Document 44xOmD7pNkab5yBJOdVV1Gd0G

VCM Plant August 13, 1979 (Formerly) Conocochamieais Company, Continental Oil Company P.O. Box 605 Westlake. Louisiana 70669 (318)491-5211 A Division of ConOCO InC. Mr. Doug Beck, District Manager Perkin-Elmer Customer Service Division 13771 North Central Expressway Suite 701 Dallas, TX 75243 Dear Mr. Beck: Enclosed you will find the Maintenance Agreement you left with me for signature during your visit to the VCM Plant on August 6. I have not signed the Agreement as I find that we will need Perkin-Elmer's signature on a standard Conoco Construction Contract in order to complete our file according to Company policy. I have also attached two copies of the Construction Contract which I have signed for your consideration. If'the Conoco contract is acceptable to you, please have it signed for Perkin-Elmer and retain one copy for your file. If you will return the second copy to me along with the P&E Maintenance Agreement, I will execute the P&E Agreement and return it to you immediately as you previously requested. I have retained the Equal Employment Opportunity and Certification of Non-Segregated Facilities forms in my file. I have altered the P&E Maintenance Agreement as I indicated I would during our discussions at the plant. If you have any questions related to this matter, please give me a call. Sincerely is Enc CCR 000066494 conoco Interoffice Communication to P. E. Markey - Houston From J. A. DeBernardi Date August 13, 1979 subject Third Quarter Fixed Cost Variance Reforecasts Attached is presented in response to your telefax of August 8 on the subject. The changes indicated from our submittal of June 25, are basically the result of having actual 6-month fixed cost variance information available for use and work done on the preparation of the 1980 Fixed Cost Budget. The numbers presented do not reflect any costs associated with list of projects that could be done and expensed in the third quarter as presented in our July 13 letter on that subject. is Enc CC + enc: RDG-HDG-ORH CCR 000066495 REFORECAST OF PLANT VARIABLE COSTS ($M) Fixed Costs Payroll MM&C Utilities Misc. T.I.&D. Total June 25 Reforecast Third Quarter -0-0- - -0161.0 161.0 Present Reforecast Third Quarter 35.0 (80.0) (31.0) 161.0 85.0 Notes 1) Payroll variance is based on first half actual experience adjusted for estimated use of casual labor and extra work done on capital projects by plant personnel. 2) MM&C variance is based on first half actual experience and second half pre dictions made in 1980 budget adjusted for extra-ordinary projects not ex pected to be completed in 1979. 3) Miscellaneous variance reflects greater than budgeted R&D changes in third quarter, as well as waste hauling charge variance expected from disposal of waste secondary sludge from the sludge pit. 00066^96 CCR 0