the Citgo station across from Meijer, gas was $3.19 a gallon and attendant Ryan Evans said, “Everybody's mad about it, I'll tell you that.” Evans said regular customers have told him that, if they weren't known, they'd be tempted to pump and drive off without paying.

Citgo manager Jake Shatat said his station is privately owned and gas prices are based on what area stations are charging. His prices went from $2.89 a gallon Tuesday to $3.19 on Wednesday. Asked to explain the reason behind the rising gas prices, Shatat said, “Your guess is as good as mine.”

Delivery drivers like Myles Kuchik of Michigan City are taking a hit. As a Jimmy Johns employee, he gets $5 for every $100 in merchandise he delivers, an amount that doesn't cover his fuel expenses.

“I hate it,” Kuchik said. “It's killing me.”

John Fegaras, an independent owner of the BP station near Interstate 94, said it's difficult to compete with corporate owned-stations that can sell gasoline at a loss to get people into a retail store. The price at his station was $3.19 a gallon for unleaded, which was 2 cents higher than the Speedway and Family Express on adjacent corners.

Manager Sherry Mougros said the station generally gets four fuel deliveries a week and the price can change with each delivery. The BP station's per gallon price is based on a formula that factors in its fuel cost, currently at $2.85 per gallon, plus state sales tax of 15 cents and a credit card service charge of 6 cents, bringing the total expenses to $3.06 a gallon. At $3.19 a gallon, the store makes 13 cents per gallon.

Fegaras said as pump prices go up, customers have less money to spend on incidentals inside the store.

“People have to realize it's not the gas stations that create the problem. It's the oil companies. Nobody comes out on the TV to protest. Forget the war. We have a war here.”

Just across the state line in New Buffalo, Mich., prices were $3.09 a gallon.




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Ang
post May 3 2007, 01:39 PM
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I can't believe your gas is so high!! Out here it is around 2.75 gal. I'm sure we'll see it over $3 pretty soon, but in the meantime, I'm glad I live in Wyoming right now. Also, concerning vacation, if this keeps up I may fly to MC this summer. I'm thinking it might be cheaper than driving!


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