Document 2qV5mBkOd1naa1d5a0Y6xmm75

^ A' y 2a u vv "y,, J . \ V i&poiT to '-.'Hi; J/wvA'iy ov ike boa:;;> g? ynscfoAs c:: taa ovaojo of FCi, iKPjV./hJETATj.'Gb RtO&HAK The worldwide i\b': ecuAon plan reviowed with trie Board in r;!:s. is being iu'ily implemented. Although customer acceptance h: s, in general, been positive. some are ro.ibine; questions which ray ereab. problems. V.'e remain hopeful \;e can resolve these orc>p'l.-mR cn a caw1 by vase basi-j. Ue ore on our estf.bli sb-o *.>,> `'i*h'lo, Thu status report on the domestic program is as follows: 1) Formal letter of notification to heat transfer customers was sent by registered ikp.11 on December Ip, 1971, to all known users. All sales have been discontinued. Some customer conversions to other fluids have been node, and our engineer team is available to help others convert on request, . 2) All original equipment capacitor and transformer customers for our PCS dielectric fluids were notified on December 21, 1971, that further sales after January 15, 1972, v;ould be dependent on receipt of financially meaningful and acceptable hold harmless agreements. To date six cor,.panlee have com plied, which represent 63$ of domestic dielectric, sales: General Electric, V.'estinghouse, KcGraw-Edison, ITS Imperial, Sprague Electric and Federal Pacific,.., Additional customers indicate they will comply and we expect the majority t so. Progress on this part of the program nov? permits us to notify miscellaneous "top-up" customers and repair shops of our plan and will permit referral to original equipment manufacturers for fluids. The dielectric program is'also being extended to a small group of miscellaneous dielectric customers using our fluid in the manufacture of closed switch gears, electric magnets and hermetically sealed electric motors. 3) All plasticizer customers were notified on December 31, 1971, of our intention to discontinue POT sales for this use effec tive March 31, 1972. In a limited number of hardship cases where the customer requires lead time to develop alternate formulations, such as certain investment casting customers, a program consistent with our overall program has been developed, including hold harmless agreements, to allow sufficient purchases before our cutoff date to permit the customer's required reformulations. 0427*07 EX P-2872 Page 1 of 3 PCB-ARCH0750346 4) A letter will be sent on January 31, 1972* to all users, of rCT-containing hydraulic fluids, notifying then that Monsanto will cUis-.hr>to rales of PCI"8 for this e:;r- no later tnan June 3d, 197'J!. . The etii.L--. I'cno; t on orr EX-U.S.A. progrtus is as followss 1) All ealc-3 of roll's for all uses other than as dielectric fluid:: will be termlr.eted January 33, 1971'. 2) Continued sales of PCB's for use as dielectric fluids after March 31, 1972, will be dependent upon receipt of hold harm less agreements acceptable to Monsanto from customer.* whose financial responsibility makes such agreements meaningful in Monsanto's opinion. 3) Sales of PCT's Ex-U.S.A. will be discontinued on the same time schedule as used on domestic sales. The President has authorized MICC's Managing Director to make exceptions on a case by case basis. Two have been made in our Ex-U.S.A. program: 1) Because of the safety needs of the German coal wining industry for our PCB-containing hydraulic fluids, sales will continue for this use for the shortest,.possible time beyond January 31, 1972, to permit clearance of substitute materials. Indemnity agreements are not possible, but techniques of sale reviewed with German counsel are being utilized to minimize our exposure. 2) A commitment to sell 600 tons of our PCB dielectric fluids was made to the Russian state purchasing authorities in December, 1971, prior to formulation of our Ex-U.S.A. program. Completion of deliveries before our March 31, 1972, cutoff date is not possible nor is an indemnity feasible. Full disclosure of problems is being made, but some deliveries will occur Into July, 1972. We have been in close touch with the Federal Interagency Task Force under Dr. Edward J. Burger, Jr.'s direction. This tack force is preparing to issue a report on PCB's about mid-February. We will be allowed to work with them in its preparation. On January 21 and 22, Monsanto representatives met with a group of scientists to discuss the general PCB situation. Present were Dr. Y/arren Muir, Council of Environmental Quality, Dr. Edward Goldberg, Scrlpps Institute of Oceanography, Dr. Robert Riseborough, University of California, and George Harvey, 'Woods Hole Oceano graphic Institution. The meeting went well and we feel the scientists left with a much fuller understanding of the overall PCB issue than they had previously. ' 04.27208 EX P-2872 Page 2 of 3 PCB-ARCH0750347 -2-c Vic hive airsciu cU the essentiality of the use . of PCB's for otrio ! :.v! th hey co.'.pan'ea in the electrical Inc'u-.t.ry anc. t-o.-.: rci i.-ctrlo and Uestin^house Electric have sub:; Itted report:; to tr.r. tlcnal Industrial lolluuion Council amt ths Office of Coleuco & technology in whioh they testified at to the nc-5ty for o.-.r.Mrvva use in tits so aval;ext.'c.i:. and the etepo beir;;; tcv.cn to contain the FOB'S in these electrical closed systems. V.'e expect to complete our entire imolcr.sntation program on schedule. o09 EX P-2872 Page 3 of 3 PCB-ARCH0750348