A powder metallurgy material for use in the manufacture of electrical contacts and having enhanced cold workability consists essentially, by weight percent, of 5 to 20% tin oxide, 2000 to 5000 ppm, preferably 2000 to less than 4000 ppm copper, 20 to 200 ppm, preferably 20 to 100 ppm, lithium, balance silver. Such materials are produced by compacting the powdered components and heating to sinter the material to at least 93% of theoretical density. Such materials subsequently can be hot or cold worked to a form useful for the manufacture of electrical contacts.