Document 3No7wbDZYaM9Oz26V7djzk3ax

International Smelting and Refining Company East Chicago, Indiana Pigment Diuision Mr. B. E. Dwyer, Executive Vice President, Anaconda Copper Mining Company, 25 Broadway, lev York 4, I. Y. March 1, 1946 Dear Mr. Dwyer: This is a summary of the sales position of sine oxide and white lead for the month of January, 1946. Table Bo. 1 gives a comparison of sine oxide sales for January, 1946 and Dscamber, 1945. Also a comparison for the same months for the preceding years. The latter la in the right-hand column. TABLE 10. 1 January December 1,525,000 Lbs. 1,030,565 Lbs. 869,110 Lbs. 1,090,400 Lbs. Sales for January, 1946 were up substantially over those for December, 1945* This increase is accounted for mainly by American process lead free made on Bo. 4 muffle furnace from secondary metal. The sale of oxide made from high grade metal, leaded sine oxide and regular muffle zinc oxide sold to the rubber trade remained at satis factory levels but did not show substantial increases. Table Bo. 2 gives the sales year to date through January for 1946 and 1945. n_ o 1946 1945 Sales Year To Date - January 1,525,000 Lbs. 869,110 Lbs. Table Bo. 3 gives the sale of zinc oxide by months beginning with September, 1945. It was during the latter part of this month that we became competitive on the price of lead free zinc oxide. Since then the sales for every month have been ahead of those for the preceding months. We are hoping that February, 1946 will show at least a slight Increase over January, 1946. February is a short month and in some sections of the country two holidays are recognized. In addition to this labor unrest apparently bad some Influence on our business as a PNYC00001517 N10212 Mr. I. X. Dryar 8- Xsreh 1, 19*6 few days before th* first *f February w* noticed omsld*r*bl lorii| up ud tb*r* was no pick-up until about th* 20th of February. Business during th* last reek of February ha* boon good. V* are optinistie about sine oxide sale*. Zt looks a* though for March they rill be in the neighborhood of 1,800,000 pound*. The large rubber conpaaies are still out of th* aarket a* far as we aro concerned a*inly because of their large Inventories. If one or two of those companies should start buying it would nek* a substantial lnproronent In th* sales picture. ***** no. ^ Septenber October ovember Dscenber January February (Probable) 728,200 Lbs. 814,850 Lbs. 963,900 Lbs. 1,030,565 Lbs. 1.525.000 Lbs. 1.550.000 Lbs. Table *o. 4 gives a breakdown of sales according to paint, rubber, and miscellaneous industries. TABU 10. 4 1246 Pounds JAXBABY Isis* 1945 Issafe. Value Paint Bubber Miscellaneous 7*2,200 283,600 499.800 $ 55,297.75 20,770.00 322,360 385,950 160.800 23.959.31 36,853.63 ..154.82I-.15 1,525,000 $ 116,461.61 869.110 t 76,6*0.07 1245 land* SBCmn sine 1944 Pounds Value Paint lubber Miscellaneous 619,000 mM138,200 *5,970.00 10,104.50 g?i3J*t.42 372,900 5*8,65 168.850 | 27,7*6.75 52.895.88 17.036.89 1,030,565 78,4*6.99 1,090,400 97,679.52 Sales to th* rubber industry for January were up somewhat over Dscenber but are still considerably below normal. V* are ex pecting these sales to Improve substantially in MarA. Vhlle sales to the paint industry remain very good the out look is far from encouraging. Vhlle containers and pigments such as PNYC00001518 Mf, 1. 1. Sijn -3 rah 1, 1946 titanium dioxide and llthopone ara very tight the major factor la linseed all. 1 an quoting from an article that appeared la tha American Palat Journal In tha February 25, 1946 laaua. "Paint manufacturers who have baan ao fortunate at to have oil on eontraot now find that whan thoaa contracts axplra thay cannot ba renewed; thara ara rumors that sons of tha palat plants any have to elose, but to data wa have not hoard of any ena actually closing. About 440,000 bushals of flaxseed ara azpaetad from tha Argontins In Marsh, which will only ba a drop in tha buskst; but arushars ara doing their bast to taka ears of their customers in a small way." Table Mo. 5 glwos tha average salaa price par pound for alms oxide for tha past three months. a.w uo. a Mowembbr Average Salas Price - Par Pound 7*637# 7.612# 7.560jf Tha average sales pries par pound has boon going up gradually. For February this wary likely will bo about 7.75# par pound duo to an lnoroaso in the sals of the higher prised grades of sins oxide made from high grade metal. Table >o. 6 gives s comparison of white load sales for January, 1946 and December, 1945. Also a comparison of tha corres ponding months for a year ago. The latter Is cm tha right-hand aids. wantn uo. <; January December 1,478,688 Lbs. 955,136 Lbs. 2,281,616 Lbs. 1.537,04? Lbs. Salas far January, 1946 are up substantially ewer . Desamber, - This Is daa to soma extent to timing since all tha load am e*s6b far shipment In December could mat ba shipped because wa did nett'hnva- tha proper grades due to the low Inventory at last Chisago. MM n result boom of the lead that should have beam shipped In Deosmher was shipped la January. Furtharmora there Is some speculative buying but most of the Increase Is accounted for by the shortage of leaded sins oxide. Most paint manufacturers sennet gst tha amount of loaded xlns oxide they need and are purahaslng white lead and lead free alms oxide to get the equivalent, although their cost par gallon of paint Is Increased substantially. He restrict our sales of leaded sins oxide to about U$ tens per month because of the shortage of lead sulphate but we could very easily sell 500 tons per month if we had it. Considerable pressure Is being put upon us all the time by our regular customers to PNYC00001519 Mr. 1. X. Dvyer -4- >rch 1, 1946 lunu the unit of loodod sine oxldo ve can famish then vhloh vo m not In position to do. Solos of dry vhlto lood for February, 1946 vlll ho shout 1,500,000 pounds. Sloes our Inventories st Boat Chicago aro vary lov and produotion la lloltad by CPA to approximately 550 tona par month, it is quits likely that va vlll continue to sell our output of 550 tons monthly. Va prohahly could sell eoaaldarahly more if it vara available. fable Xo. 7 gives the sales of vhlte lead year to data through January of 1946 and 1945. TAM.n un. 7 1946 194S Salsa Tear To Sate - January 1,478,688 Lba. 2,281,616 Lbs. The abnormally large volume of sales shown for January, 1945 la accounted far by the advance buying on the part of the paint Industry due to probable restrictions an the production of dry vhlte lead. These restrictions materialised but It vaa not foreseen that there vould be reatrlotlona on the consumption of dry vhlte lead also. The result vas that the paint mnufaeturers bad to carry large Inventories of dry vhlte lead during most of the year 1945. Table Xo. 8 gives the average sales price per pound for dry vhlte lead for the past three months. tam.v mo. January December Xovember Average Sales Price - Per Pound 8.361# 8*353# 8.362# To summarise, sine oxide sales for January continued the upvard trend vhloh began vhen ve vent competitive cm the price of lead free alma sxlde during the latter part of September, 1945. Vhlle sales far February nay not be over those for January they vlll be at least equal vhloh Is very encouraging considering that February Is a short month and va felt most of the result of the steel strike during that month. Far March ve expect a continuation of the upvard tread and look far sales of approximately 1,800,000 pounds. Dry vhlte lead sales for January vere up substantially. Vs expect than to be off soaevhat in February and la March they should reach a level of about 550 tans per month vhloh Is the maximum produc tion allowed by CFA. Va expect to continue to sell the production of the vhlte lead plant despite the unfavorable outlook for linseed oil as vhlte lead and lead free sine oxide are being used as a substitute pNfC0000152o Hr. B. I. Dvyor -5- Msroh 1, 19*6 for losdod sine oxldo which is short sad will wsry llksly sontlnu* to bs short for u indsfinitw period. Tory truly yours. T.H.Hurlossiho ect Mr. Frederick Lslst / Mr. r. 0. Csso Mr. 0. X. Johnsob PNYC00001521