Document 6xGL2Kgj9er6e5ydVdxr6nnE

I , IS TH2 Olsli'lrl (Court nf ihr lluitriJ States Fo r t h e So u t h er n Dis t r ic t o f Ne w Yo r k Un it e s St a t es o f Ame r ic a. Plaintiff, Na t io n a l Le a d Co mp a n y , Tit a n Co mp a n y . In c .. E. I. Du Po n t d e Ne mo u r s & Co mp an y , In c .. Defendants Civii No. 26-258 PROPOSED FINDINGS OF FACT AND CONCLUSIONS OF UW I. The Origin and Nature of the Business Involved ?E S, 3 f 2S'.C ( febsen i. 2696.2699-2700i Sarto,: 3144-49 , Rockw elM . 138-9 ( Ruegebeim, l Titanium is an eietuem contained in ilmenite and other minerals. Sands and rock formations containing ilmenite are found in India, the United States. Norway, Braaii, and else where throughout the world. 1 3144. 3153-60 (Rockwell i N'L 27, pp 38-55 2. Before World War II the leading American manu facturers of titanium pigments, the defendants National Lead and du Pont, obtained their supplies of ilmenite from India. Since about Augusc 1942. however, their supplies have come mamk from a New Y'ork deposit owned, opened up, and oper ated by National Lead pursuant to and in accordance with a directive of Office of Production Management approved by the Attoruev General of the United States. T 2701, 2737. 3695-6, 2742 I Barton i. 2821 (Jebseni 3. In and before 1920 there was no substantial trade or commerce in. and no commercial manufacture of, titanium pig ments for use in paint, paper, rubber, or other products; pig ments used for such purposes were tithopone, white lead, and r:::c o.vide. The- iue o: metallic titanium in alloys was under '.icieljpiuent by Titanium Alloy Manufacturing Company at Niagara Falls. N. V., and chemists engaged in that work i prin cipally Carton and Rossi) were aware of the possibilities of 1 PE 192. p. 754 PE 1/2. p. 896 I affect United States commerce. avu msy arc :. .:' :cc: to rctT-t:a::cn under the Sherman Act. Tlx- Cvur not rsneei or reymre mrr::..::<- : . the Csnactsr. agreements :c-r the tohowtiv,* re::- ;!. . i i .id. .K`. .a c : * . ' .. Court hose materia! interests "uid bo au- .e: sei>- affected. ''tit They relate wholly to business in a foreign country. i iu'i The parties are negotiating a revision o: the agreements so as to eliminate therefrom the ter ritorial and other restrictions and do not intend to restore the same. X. The du Pont Agreements (1931-1941) u3 Before 1931 United States rights under the Ehur.enfield patents uere heici by Commercial Pigments: from 1931 to 1935 by Krebs Pigment and Color Corporation, a Delaware vmnany owned To'i. by du Font; after I'.'jf by du Punt, to which manufacturing assets of Krebs uere assigned in 1935. Krebs was dissolved in 1943, and since then du Pont has con ducted ail of its titanium pigments operation? tnrough it. Pig ments Department. 44. Between 1920 and 1931 sales of titanium pigments by Xational Lead slowly but steadily increased. In 1931 it sold 8000 tons (in terms of TiOn content;. While sales of all pigments declined in the depression year 1932. sales of titanium pigments fell off relatively little, and sales by Xational Lead of titanium pigments exceeded total sales of white lead by ail manufacturers. Titanium pigments were on the way to overtake zinc oxide and even lithopone. Engaged in the pigments and paint business on a large scale, du Pont saw the handwriting on the wail and set out to acquire patent rights and technical information neces sary to manufacture efficiently and economically a full line of titanium pigments and thus to compete successfully in a poten tially large domestic market.