Document EdV90xjYgKRRKE8LwQE7d978L

INTERNAL CORRESPONDENCE UNION CARBIDE CORPORATION WCEnSC\ mSTauS D.viSOn PLAINTIFF'S EXHIBIT UC-2651 : CD: BZ p:--S=_/=3*~. =a *5205 Tc. |Tvir+i Oviaon Location Mr. J. T. Kelly UCC - Metals Division Danbury, CT J-l Ccoy vt- -- G. M. Lincoln, Jr J. L. Myers T P. Norris w. c. Thurber J. E. Wal sh Dmc* Arcs November 7, 1983 Cal i dria Asbestos Sales sooner 3rd Quarter Sales Summary Attached are reports summarizing commercial, distributor and export sales for the third quarter of 1983. Also included is Mr. Fukuma's quarterly report and a copy of the Celidria sales summary covering the first three quarters - GLD:vad G. L. Dickson UCC 005140 UC ) *9.1 (780;. INTERNAL CORRESPONDENCE UNION CARBIDE CORPORATION To {Nam*) Division ideation G* L. DiC^CSOH Metals Division Niagara Falls, NY Copy jo J. E. Walsh, Atlanta TOO DCEANGATE, LONG EEACH. CALIFORNIA 90S02 October 4, 1983 Origin*^"? Oept, Metals Division Answering tetter 0*t* COMMERCIAL SALES 3RD QUARTER!? SUMMARY MARKET DEVELOPMENT LITERATURE UPDATE Third quarter sales results were above budget as summarized in the following: (refer to attached table for details) TONS $M through June 30, 1983 5,253 1,134 July Augus t September 712 941 1,199 182 141 195 3rd Quarter Total 2,852 518 through September 30, 1983 1 Budget 8,105 139 1,652 127 TILE GRADE PRODUCTS Strong tile sales continue at Kentile Floor Inc. and it now appears as though the Construction industry will maintain above average activity at least for the balance of 1983. An unexpected order for 313 tons SG-103-5 for the Chicago plam was shipped in September and accounts for the unusually high monthly tonnage figure. SG-200 AND RG-I00 Above budget sales continue at RCA and Colonial Rubber. Both companies should be above budget at year-end. A one ton evaluation of UNIVIS at RCA Rubber Co. was successful and is encouraging them to switch over to minipellets. UCC 00514] G. L- Dickson ~ l October 4, 1983 EPO Above average sales at Tremco plants should continue witb HPO shoeing strong sales gains at the expense of SG-130. During the 3rd Quarter, Tremco, California, switched from SG-130 to HPO. This was done to accomodate a request from Tremco, Cleveland, Ohio. RG-244 Poor sales results continue to plague this product with no apparent turn around in sight. Improved operating conditions in the Automotive and Construction industry should return this market area, close to pCST IV by year-end. Mexico No progress made at LOSETAS ASPA1TICAS, S.A. but we continue to expect sales by year-end. Euzkadi, S.A. was shipped two pallets SG-103-7 in September. expected that a trial will be run late in the 4th Quarter. It is MARKET DEVELOPMENT No active projects under consideration. LITERATURE UPDATE RG-244 brochure is in the final stages of revision. Printing is expected during 4-th Quarter. A copy of my quarterly expenses is attached. TPN:sm ' -01832- T. P. NORRIS UCC 005142 Product SC-100/103 SG-104 SG-130 SG-200 SG-210 HPP EPO T-135-0 CG-135-P RG-100 RG-110 RG-144 RG-244 UKTVIS CSV SHUR quarterly sales report 1983 THIRD QUARTER Quar ter T $W T 735 - 110 2504 1672 1 180 26 217 4125 -- 46 34 480 8 62 20 5 47 104 -- 31 -- 254 -- -- -- -- 64 54 384 23 7 78 18 16 99 9 36 25 11 YTD Sh 375 537 11 90 18 13 74 -- -- 323 25 89 97 Budget I 1650 233 3000 384 60 12 360 66 45 45 11 171 45 ---- ---- 288 230 93 26 66 50 68 233 -- -- A Budget T SM 152 161 137 240 77 92 133 136 138 166 104 118 149 164 -- -- -- -- 133 140 84 96 150 178 37 42 -- -- Total 2852 518 8105 1652 5846 1301 139 127 UCC 005143 J INTERNAL correspondence to (Nim*) Dkvts*on -otlon G- L. Vickson Metals VlvisZon PsXtSbungk, PA copy to 7. p. Ncnnii - Long Bead'i cate BfepT:emtie^. 30, 1915 Oripiftiuncj Depi. Answem^ leriej cet* sobiett CALIVR1A Vistnlbuton Sales . Thind Quanizn Summary ACTIVITY Quuntenly activity stunted with a sales tnip to Florida and Included a stop o{{ at Visneywonld to took oum., gat}ieA cost data and set up tentative dates {on a distnibuton seminun nzxt uean. In mid morth a business neview meeting was held with Amesicon Indus tnial who have not pnognessed as well as Lenape Chemicals oua othen neic dlstnlbuton last yeast. So {an Amenican km been unable to gene/oote new business {on at in the south east which they claim Zb became o{ the handened attitude towand asbestos in the south. A meeting wot, held with Phillips Fetnoleum. in Bantlesville to explane the possibility o{ oua becoming a becond bounce o{ supply to them. ALthcugh the lab evaluations showed we wene less e{{Zcient than the Flowscll they me we one not comptetety out ab cun west coast plant o{{ens neduced {neight costs to them, {on theta o{{ shone mankets. A {ten ike stop o{{ in Oklahoma the balance o{ the week was spent in Anizona vhth V F distnibatxng {allowing up on buying accounts and wonking poos peels. The {inst week in Augmt was spent on vacation and the montly activity began with a sales tnep to Hanslsons Cncshield's sales c{iices in Tcnonto and Montneal. Reviews we-'iz held at each o{{ice {allowed by joint calls in the {ield and annoy aments wene made to netunn in Octoben to put on seminans in both o{{ices tied in with the National Coatings Convention.in Montneal. The end o{ ti\e month included a sales tslp wJJh Alex Callus the A. T. Callus Company, to Chicago, Milwaukee and Minneapolis calling on buying accounts and past and pnesent wonking pnospects. Septemben activity began with conclusion o{ the midwest tnip with A. T. Callus 'and was {allowed by oun ronecast A sales meeting in Pittsbongh. Septemben activity con cluded wltii sales nevlews and joint calls with VST Vistnlbutxng personnel at both thein Homton and Valias sales o{{lces. Vunlhg the Valias pontion o{ the tnip the Texas Re{ineny account was tunned oven to them in hopes that thein ineneased cull {neyuzncy wilt mean an inenease in cun sales at the account. PERFORMANCE Thind guanten activity was a uptunn j^om the second quunten with Septemben tons the second highest month this yean and Hie dollans the yeanly high. An initial bneukIvxugh was made In tlie sale o{ UNJVTS and Telxlte c{{ .shone came in {on 56 tons o{ UCC 005144 CALIVRIA ZXi>ZaubZcx SaLet Ti'i-cxd QuaxZe/t SaJmaxtj Page 2- TEL VIS. DaULteng ,aLg count contuuieA tc inch up weekly ai doet the monthly cocXlnm ialeA aX qua otJiei dh>VilbuXcxA buX the xeccveau dtlll nemolm ke&ltanX anc uUxi:cuX aj'tU noiuJz *.c mcndi coiiiilitency axe attached. Copies Ojj quAXe/JlM &ate&, expeniCA and a.cXlvlXce.i Vesiy XauJLu uovlaa , JAH/Xlg AXXadmenX J. E. Malik UCC 005145 gU4TERi.y SUES SEPOkT OJCT :io ' 10 Li 44 T? I'lS US QUAkTEZ i us S3.6 156.2 2.7 5*. 2 19.6 37.5 5.3 24. 1 53.0 7 77.9 145. 0 22.6 79.7 4.0 77.0 3.6 56.2 77.2 ra> T *$ . BltfGET US 52.2 75.3 166 41 422.0 7 02. 2 7 04 7 72 62.3 76.2 24 23 75.5 56.7- 749 111 7 43.6 420.4 294 999 494.9 99.0 7500 300 7 24.7 25.0 162 34 17.0 3.6 300 63 7 3 7.7 26.2 330 69 * BLfDGTT T -------- ET" 47 50 27 24 00 97 66 67 65 64 44 4J 00 92 2- 2 * 53 57 509. 2 297.6 7535.9 237.2 3695 7 27 2 55 67 UCC 005146 INTERNAL CORRESPONDENCE UNION CARBIDE CORPORATION ivir Au Zj' -c?ne; T. P. Morris Orv^o-' J. E. Welsh Set* -November /, 1S83 Cclicris Asbestos Seles DOCJV \c Sfc-o*ct re Quarter Export Seles Export sales for the first three quarters of 1583 versus budget are summarized as follows: Ac t ua1 Tons SK Sr SuooeT(l) X Budget (2) Actual % Budget H; X udoet (2) 1st Quarter 2nd Quarter 3rd Quarter i ot a 1 1 , 7^5 1,781 1,737 5,263 1 i1 51 85 95 89 8o8 106 8E 51 803 . 8A 83 85 S6i< 100- ICO 85 2,575 56 85 (i) Eased on Danbu ry budget. (2) Based on annua 1 buooet * L. Below budget sales for the three quarters is due primarily to lower than expected Purchases of SC--100 end HPp by Tomoe Engineering, and SX-lL sales to Grace. Tomoe reports continuing price competition from Canadian suppliers and.no growth in asbestos imports to Japan in the future. The outlook for the fourth quarter, however, appears to be somewhat improved but not to the oegreee that will permit us to attain budget for the year. The problem with SX-lA sales appears to be the result of adverse publicity concerning asbestos in eastern Europe and the general economy which still has not rebounded as much as had beer, anticipated. GLD:vad G. L. Dickson UCC 005147 'I MJN I I I ilL I- I L I I I j L I i IV U 3 1 YLfM s IIJ l)/\ 11 tiL I'lL r lM - U 17113 -fc A ! 2 i - ii tr i< 2r: tc: .* u r* *-- r. jr t r. c- C *> vui;51 <i cc f Z~ )i rc, ' "* i r. ; - C C S.- C* C C c Lr - <o - `;1 H C C *s <__ ; - -t* (i ho ?: c w * w C* t? It O C CA si w a Ui si c in si& c--; - it < ^ -* c > c*- w*- Aa ^ A*- a t[c_c*: C* -- s i" it c U ^ i- C -- C* s,' Lr L' C ejCU<' Ucc; f**"' -*t-* -COif1 >cDi;* 1w> >oir Zi*" i* a-' y-i?: 14 ac yirs *Ccc;' -Lo'r', rr t .n -a [> o A S.` * s; C s.' U l* - u s ** I ) ir Um3 `J f I E ; - c* V* JSr ^ Lt O AU -- L: Iri*J. 1 v nc:: e * s' -C < - a1 (* i r> i u c C* D f v* V'i s- D* c C'. ir c if >cl' : u D* U O 44 v LT. C- i* H o ?. x c C- /- - --x s--4 --i r;-*1-* O w l*. si lr Cs `s'- o- iIiii <rr. x2> IC 5O h) -I6E <* I'll IN 111 !3 U 'T t> iU lir < I V tJ j: I Y t.A fi TO D A I IT t i l . I ' I I 'M l'il'n IV IIJ . UCC 005i48 -- Tomoe Engineering-Company, Ltd. (ANNEX OFFICE: SH?N SHIN KAIKAN BUILDING 1A-J, NIHONBASHI 3-CHOME, CHUO-KU TOKYO, JAPAN MAIN OF*tCt : DA>N> MAhUZf h 9UILDIHG **. N)MDN>HI 5*c*0-t. qnywcv TcrVO. MMN CAftLt A&DRtli " EOMOT *' TZi-tX . 02223*06 tOC7 J TUI^hONI : TOiCtO October 17, 1983 Mr. Gordon L. Dickson Manager - Asbestos Sales Metals Division Union Carbide Corporation Robinson Plaza II Route 60 Pittsburgh, Pa. 15205 Subject: Calidria Asbestos Quarterly Report Dear Mr. Dickson: Enclosed please find our Calidria Asbestos Sales Report for the 3rd quarter 1983. Incidentally, Japanese major newspapers "Asahi Shimbun" and "Nippon Keizai (Economy)" put out articles concerning the ban of asbestos in the States, the translation of which is enclosed for your review. Please confirm this information and, if this news is correct, comment on possible impact of this new policy on the stateside and Japanese markets for Calidria, as well as changes in your policy or production plans if any. Very truly yours, TOMOE ENGINEERING CO., LTD. HF/yk Enel. cc: Mr. J. T. Kelly Mr. J. L. Myers M. Kanno H. Fukuma, Manager Inorganic Chemicals Section UCC 005149 i' Si u> TO 3AN ASBESTOS FOR BUILDING MATZKXALS FO? PROVEN CARCINOGENIC EFFECTS WASHINGTON AP-DJ Kyoco. According tc the annovincement October ra of -the Eavironmental Protection Agency, the EPA chief Mr. ackelsnaus basically approved its policy for total or stepwise Dan of asbestos for use as building materials within several months - Asbestos is regarded as potentially carcinogenic material ana its domestic consumptions have decreased to 127,000 tons/year now from the peak an 1973 of 795,000 tons. EPA plans total prohibition of asbestos1 uses for building materials such as cement pipes and roofing and .loor tiles, while directing indication of asbestos contents for all other products, the majority of which, however, will also be banned eventually within a few years. EPA decided to move toward prohibition of the material on the ground that its carcinogenic nature was proven and substitute materials are now available. Editorial notes: According tc MTI and the Labor Ministry, all asbestos being used in Japan are imported products , but. for past several years there has been high incidence of lung cancers in asbestosrelated workshops causing a world-wide health problem, and conseo.uently consumpticns of asbestos have been decreasing vearlv in Japan reflecting in the amounts of import; 305,000 tons in 1980238,000 tens m 1962 and 229,000 tons in 1$82. Xn Japan, stringent rules were enacted in 1971 covering asbestos. The material was designated as special chemical substance under the Labor Safety and Hygiene Lew, with mandatory provisions of safety equipment at workplaces and periodical health examination of workers exposed to the material. Asbestos has long been used for its excellent heat resistance, light weight and strength, and even now it is difficult to find its substitutes for certain automotive parts, Because of such strict controls over asbestos in respect to labor hygine, Japanese government is not thinking prohibition of its use and intends tc study future policies pending development of the U.S. policy. UCC 005150 Caiicrie Asbestos Sales Set)or f or e Thlrc Quarter 19cj General Market Heva ev EPA's announcement, of its basic policy for a total or a gradual ban of asbestos for use as building materials was taken up by the Japanese newspapers in a big way on October 5. At present Kozava and Unicheai contacted us for informa tion on how the recent EPA announcement will affect the UCC ' s Calidria asbestos production and the actual movement of the asbestos dust restriction in the United States, As the restriction in the United States greatly affects the market in Japan as well as in Southeast Asia, please send us immediately any materials and or information which can be used to alleviate fhe uneasy' feelings of the customers. Since Mr. J. L. Myers is the Chairman of AlA/NA we hope you can provide us with detailed and helpful information on this. No noticeable growth in the import of asbestos can be seen in the Japanese market. Except for those specified for the brake linings, the market does not allow any price increase for all asbestos, but their prices are even going down. Ve have been able to somehow protect our position -with Nozawa anc Nittobo, but in the 7 class asbestos market where the price is a major problem, any price increase on our part will be fatal for us. On P.esm Grade, since the serosil price has weakened its price difference between PG-244 has narrowed even more. Especially in the case of Hitachi Kasei, our sales of P.G-244 to them is being mace only to maintain sales volume with a very low price. It is very likely that they will switch to aerosil if we raise our price. The PET market continues to maintain a favorable business from the 2nd quarter. Thanks for your effort tc straighten out the confusion in the Taiwan market. I will visit Taiwan in November at which time I will check to see if in fact RG-244 was shipped to Taiwan via Epont. Your continued back up support will be appreciated in this regard. UCC 005151 2 SG-100-EX for PVC Tile and Asbestos Cement ?r oducis Jul . Aug. Set). (Unit: M. ton) O O -4* Nattobo Nozave -_____ 40 . 195 183 177 Total 235 223 227 Nattobo used an average of 43 tons/month , up 4% from the same quarter of the previous year and is expected to continue on through the 4th quarter. Nozawa's average usage vas 185 tons/month - up 28% from the same quarter of the previous year. This "was because their August production maintained the same level as the regular month production. 220 cons/month usage is expected for the 4th quarter. 2. KPP anc AS-200 for Ceiling Tile Jul . Aug. Sen. Matsushita Daiken 71 116 61 82 88 149 Total 187 231 Matsushita's average usage was 71 tors/month , down 4% from the same quarter of the previous.year. Vith the exception of the lev production in August 'due to summer vacation, this usage level is considered normal. Owing to the slump in the housing industry., the sales of the new vail material is slow vith no sign of improvement in sight. Daiken's usage averaged ll8 tons/month. , up 24% from the same period of the previous year. The reason for the increased sales in September of l49 tons vas'due to production adjust ment made for August. Osage of 100 tons in October and 120 tons in November and December respectively are expected. UCC 005152 - <_ HP? anc T-135 for Paper Jul Aug. Set. T okai Pulp Taihei Seishi 08 0 002 T-ctal 0 :8 2 August shipment to Tokai Pulp included 5 tons P-135 and 3 tons HP?. For the 4 th quarter usage of 8 tons m October and 8 tons in December are expected. Taihei Seishi mein tains the 2 tons/3 months usage pace the 4th quarter us age is expected tc be the sene . KPO-EJC and Telvis for Drilli ng Mud, Phenolic and Other Meter;els Jul . Auc , Sen. Telnite (Telvis) Phenolic Oth er s 10.0 0 15.7 10.7 47.5 0 19.0 *- .* * L- 15.9 0 10.0 is.5 Total 36.4 81.9 44 .8 On Telnite the August shipment increased because lost circulation zone was encountered , however as of enc September the 'lost circulation is under control. The Telvis -which was delivered in April has been exported to Chins. We expect to deliver 51 tons of Telvis in November. Since demand of phenolic resin for electrical parts is brisk the HPO shipment to phenolic makers continued to be favorable through the 3rd quarter. Orders for October shipment are being received in a satisfactory manner. Shipment on the others also continued-to be favorable through the 3rd quarter. UCC 005153 RG-I44-EX Jul . Aut. 5 ep. Ceaediae Co. 3.7 Nippon Specie! Paint 0.2 PET Makers Others ~3 9.2 3-? 0.2 12.3 6.6 4.0 0.5 6.4 9.1 Total 20.4 23.0 20.0 * The demand for PET resin ha s been increasing substantially since this year. The main PET applications in Japan are for electric and electronic parts, but lately its application has been widely expanded to include uses on industrial parts too. VTitb this the shipnen t of RG-i44 has increased favorablv and ve expect this year's s hipment to be about 1.5 times more than last year. The shipment to Cernedine Co . and to other users was also quite setisfactorv. EG-244-EX Jul . Aug. Sep. Hu t a c hi C emecir, e Co. PET Makers . Others 4.5 0.7 2.0 S.i 2.3 0.7 1/ 7.0 2-3 0.7 2.5 10.1 Total 15-3 11.7 15-6 For Toray. a PET manufacturer using RG -244, sales increased as vere the cases of other RBT makers using RG-iii4. Deliveries to ether users like Hitachi were smoot h also. Southeast Asia Jul . Aug. Sep . L'niche.tii (EG - 2 4 4 ) (K? 0) UCASIAL (EG-244] -'PG- "44 ) 2.2? 2.1 1.5 0.5 2.27 0 0 0 0 0 0 0 UCC 005154 RG-2-rj and KPG shipped out through Uuichemi in July anc August were for Korea. The primary end users of ?.G-24t are Korea Chemical .and A X Chemical, and the Korean agent ZEUS initiated sales with own inventory. E?0 was out from our inventory and its application is textured paint. RG-2bi anc KG - 2 44 shipped to UCASlAL were also from our inventory. The reasons for no sales to Taiwan of RG-244 were a temporary decrease of consumption at Tung Chi a paint maker for move ment of its plant and the decreased consumption to about half at such accounts as Qualipoly and Eternal the polyester maker They hac used to mix aerosil and RG-244 at-'a ratio 6f i:i hut lately changed this ratio to contributing the above- mentioned sales decrease. The reason for such a change in the mixing ratio is that for paint-use polyester it is held that whiter the color of the resin the better, anc while' aerosil turns turbid while RG-24-4 does not, smaller amount of TiC2 to add would do the job. Therefore wt recommended to use RG-244 alone for their applications as it would reduce the total amount cf addition needed which would save cost. The bypassed sale of RG-244 through Harrisons & CrosfieldTen-nc route also contributed to the lack cf orders from Tnichemi- The next order from Taiwan can be expected in Ncvenber . END UCC 005155