Document 913jaZNK8nQ56dGq5ypnodx3V

CYANAMID d? Request For Capital Expendltures/Retfrements REPORTING CLASSIFICATION C-1 DATE APPROVED 6/22/83 JOB ORDER NO. PP-5858 DIV.SION OR COMPANY ^olyraer.. Products__________' JCATIITN j .o . c o n t r SUMMARY OF AMOUNTS DESCRIPTION LOCAL CURRENCY ESTIMATED p r o j e c t c o s t f U.S. DOLLARS `ns Chicago Plant________________09 7 Install liners in dry white mill d is ma n t l e me n t e x p e n s e TRANSFER e q u ip me n t GROSS AMOUNT FOR APPROVAL LESS TRANSFER EQUIPMENT RGna 1 L.gsfe' OR TRADE-IN NET CASH REQUIRED (g o f - 30271 -------------- 8608--1 RETIREMENT DATA COST DISMANTLEMENT LESS SALVAGE AMOUNT 2000 . 500 TOTAL - CHARGE RESERVE 2500 DESCRIPTION AND REASONS REQUIRED ECONOMICS as called for in General Procedure Memo#3 Attachment C (Attach calculations) ECONOMICS PERIOD NET SALES NAT (P RO Ft T/SAVINGS) TOTAL INVESTMENT V* ROI (o n t o t a l in v e s t .) INTERNAL RATE OF RETURN PAYOUT OF NEW FIXED CAPITAL REV.# t [2 !:. 3 4 . . :5; 6 7' REVISION DETAIL (g r o s s a mo u n t ?) DATE AMOUNT CUM*; AUTHORIZATION Funds of . _______________________________________________________________. ......,,_______ 8608 ate requested to install new liners in "the dry white.(carbonateT^mill. i. JUH 9 i.08? 5.77 NA 30Q6 REV. 5 -7 7 PP=5858 6/22/83 Page 2 of 5 PROPOSED WORK & COST Funds of ___________________________.__________________________________. _______ are requested to install new liners in the dry white (carbonate) mill. \ 8608 PRESENT SITUATION PPG Industries, a major customer with potential annual sales of Ml.5 pounds has changed their specification with reguard to oil absorp tion and dispersion of our Cyastab #40. After the Cyastab #40, a basic lead carbonate is manufactured and dried, it is milled in a C-E Raymond #50 Imp Mill. This mill was built in 1926, and has never been relined. The mill was inspected by C-E Raymond and found to be in need of new liners and hammers. The hammers have been since installed. We are currently only partially approved as a supplier, since our product is only borderline acceptable to the customer. We are attacking this problem on two fronts; one in the laboratory to de- velope a chemical means for controling oil absorption and-^paxticai size, two in the plant by upgrading our carbonate mill. ^ We cannot guarantee that the mill liners will resolve the problems, but it is sound business logic to maintain process equipment at peak efficiency. JUSTIFICATION By not being able to meet the customers new specifications, the plant is loosing an estimated Ml.5 pounds of Cyastab #40 sales. Hammond Lead, a competitor, meets their new specifications. Their product has some other undesirable effects, and therefore is not completely acceptable to PPG. This customer will soon be accept ing bids to supply 100% of their needs. N14628.01 CYWI 25-0007277 CO M M ERCIAL FACTORS h tn w vo rt c co fu cn co CTcS H- fD 1--i I--1 rt tn "* rt n O r fD 3 iQ O C 01 O' pi 0 h0 ft S ff u.> a-o\ io IV M M it=> >fc> cn vo 03 to to cn cn O H) pj H- f-S H O' tn 0 rt 3 CD 03 rt fD CD H M rt vo fD' co H CO PP-5858 6/22/83 Page 3 of 5 i-3 3" Htn o H Q. (!) H in v*eoa i-i rt cn to Cn co ir< O' in cn --tt1in I-1 Co -c/> V l-1 ft) 3 rt tr c Dj vQ n> rt Hi O 03 vo K <n fu i-i vQ H- 3 3 H 3 cn O O 3 cn fD I CO 7K' -u> O tn (D CD Cn tn rt 3 cr H- H- N (D H tn O tn Hi O H* o s; tn oP CYWI 25-0007278 PP-5858 6/22/83 Page 4 of 5 DETAILS OF PROPOSAL A complete set of new liners will be purchased from C.E. Raymond and installed by plant maintenance personnel. PRODUCTION FACTORS This proposal will improve product quality by improving the products grind and therefore improving its dispersion properties. CONTINGENT FUTURE COMMITMENTS This proposal will not require additional funds to complete. Further testing will be done by laboratory personnel to reduce oil absorption. ALTERNATIVES CONSIDERED Do nothing---------- This would result in the loss of 1..5M pounds of basic lead carbonate sales . We would also not be able to bid on PPG 1984 business requirements. ___ - Purchase from other manufactures and repackage for resale---------- -- This is not possible, since no present manufacture completely meets the customers new specifications. Replace present mill with a new mill-- rejected as too expensive, and long lead time required. RISKS No operating risk are involved. CONCISE SUMMARY Reline the present carbonate mill to enable the plant to meet the customers new specifications and regain a estimated Ml.5 pounds in sales. CYWI 25-0007279 M pf*NTC#> GOP- S02 REV. 7/82 uifc 7/82 DETAIL SHEET SHEET NO. JOB ORDER NO. COMPANY AMERICAN CYANAMID ITEM OR CODE HO. DESCRIPTION Mill liner and parts Mill bearing 3 Shipping 4 , Dismantlement 5, Tax LOCATION CHICAGO Eq u ip me n t OR MATERIALS PP-5858 6/22/82 -Page 5 of 5 May 18,1983 ENG. MECH. SVC. 5440 950 250 500 368 7508 1000 100 1000 100 6540 950 250 500 368 8608 DISMANTLEMENT MILL LINER ACQUI SIT I ON DATE VALUE 1971 2;000 EST DISPOSITION SCRAP CYWI 25-0007280