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NEW YORK (TheStreet) -- What are America's corporate leaders saying about the issues of the day? TheStreet's reporters, during the course of their weekly coverage, will pose a thematic question to the business executives they interview.
This week's question: How has your business been affected by rising energy prices?
J.C. Penney's CEO Myron Ullman
J.C. Penney (JCP - Get Report) CEO Myron (Mike) Ullman III: "I just came from a
Federal Reserve board meeting and that was pretty much the topic of the day: At what point does the consumer find fuel and gas prices start to change their behavior? I think there is a point where someone says, 'Wait a minute, at $4 a gallon I better change the way I behave.' They might get a different car or refrain from driving as much on a leisure basis.
Gas prices have gone up rapidly over the past three to six weeks, but so far I don't think that has been weighing on our customer specifically, but if it persists we have to be realistic about it. A family has a budget, and fuel is one of the things that's not discretionary. Fuel is used to get to work or take kids to school. We are mindful of it. So far it is somewhat of an unknown. At current levels, we don't see it as a major drag on sentiment or spending," Ullman said.
Richard Domaleski, CEO of World Energy
World Energy Solutions(XWES) CEO Richard Domaleski: "Rising energy prices typically force companies to look more strategically at how they buy, manage and use energy. That's good for my business, because that's what we provide our customers. We apply process and technology to help them manage and lower their total energy cost. For example, through our online energy exchanges, we can typically extract 7% to 10% savings on behalf of the buyer. That said, companies should not wait until a crisis to begin taking energy management seriously."
Xilinx CEO Moshe Gavrielov
Xilinx(XLNX - Get Report) CEO Moshe Gavrielov: "That has a very secondary or tertiary impact on our business -- it actually doesn't impact the raw materials that we use for our products. It impacts the transportation costs which are a very small part of the product costs, on the whole, so I would say that we haven't seen any significant impact due to that."