Document BRkDjZd54LyXgY5qZBrQnmbVm

CONSTRUCTION PRODUCTS DIVISION WRG 00116 January 4, 1972 PtAINTiFF'S 1XHIBIT WRG-641 TO: Zonollte Regional Managers Zonolite Product Managers RE: Royalty Payments and Receipts c.c. B. R. Williams H. A. Brown John F. Murphy 0. M. Favorlto G. A. Tierney R. W. Sterrett/Zono-Atlanta R. M. Vining K. W. Harrison CONFIDENTIAL As a result of a review just completed of existing licensing agreements between Grace, on behalf of Zonollte, and other firms and individuals, it has been decided that the management of royalty agree ments, at least as it pertains to royalty income and payments, should , be centralized. Z have been designated to do this. Attached is a Hating of the various royalty agreements which are known to us in Cambridge. Will you please review it for accuracy and completenesa. Zf you have any comments on the list, additions or deletions which should be made, please send them in to me. Note also that, as stated in the CPD Policy Guide 304, only the President of the Division has the authority to execute an agree ment to license a CPD patent or one belonging to another firm. Thanks for your cooperation. RZM/BLD Attachment R. 1. Morris TO: Zonollte Regional Managers Zonollte Product Managers c.c. B. R. Williams H. A. Brown John F. Murphy 0. M. Favorlto G. A. Tierney R. W. Sterrett/Zono-Atlanta R. M. Vinlng 036363G0 DATE: January 4, 1972 CONFIDENTIAL ZONOLITE AGREEMENTS The following agreements are still in force: A. - These are licenses under the Masonry Fill Patent, except as noted. 1. Southwest Venaiculltc ~ January. 1966 This is the standard agreement allowing the use of the patent and trademarks. Payments, at $.005 per cubie foot, are to be made quarterly and the contract is an evergreen one. There is nothing in the legal file in dicating this agreement was terminated. We are not getting payments. 2. Vemlcullte Products. Inc. - January. 1966 The same comments apply. 3. F. Hyde A Co. Ltd, - 1966 - Ontario and Quebec Sales Agreement Minimum 3,500 tons in contract year; evergreen. Patent Agreement 1/2 cent ($.005) per cubic foot made by Hyde, less applicable withholding taxes to be paid by Zonolite on royalties remitted. Minimum $750. Payment each calendar quarter. We are getting payments. Trademark Agreement Exclusive for territory. No payments. Licensee to furnish at least onee each year a sample of each and evety product it markets and sells under any of the trademarks. (Continued) SUBJ: Zonolite Agreements -2- 03C3o3Gi January 4, 1972 A. F. Hyde & Co. Ltd, (continued) Redi-Earth - License Agreement Use of Trademark. Exclusive for Territory. No Payment. Agrees to furnish at least once a year sample of product. Evergreen. 4. Cleveland Builders Supply Company - 1961 Agreement covers manufacture, sales and license under the patent. Payment $.005 per cubic foot. Minimum $100. Evergreen. There is a note in the legal file that Cleveland Builders bought out Archer-Daniels vith whom ve had a similar agreement (1959). There is a further note that Cleveland Builders is now Cleveland Gypsum Company. No changes in anyway reflecting this situation appear in this contract. Ue are getting payments. r 5. Vermlcullte of Hawaii - 1965 Extension by Letter The original agreement was signed in 1960. It granted license to manufacture and sell. Also licensed to use the trademarks. Minimum purchase - 500 tons per year. No Payment. Evergreen. There is also an agreement (1959) which licensed them to manufacture at a royalty of $.005 per cubic foot. It required quarterly payments. The minimum annual total was $100. Although a new agreement was drawn up in 1967, it apparently was never signed. We are not getting payments. 6. B. F, Nelson - 1967 Agreement covers manufacture at a royalty of $.005 per cubic foot. Payment due quarterly. Minimum annual payment is $500. Evergreen. We are not getting payments. 7. MacArthur Co. - 1958 Agreement covers manufacture and sale. Royalty payment of $.005 per cubic foot, payable quarterly. Minimum payment is $100 per year. There is also a trademark license with no royalty required. Evergreen. We are getting payments. SUBJ: Zonolite Agreements .3. 03tJ3o36i January 4, 1972 A 8. Materlales Alslantes, S.A. - 1960 Trademark Agreement Use of Zonolice In Mexico. No Payment. To submit periodically samples of product. Evergreen. Sales Agreement - 1948 No minimum order/annual requirement. We are not getting payments. Evergreen. 9. Schall-Und Larmbekampfungs - 1952 Sales Agreement. Trademark covered. As of 1960 no shipments of ore were made. We are not getting payments. 10. Vermlculite Puerto Rico - 1962 Antilles Perlite may now have responsibility. This contract is no longer in effect per R. W. Sterrett. Legal has not been formally advised. Sales Agreement. Minimum 250 tons per year. Trademark agreement. Evergreen. We are not getting payments. 11. Vermlculite of Japan. Ltd. Apparently terminated by letter 3/10/65 from Bishop. Letter from Joe Kelley which reinstated it talks about new contract. Nothing in Legal file about new contract. This should he looked into and clarified. 12. Robinson Insulation Company - 1966 Manufacture and Sales License Royalty $.005 per cubic foot. Minimum $100. Evergreen. We are getting payments. Sales Agreement Minimum purchase 625 tons. Trademark License No payment. Furnish sample of each product once-a-year. Evergreen. SUBJ: Zonolite Agreements -4 0363oUSsj January 4, 1972 A. - 13. Texas Vermlcullte - 1960 Manufacture and sales license. Minimum 500 tons per year. Right to use trademarks. Evergreen. We are getting payments. 14. Vermlcullte Intermountain - 1956 and 1959 Manufacture and Sales License Royalty $.005 per cubic foot. Minisum $100. Minimum purchase - 500 tons per year. We are getting payments. Trademark License No payment. Evergreen. > Each of these was terminated by letter 10/28/64, by Bishop with statement that new contracts would be forthcoming. ! In March, 1965, Kelley wrote extending the earlier agreements until a new contract was ready. New drafts were prepared In 1967 but there ere no signed ones In the legal file. 15. MICA Pellets. Inc. - 1968 License to Manufacture and Sell Royalty - $.005 per cubic foot. Payable quarterly. Minimum payment $500 annually. Evergreen. We are getting payments. 16. SaeHni (S. Carrasco S.A.C.) - 1950 (Oille) Exclusive license for Chile to manufacture and sell. AgTees to buy all vermlcullte from Zonolite. Trademark No payment. Minimum - 4 carloads annually. Evergreen. Beauregard has nothing on this. SUBJ: Zonolitc Agreements -5- 03G363G4 January 4, 1972 B. - These are a miscellaneous grouping o agreements wherein Grace is committed to royalty payments. 1. American Tlotation Corn. - 1971 Exclusive world-wide license for manufacture and sale of material produced, except for two situations. Royalties to be paid by Grace: a. 1-1/2% on first $1,700,000 of total net sales. b. IX on total net sales over $1,700,000. Initial fee - $5,000 after execution of agreement, fully creditable against running royalties for remainder 1971 and calendar year 1972. If royalties are less than shown below, Grace must pay difference in 90 days or lose exclusivity. 1972 - $ 7,500 1973 - 10,000 1974 - 15,000 1975 - 17,500 1976 - 20,000 1977, 1978, 1979 - Grace to pay running * royalty and IX. No royalty aftar 1979, converts to paid-up exclusive for life of patents. Grace reports within 90 days of each 12-month period. No records in Cambridge. Vest Coast handles this. 2. Societe La Vermicullte - 1970 Wallboard license to Zonollte (W. R. Grace & Co.) to manufacture and sell "Pannofeu" and Vicueelle wallboard and adhesive products. Payments - $40,000 on signing. Royalty IX of net sales value of all licensed products. Reports by Grace within 60 days after close of first half and second half of each contract year. Minimum $10,000/year. Expires 1975. Beauregard has nothing on this. SUBJ: Zonolite Agreements 03636365 -6- January 4, 1972 B. 3. FMC Corporation - 1968 Option to acquire rights and a license to technique of encapsulating seed using die-foming method in which vermiculite is impregnated with polyvinyl acetate, etc. Terms of option extended to December 31, 1971. K. W. Harrison negotiating. 4. National Gypsum - 1970 License under National's patents (U.S. and Canadian) covering spray plaster for application over metal. Payment - $2,000 annually as pre-payment royalty, payable on anniversary date of execution (January 28, 1970). If Zonolite sublicenses, it must pay 75% of the total royalties collected. Royalty report to National on or before 30th day following each quarter setting quantities made or used by sub-licensees. Term - Life of Patent. We are current on this. 5. Berner Industries - 1968 : Beadboard Agreement. License to Grace under Berner patents on molding expandable thermoplastic beads. U.S.--Grace pays 0-25 million bd. ft. -- 1.51 of net selling price 25 million* " " -- 1.0X " " " ' Minimum - $35,000/year. If under this, then Grace has 30 days to make up difference. Grace will report to Berner within 60 days after end of each calendar quarter, in writing, royalties payable together with check. Grace keeps accurate records. Minimum was changed but doesn't show in legal file. We are current. .6 Ouik-Lok Trim Company - 1971 License and trademark agreement covering "Metal Stud for Polystyrene Foam Sheets" Royalties: Running royalty at $10.00 per thousand linear feet. Payable quarterly. Minimum payments: From execution to end of 12-month period beginning with next calendar quarter - $10,000 Second twelve-month period - 20,000 Third " - 30,000 Fourth " " - ` -40,000 Each succeeding twelve-month period - 50,000 (continued) ( SUBJ: Zonolite Agreements O363o36b -7- January 4, 1972 B. - 6. Oulk-Lok Trim Company (continued) If royalties paid are less and Grace doesn't pay difference, Quik-Lok has the option to convert to a non-exclusive license. Life of Patent. No payments have been made as yet. In addition, we have agreements with the following which are not in the legal files: 7. Richard J. Leonard - 1957 Agreement relative to an improvement in a plaster mix. Exclusive. Entered into by Venard for Western Mineral Products. Right to manufacture, use and sell and to grant sub-licenses. Royalty: 1/2 cent - per container with net contents from one to nine pounds. 1 cent - per container with net contents from' ten to twenty-five pounds. 1-1/2 cents - per container with net contents above twenty-five pounds. Payments made quarterly. We are current on this. 8. Thermal Conduits - 1969 A letter signed by Babb authorizing a commission payment by Zonolite of $0.15 per bag paid quarterly on bags of Z-Crete. Beauregard says this is handled by the West Coast. 9. SAF-T-BED Com. - 1967 License under their patent entitled "Animal Bed" of exfoliated vezmicullte. Exclusive with right to Grace to manufacture and sub-license. Royalty - $.0125 per cubic foot, payable quarterly. Minimum - $6,000 per year. Beauregard has nothing on this. e* C. - These are sales agreements with no royalty payment to Grace but a stipulation to buy all or an annual minimum amount is stated. 1. C. Gartenmann & Co. of Switzerland - 1948 This is a sales agreement which also licenses uses of the Zonolite trademark. There is no royalty Involved. The distributor cosmitted to buy all of its vermiculite ore from Zonolite. Evergreen. We are not getting payments. SUBJ: Zonelite Agreements 03636367 8 January 4t 1972 C. - 2. Arl-Zonollte - 1955 Minimum - 100 tons per year. Agreement covers trademarks and patent licenses. Evergreen. 1964 - Bishop vrote letter terminating agreement. In 1965, J. Kelley wrote continuing it. Nothing more in legal file. We are not getting payments. 3. Duwe Precast Concrete. Inc. - 1965 Perlite Aggregate Agreement. Entered into by Western Mineral Products. Minimum 400*500 4-cubic-foot bags per day. Otherwise, agreement to purchase all of the perlite aggregete re quirements from Western. Evergreen. Beauregard has nothing on this. 4. National Cement Products - 1955 Zonatile - license to manufacture. Buy entire vermicullte requirements from Zonollte. Beauregard has nothing on this. Ose of Trademark No payment. Evergreen -- never cancelled. Company may be out of business. ** D. - This is a group of agreements covering specific products where payments by Grace are required. 1. Falcon Mftt. Inc. - 1966 Sales Contract. Polystyrene - board feet. Evergreen. Sales Agreement - 1966 Zonollte products. Payments -- a set coonlsslon schedule, payable by us by 20th day after completion of sale. Beauregard has nothing on this. SUBJ: Zonollte Agreements -9- January 4, 1972 D 2. Plastifoam Corporation - 1971 Agreement for Plastifoam to manufacture expanded Polystyrene block and board for V. R. Grace & Co. Requires certain reconciliation reports re material consumption. Sets forth methods of payment to Plastifoam. Evergreen. Beauregard has nothing on this. 3. E. S. Products - 1971 Exclusive distributorship for certain design of nail for use in cast-in-place concrete and insulation materials. Minimum purchases: 1st calendar year 2nd " " 3rd " " 4th + each there after 5,000,000 units, semi-annually 7,500,000 " "" 10,000,000 " "" 12,500,000 " "" If Grace does not order in any six-month period the minimum quantity, either can terminate within 15 days by written notice to the other. ** E. - These are agreements with specific companies for specific uses where payments are due to Grace. 1. San Valle Tile Kilns - 1970 Exclusive license under "Method of Making Refractory Clay Products" Patent. Royalties 5q per 4-cubic-foot bag - paid annually - minimum $500. Grace can convert to non-exclusive upon failure to receive royalties from San Valle according to detailed schedule in agreement. This is current. 2. 0. M. Scott - 1971 Earlier 1969 agreement assumed by Delaware Scott. 1969 Agreement License under patent "Method of and Apparatus for Heat Processing Particulate Solids" -- non-exclusive. Payments $1,000 by each of the parties to the other on signing. Royalty - set by number of furnaces, per ton processed. Payable -- 30 days after 1st day of January, April, July, and October. Minimum -- $1,000 annually. This is current. (continued) SUBJ: Zonollte Agreements -10 January 4, 1972 E. - 3. Asgrov - 1968 ex 3/11/78 Royalty Schedule - under patent application 607,635 covering process and conposltion for coating seed. a. 15 cents per pound of coated seeds, except sugar beets. b. 5 cents per pound of coated seeds for sugar beets. If payment for any calendar year is less than $1,000 and Asgrov doesn't pay difference In 90 days, Grace may convert to non-exclusive. Within 90 days after January 1, Asgrov shall report asiount due plus check. Grace has right to inspect books. UH/egr 1-4-72 CBACE CONSTRUCTION PRODUCTS DIVISION WRG oones January 4, 1972 TO: Zonollce Regional Managers Zonollte Product Managers RE: Royalty Payments and Receipts c.c. 6. R. Williams H. A. Brown John F. Murphy 0. M. Favorlto G. A. Tierney R. W. Sterrett/Zono-Atlanta R. M. Vining K. W. Harrison CONFIDTTTIAL As a result of a review just completed of existing licensing agreements between Grace, on behalf of Zonolite, and other firms and individuals, it has been decided that the management of royalty agree ments, at least as it pertains to royalty income and payments, should be centralized. I have been designated to do this. Attached is a listing of the various royalty agreements which are known to us in Cambridge. Will you please review it for accuracy and completeness. If you have any consents on the list, additions or deletions which should be made, please send them in to me. Note also that, as stated in the CFD Policy Guide 304, only the President of the Division has the authority to execute an agree ment to license a CPD patent or one belonging to another firm. Thanks for your cooperation. RIH/BLD Attachment R. 1. Morris TO: Zonolite Regional Managers Zenollte Product Managers c.e. B. R. Williams H. A. Brown John F. Murphy 0. M. Favorlto G. A. Tierney R. V. Sterrett/Zono-Atlanta R. M. Fining 036363(,u DATE: January 4, 1972 CONFIDENTIAL ZONOLITE AGREEMENTS The following agreements are still in force: A. - These are licenses under the Masonry Fill Patent, except as noted. 1. Southwest Vermicullte - January. 1966 This is the standard agreement allowing the use of the patent and trademarks. Payments, at $.005 per euble foot, are to be made quarterly and the contract la an evergreen one. There la nothing in the legal file in dicating this agreement was terminated. We are not getting payments. 2. Vermicullte Products, Inc. - January. 1966 The same comments apply. 3. F. Hyde A Co. Ltd. - 1966 - Ontario and Quebec Sales Agreement Minimum 3,500 tons in contract year; evergreen. Patent Agreement 1/2 eent ($.005) per cuble foot made by Hyde, less applicable withholding taxes to be paid by Zonolite on royalties remitted. Minimum $750. Payment each calendar quarter. We are getting payments. Trademark Agreement Exclusive for territory. Ho payments. Licensee to furnish at least once each year a sample of each and evety product it markets and sells under any of the trademarks. (Continued) SUBJ: Zonolite Agreements -2- 03C.3n3Gl January 4, 1972 A. F. Hyde & Co. Ltd, (continued) Redi-Earth - License Agreement Use of Trademark. Exclusive for Territory. No Payment. Agrees to furnish at least once a year sample of product. Evergreen. 4. Cleveland Builders Supply Company - 1961 Agreement covers manufacture, sales and license under the patent. Payment $.005 per cubic foot. Minimum $100. Evergreen. There is a note in the legal file that Cleveland Builders bought out Archer-Danlels with whom ve had a similar agreement (1959). There is a further note that Cleveland Builders is now Cleveland Gypsum Company. No changes in anyway reflecting this situation appear in this contract. Ve are getting payments. 5. Vermiculite of Hawaii - 1965 Extension by Letter The original agreement was signed in 1960. It granted license to manufacture and sell. Also licensed to use the trademarks. Minimum purchase - 500 tons per year. No Payment. Evergreen. There is also an agreement (1959) which licensed them to manufacture at a royalty of $.005 per cubic foot. It required quarterly payments. The minimum annual total was $100. Although a new agreement was drawn tip in 1967, it apparently was never signed. We are not getting payments. 6. B. F. Nelson - 1967 Agreement covers manufacture at a royalty of $.005 per euble foot. Payment due quarterly. Minimum annual payment is $500. Evergreen. Ve are not getting payments. 7. MacArthur Co. * 1958 Agreement covers manufacture and sale. Royalty payment of $.005 per cubic foot, payable quarterly. Minimum payment is $100 per year. There is also a trademark license with no royalty required. Evergreen. Ve are getting payments. SUBJt Zonollte Agreements .3. 0363636* January 4, 1972 A* 8. Matcrialcs Alslantes. S.A. - 1960 Trademark Agreement Use of Zonollte in Mexico. No Payment. To submit periodically saatples of product. Evergreen. Sales Agreement - 1948 No minimum order/annual requirement. Ve are not getting payments. Evergreen. 9. Schall-Und Larmbekampfungs - 1952 Sales Agreement. Trademark covered. As of 19(0 no shipments of ore were made. Ve are not getting payments. 10. Vermiculite Puerto Rico - 1962 Antilles Perlite may now have responsibility. This contract is no longer In effect per R. V. Sterrett. Legal has not been formally advised. Sales Agreement. Minimum 250 tons per year. Trademark agreement. Evergreen. Ve are not getting payments. 11. Vermiculite of Japan. Ltd. Apparently terminated by letter 3/10/65 from Bishop. Letter from Joe Kelley which reinstated it talks about new contract. Nothing in Legal file about new contract. This should he looked into end clarified. 12. Koblnson Insulation Company - 1966 Manufacture and Sales License Royalty $.005 per cubic foot. Minimum $100. Evergreen. Ve are getting payments. Sales Agreement Minimum purchase 825 tons. Trademark License No payment. Furnish sample of each product onee~a*year. Evergreen. SUBJ: 2onolite Agreements 4 0263o26o January 4, 1972 A. - 13. Texas Venalcullte - 1960 Manufacture and sales license. Minima 500 tons per year. Right to use trademarks. Evergreen. We are getting payments. 14. Vermicullte Intermountain - 1956 and 1959 Manufacture and Sales License Royalty $.005 per cubic foot. Minimum $100. Minimum purchase - 500 tons per year. We arc getting payments. Trademark License No payment. Evergreen. Each of these vas terminated by letter 10/28/64, by Bishop with statement that new contracts would be forthcoming. In March, 1965, Kelley wrote extending the earlier agreements until a new contract was ready. New drafts were prepared in 1967 but there are no signed ones in the legal file. 15. MICA Pellets. Inc. - 1968 License to Manufacture and Sell Royalty - $.005 per cubic foot. Payable quarterly. Minliman payment $500 annually. Evergreen. Ve are getting payments. 16. Sodlma (S. Carrasco S.A.C.3 - 1950 (Chile) Exclusive license for Chile to manufacture and sell. Agrees to buy all vermicullte from Zonollte. Trademark No payment. Minimum - 4 carloads annually. Evergreen. Beauregard has nothing on this. SUBJ: Zonolite Agreements -5- 03G3GJ64 January 4, 1972 B. - Theta are a miscellaneous grouping of agreements wherein Grace is cosmitted to royalty payments. 1. American Flotation Corp. - 1971 Exclusive World-Wide license for manufacture and sale of material produced, except for two situations. loyalties to be paid by Grace: a. 1-1/21 on first $1,700,000 of total net sales. b. IX on total net sales over $1,700,000. Initial fee - $5,000 after execution of agreement, fully creditable against running royalties for remainder 1971 and calendar year 1972. If royalties are less than shown below, Grace must pay difference in 90 days or lose exclusivity. 1972 - $ 7,500 1973 10,000 1974 - 15,000 1975 - 17,500 1976 - 20,000 1977, 1978, 1979 - Grace to pay naming royalty and IX. No royalty after 1979, converts to paid-up exclusive for life of patents. Gracs reports within 90 days of each 12-month period. Ko records in Cambridge. West Coast handles this. 2. Soclete La Vermlcullta - 1970 Wallboard license to Zonolite (W. R. Grace 4 Co.) to smnufacture and sell "Pannofeu" and Vlcueelle wallboard and adhesive products. Payments - $40,000 on signing. Royalty IX of net sales value of all licensed products. Reports by Grace within 60 days after close of first half and second half of esch contract year. Minimum $10,000/year. Expires 1975. Beauregard has nothing on this. SUBJ: Zonolite Agreements 0363o365 -6- January 4, 1972 B. - 3. FMC Corporation - 1968 Option to acquire rights and a license to technique of encapsulating seed using die*forming method in which vermiculite is impregnated with polyvinyl acetate, etc. Terms of option extended to December 31, 1971. K. V. Harrison negotiating. 4. National Gypsum - 1970 License under National's patents (U.S. and Canadian) covering spray plaster for application over metal. Payment - $2,000 annually as pre-payment royalty, payable on anniversary date of execution (January 28, 1970). If Zonolite sublicensee, it must pay 75% of the total royalties collected. Royalty report to National on or before 30th day following each quarter setting quantities made or used by sub-licensees. Term - Life of Patent. We are current on this. 5. Berner Industries - 1968 Beadboard Agreement. License to Grace under Berner patents on molding expandable thermoplastic beads. U.S.--Grace pays 0-25 million bd. ft. -- l.SI of net selling price 25 million* " " -- 1.01 " " " Minimum - $35,000/year. If under this, then Grace has 30 days to stake up difference. Grace will report to Berner within 60 days after and of each calendar quarter, in writing, royalties payable together with cheek. Grace keeps accurate records. Minimum was changed but doesn't show in legal file. Ve are current. 6. Ouik-Lok Trim Company - 1971 License and trademark agreement covering "Metal Stud for Polystyrene Foam Sheets" Royalties: Running royalty at $10.00 per thousand linear feet. Payable quarterly. Minimum payments: Prom execution to end of 12-month period beginning with next calendar quarter - $10,000 Second twelve-month period - 20,000 Third " - 30,1)00 Fourth " " - 40,000 Each succeeding twelve-month period - 50,000 (continued) SUBJ: Zonollte Agreements 03fc3<536b -7- January 4, 1972 B. - 6. Qulk-Lok Trim Company (continued) If royalties paid are less and Grace doesn't pay difference, Quik-Lok has the option to convert to a non-exclusive license. Life of Patent. No payments have been made as yet. In addition, ve have agreements with the following which are not in the legal files: 7. Richard J, Leonard - 1957 Agreement relative to an improvement in a plaster six. Exclusive. Entered into by Venard for Western Mineral Products. Right to manufacture, use and sell and to grant aub-licenses. Royalty: 1/2 cent - per container with net contents from one to nine pounds. 1 cent - per container with net contents from ten to twenty-five pounds. 1-1/2 cents - per container with net contents above twenty five pounds. Payments made quarterly. Ve are current on this. 8. Thermal Conduits - 1969 A letter signed by Babb authorising a commission payment by Zonollte of $0.15 per bag paid quarterly on bags of Z-Crete. Beauregard says this is handled by the West Coast. 9. SAF-T-BED Com. - 1967 License under their patent entitled "Animal Bed" of exfoliated vexsdcullte. Exclusive with right to Grace to manufacture and sub-license. Royalty $.0125 per cubic foot, payable quarterly. Minimum - $6,000 per year. Beauregard has nothing on this. e* C. - These are sales agreements with no royalty payment to Grace but a stipulation to buy all or an annual minimum amount is stated. 1. C. Gartenmann & Co. of Switserland - 1948 This is a sales agreement which also licenses uses of the Zonollte trademark. There is no royalty Involved. The distributor committed to buy all of its vermicullte ore from Zonollte. Evergreen. We are not getting payments. SUBJ: Zonollte Agreements 03G3o367 -8- January 4# 1972 C. - 2. Arl-Zonollte - 1955 Minimum . 100 tona per year. Agreement covert trademarks and patent licenses. Evergreen. 1964 - Bishop wrote letter terminating agreement. In 1965, J. Kelley wrote continuing it. Nothing more in legal file. We are not getting payments. 3. IXiwe Precast Concrete. Inc. - 1965 Perlite Aggregate Agreement. Entered into by Western Mineral Products. Minimum 400-500 4-cubic-foot bags per day. Otherwise, agreement to purchase all of the perlite aggregate re quirements from Western. Evergreen. Beauregard has nothing on this. 4. National Cement Products - 1955 Zonatile license to manufacture. Buy entire vermiculite requirements from Zonollte. Beauregard has nothing on this. Pse of Trademark No payment. Evergreen -- never cancelled. Company may be out of business. a* D. - This is a group of agreements covering specific products where payments by Grace are required, 1. Falcon Ufa. Inc. - 1966 Salas Contract. Polystyrene - board feet. Evergreen. Sales Agreement 1966 Zonollte products. Payments -- a sat commission schedule, payable by us by 20th day after completion of sale. Beauregard has nothing on this. SUBJ: Zonollte Agreements 9- January 4, 1972 *>8C9CSf:o 0, 2. Plastifoam Corporation - 1971 Agreement for Plastlfoam to manufacture expanded Polystyrene block and board for V. R. Grace & Co. Requires certain reconciliation reports re material consumption. Sets forth methods of payment to Plastlfoam. Evergreen. Beauregard has nothing on this. 3 E. S. Products - 1971 Exclusive distributorship for certain design of nail for use in cast-in-place concrete and insulation materials. Minimum purchases: 1st calendar year 2nd " " 3rd " M 4th + each there after 5,000,000 units, semi-annually 7,500,000 " , "10 000,000 "" "" 12,500,000 " "" If Grace does not order in any six-month period the minis** quantity, either can terminate within 15 days by written notice to the other. ** E. These are agreements with specific companies for specific uses where payments are due to Grace. 1. San Valle Tile Kilns - 1970 Exclusive license under "Method of Making Refractory Clay Products" Patent. Royalties 5c pat 4-cubic-foot bag - paid annually - minimum $500. Grace can convert to non-exclusive upon failure to receive royalties from San Valle according to detailed schedule in agreement. This is current. 2. 0. M. Scott - 1971 Earlier 1969 agreement assumed by Delaware Seott. 1969 Agreement License under patent "Method of and Apparatus for Boat Processing Particulate Solids" -- non-exclusive. Payments $1,000 by each of the parties to the other on signing. Royalty -- set by masher of furnaces, per ton processed. Payable -- 30 days after 1st day of January, April, July, and October. Minimum -- $1,000 annually. This is current. (continued) f SURJi Zonolite Agreements -10- January 4, 1972 E. - 3. Asgrow - 1968 ex 3/11/78 Royalty Schedule - under patent application 607,635 coverlet process and composition for coating seed. a. 15 cents per pound of coated seeds, except sugar beets. b. 5 cents per pound of coated seeds for sugar beets. If payment for any calendar year is lass than $1,000 and Asgrow doesn't pay difference In 90 days, Grace nay convert to non-exclusive. Within 90 days sfter January 1, Asgrow shall report amount due plus eheck. Graee has right to inspect books. MM/egr 1-4-72