Document 350nebBRJr2o4ogLo26Kb6r0

November 30 mo Mr. Ban Carpenter Sprague Electric Company Brown Street Plant North Adams, Maas. 01247 Dear Bent Randy Oraham and I enjoyed our visit with you. I am particularly pleased that I had the opportunity to meet you and to discuss In person the price Increase for Aroclor. The price of Aroclor 1242 will be Increased $0.02 per pound, effective 1 January 1971. The new price for tank car shipments will be $0.18 per pound, freight allowed. As I stated at the time of our meeting, there are several factors which lead Monsanto to this price Increase decision. Certain of the more highly chlorinated PCBs (polychlorinated biphenyls) have been found to persist In the environment, and may be hamful to sensitive marine and bird species. Due to this PCB environmental pollution problem Monsanto has withdrawn certain Aroolors frosi non-alectrleal product applications whera confinement and control of the PCBs are not possible. This has resulted In substantially lower volumes and Increased product costs. we Intend to continue to make these products available to the electrical Industry for use In sealed capacitors and transformers. In doing so, the need to conform with requirements dictated by the PCB environmental problem has resulted in additional increases In manufacturing coata, toxicological testing expenses, and re search costs. Monsanto has historically had a responsible pricing policy on Aroclor. We will continue to operate under the same policy and have approached this price change as one which would provide Monsanto only the minimum necessary revenue required by the true Increases In our cost of operation. We look forward to continued close relationships with 3prague HONS 037885 Mr. Ban Carpenter 2- Hoveaber 30, 1970 Electric. We solicit your assistance In the proper of these proiucts to minimize losses to the envlrcnaent. Sincerely, Abo cei p. 0. Benignus a. H. Orahaa H. S. Bergen T. L. Oossage Director of Sales Functional Fluids NUNS 087886