Document 07Q9zQG5Mb2zK7wZV2q61d7n

Monsanto F '**" B2SC Cummins Paton March 8, 1972 Aroclor Dielectric Price Increase 1650 5080 1800 1650 1460 1010 1070 P. L. SLAWON D. 000DWILLIE D. R. HANSEN J. 0. BRYANT E.D. W. STBOEN L. SHIMLEY H. R. FORD -S^B2SL T. L. (Jos sage B2SC P. 0. Benlgnus B2SL H. S. Bergen B2SP N. T. Johnson B2NK K. M. Potter B2N(J D. P. Smith - Please ask COP to take no action till after all customers notified by Field Sales Dielectric pf We intend to Increase Aroclor dielectric prices on April 1 to all customers. Please also note the following changes: 1. Capacitor produot line will consist only of: Capacitor 21 (Aroclor 1221) Aroclor 1232 Aroclor 1254 Aroclor 1016 Transformer product line will consist only of: Inerteen 70-30 Transformer Inerteen 100-42 Transformer Transformer Pyranol A13B3B Aroclor 1254 2. The following products are discontinued: Aroclor 1242/1248 (Capacitors) Aroclor 1260/lnerteen PPO (Transformers) 3. Still available to Q.E. (Rome, (la.) only will be D-50P508S-1 (equivalent to Aroclor 1254). D-50P508S-1 and Aroclor 1254 will be priced exactly the same. 4. Still available to Westlnghouse only as before will be Inerteen 54201CM (priced the same now as Inerteen 100-42) and Inerteen 54201KA (priced the same now as Inerteen 70-30). 5. Drum differentials In C/L or T/L is increased to $0.035/lb. and LTL to $0.055/lb. Smaller cans are also Increased. Our 55 gallon drums have been changed to give a stronger (and more expensive paoklng) to further minimize leakage. 6. All fluids are now prloed F.O.B. Sauget, Illinois. WeBt Coast pricing will alBO be F.O.B. Sauget. MOMS 098536 -27. Trip-leasing of railroad tank oars are eliminated. 8. Although Aroclor 125^ Is priced below Aroclor 1016, It Is more expensive on a cost per gallon basis. MONS 098537 Product Capacitor 21 (Aroclor 1221) Aroc lor 1016 Aroclor 1232 Aroclor 1254 Dielectric Price List Effective April 1, 1972 Capacitor Fluids* T/C $0.200/lb. 0.205 0.200 0.195 55 gallon drums '/LorT/L LTL 0.235 0.240 0.235 0.230 0.255 0.260 0.255 0.250 5 gallon cans 0.360 0.365 0.360 0.355 Transformer Fluids* product Aroclor 1254 Pyranol A13B3B Inerteen 70-30 Inerteen 100-42 T/C ?t). 195/lb. 0.210 0.210 0.195 *P.O.B. Sauget, Illinois C/L, T/L 0.230 0.245 0.245 0.230 LTL 0.250 0.265 0.265 0.250 30 gallon 5 gallon drums cans 0.255 "0.355" 0.280 0.370 0.280 0.370 0.265 0f 355 Special Transformer Products D-50P508S-1 Inerteen 54201CM Inerteen 54201KA G.E. (Rome, Ga.) Westlnghouse Westlnghouse (Sharon/South Boston/ Phoenix) As for Aroclor 1254 As for Inerteen 100-42 As for Inerteen 70-30 MQNS 098534 Customer Notification Please delay customer notification until Tuesday, March 14 except for the following customer locations: O.B. Westlnghouse Pittsfield 7 Hudson Palls J Rome, oa. Bloomington Sharon South Boston Phoenix Visit by T. L. 0ossage7 J. 0. Bryant J H. R. Ford March 9 March 9 Telephone T. L. Oossage March 10 Visit ,, TlE~or~HSB) TLG or HSB> prior to 3/15A2 TLO or HSBj DRH or CB as convenient 098539 Reasons for This Price Increase 1. Monsanto has voluntarily gotten out of much of Its PCB business to protect the environment and to preserve the continued usage of these products In dielectrics. All of our efforts In PCBs have been made to enable us to continue to supply dielectrics to the electrical Indus try. As the attached Wall Street Journal article shows (March 6, 1972) the government may malce our voluntary ban a permanent one. 2. Increased costs due to reduced plant productivity and severe curtailment of volume. As our published figures show, the withdrawal of PCBs from all except dielectric uses has cut our U.S. sales by over 30 million pounds per year or In addition, export sales which ran at over 10 million pounds per year and hence helped on volume have also been cut back. 3. Increased manufacturing costs due to pollution abatement facilities to prevent PCB escape Into the environment. 4. Heavy expenses due to blodegradation/toxiolty testing etc. related to the Investigations touched off by the PCB situa tion. 5. Increased costs (In capacitors) due to the higher cost of manufacture of the more biodegradable Aroclor 1016. 6. Increased costs due to new style, stronger drums. What of the Future 1. All dielectrics We are still doing all we can by biodegradation and toxi city studies as well as work on ANSI to InBure that PCBs still can be used In the electrical Industry. 2. Capacitor Fluids We would be remiss, however. If we did not look for alter natives. Dr. Munch Is actively engaged In this area but we have two areas to be sure of: physical properties and capacitor performance and environmental aspects in Its widest sense. It Is no good rushing out with another fluid that may have a fairly good LD-50 or that appears to be biodegradable. Environmental protection means much, much more them that. We don't want another PCB situation three years down the road. We don't think the electrical indus try wants that either. We are putting together a presen MONS 098540 tatIon on our efforts In new capacitor fluids in the next three weeks. We hope to present this to key capa citor manufacturers: management, production, RTl and . purchasing representatives should all be there together.' Can you identify key capacitor customers where such a presentation woul<Joe of benefit. I suggest: Oeneral Electric Westinghouse McCraw-Bdlson Aerovox Electrical Utilities Sprague Electric Comell-Dublller Universal Mfg. (Electronic Components) P. R. Mallory Let's agree on the list by March 13 and then tell purchasing of our intentions when you let them know our new pricing. Cumming Paton cs HONS 098541