Document KJmJZqaV01m9eE246gey5zago

Lead Industries Association, Inc. 292 Madison Avenue New York, N. Y. 10017 Telephone: (212) 679-0020 Industry Development Committee Meeting Minutes New York, N.Y. November 23. 1971 A meeting of the Industry Development Committee of the Lead Industries Association, Inc. was held on November 23, 1971 in the offices of the Association in accordance with notice of Nov. 8. Present Representing M. Bonynge, Chairman E. V. Frawley J. C. Buck J. Walter Hurley D. Taylor, for E. H. Gautschi R. A. Flake V. E. Dorman, for St. Joe Minerals Corp. American Metal Climax, Inc. American Smelting & Refining Co. Asarco Mexicans, S.A. The Broken Hill Assoc. Smelters, Pty. Ltd. (C. Tennant Sons & Co.) Cominco, Ltd. Dresser Minerals Div., Dresser Industries, Inc. Tsumeb Corp. Ltd. (Ametalco Inc.) Guests J. Graham P. V. Higgins R. Rogers C. Thompson Lieberman Harrison, Inc. m Mm Hill & Knowlton, Inc. M MM Staff J. L. Kimberley, Executive Vice President J. F. Smith, Manager T. D. Agne C. A. Baker E. D. Martin D. Lynam, LIA/ILZRO LIA0?b 7Q IDC Meeting Minutes -2- November 23, 1971 (1) The Chairman called the meeting to order at 9:40 A.M A quorum was present. (2) The minutes of the previous meeting of November 2, 1970 were approved as circulated. (3) 1972 Proposed Budget Presentation a) The Executive Vice President reported that LIA's proposed 1972 budget, sent to the Committee November 8, 1971, contained what, at the time, was the best estimate of assessment income for the year 1972. Since that date, additional members have reported their assessment tonnage, and a more accurate figure was available. In addition, three Member companies have resigned, with the result that the figure for projected 1972 income as estimated in the proposal was about $40,000 too high. Income is expected to be about $717,000, rather than $760,000. In addition, he reported that the Executive Committee of the Board of Directors had, on September 20, 1971, stipulated that LIA assessment rates should remain the same for 1972 as in 1971. The net effect of these two events, i.e. lower assessment tonnage due to resignations and use of the same assessment rates, would be to lower the total income available to LIA for 1972 by approximately $265,000 as compared with 1971. He pointed out that in the best judgment of the staff, the required reduction could most easily be accomplished by elimination, at least on a temporary bases, of the long standing space advertising program. In 1971 this program amounted to approx imately $240,000. Other economies to be effected by the proposed 1972 budget were mentioned by Mr. Kimberley and later discussed in more detail. b) The Chairman than stated that it was in order to review the proposed 1972 budget in detail. c) The Executive Vice President and the Manager, calling where appropriate on representatives from Hill & Knowlton (LIA's Counselors in Environmental Affairs) and Lieberman Harrison (LIA's Advertising and Publicity Agency), discussed current programs and recommendations for the coming year. Publicity LI 0 ? s 8 o After a review of the current publicity program, the Committee expressed its approval with the impressive results. In view of the major cutback involving space advertising, the Staff recommended, with the Committee concurring, that the publicity pro IDC Meeting Minutes -3- November 23, 1971 gram be increased to $75,000 for 1972. As a part of this overall increased publicity effort, the Staff also recommended maintaining the budget for "Reprinting of Technical Articles" at $10,000. This would help in supplying needed backup material for direct mail efforts and fill to some extent the void created when space advertis ing ceases. Space Advertising The current 1971 space advertising program was reviewed briefly, and tear sheets of all the ads were shown. It was announced that the current publicity and advertising programs together will generate over 14,000 inquiries to LIA in 1971. The Committee felt this to be a very respectable showing, and there was some discussion concerning the possibility of reinstituting a portion of the advertising program for 1972. Lieberman Harrison, though not prepared to offer details, estimated that approximately $100,000 would be necessary to establish a suitable program for the two most promising fields of interest. Batteries and Sound. It was noted that, on the basis of present tonnage estimates, to fund such a program would require an additional 14 cents in assessment. The Committee observed that such an additional burden was not likely to be accepted during this lean time for the industry. The Exec. V.P. stated that in view of LIA's major curtailment in advertising, he sincerely hoped the members would correspondingly expand their own efforts in this field, at least for the period in which LIA is cut back. Conventions and Exhibits While it was recommended that Conventions and Exhibits be discontinued, it was noted by the Executive Vice President that the Association had signed contracts to exhibit in three shows during 1972, and had made deposits on the contract. He expressed the belief that while approximately $1,400 had been committed, the Association will not be obligated to pay the additional $2,600 if the space can be resold. Negotiations jure underway to that end, and to recover as much deposit money as possible. Lead Monograph l iao s s pi Roughly 80?6 of the manuscript for a Monograph has been assembled with updating since 1968. However, great difficulty has been experienced in obtaining the remaining manuscripts, and to avoid having these (existing) informative and well-written articles become outdated, it is proposed to submit as many manuscripts as IDC Meeting Minutes 4 November 23, 1971 possible for publication in interested magazines and journals as a part of the expanded publicity program. Subsequently, reprints could be bound to produce a book, as sufficient articles appear. Lead Abstracts One of the major contributors, ILZRO, has withdrawn support of the Abstracts, and in order to keep the Abstracts operational at the 1971 level, LDA/ZDA had asked LIA and the ZI to contribute an additional $2,500 each towards the support of this program (over and above the present sum 6f $12,500.) After some dis cussion, the Committee unanimously held that it would not be advis able at this time to increase the amount contributed to the Lead Abstracts. The Executive Vice President noted the Abstracts will continue, but probably at a slightly reduced level - possibly 4 times per year. Health & Safety Program The Executive Vice President and representatives of Hill and Knowlton discussed health and safety activities for the past year. One activity said to be especially effective was the Seminars for Science Writers entitled: "Lead in the Environment." The Committee felt this program to be very productive and worthwhile and urged its continuation; It was pointed out that there are plans to produce at least 3 and peihaps 5 such Seminars around the country in 1972, with particular emphasis on California and New York where much envi ronmental activity has occurred concerning lead. The Executive Vice President stated that health and safety activities had been more or less arbitrarily reduced to $125,000 from the current 1971 estimate of approximately $160,000. He indicated that he was going to continue working on the "lead in gasoline" problem for 1972 as a consultant to the Lead Industries Association, and felt that some flexibility should be maintained in the program to react to emergencies that may arise. d) Budget Recommendation After some further discussion, a motion was made and passed to adopt the 1972 budget as proposed by the Staff, with the recommendation that the Board of Directors consider, as necessary, a slight increase in assessments to accommodate a possible difference between the amount proposed (760,000 including one month's operating reserve), and the expected income of approximately $717,000, based on 1971 assessment rates. L IA038P. 2 IDC Meeting Minutes -5- November 23, 1971 e) Other Business A motion was made and passed to have the Industry Development Committee meet again in April during the LIA Annual Meeting. In recognition of his impending retirement, the committee expressed its appreciation to Mr. John L. Kimberley, Exec utive Vice President, for his years of service to the Lead Industries Association and to the lead industry. Before adjournment, the Committee was informed of the serious illness of Mr. David M. Borcina and a moment of silent prayer was observed to ask for his recovery. f) Tables II,III & IV summarize pertinent data. g) Adjournment There being no further business, the meeting adjourned at 12:00 Noon. Respectfully, JFS:so Att: Jerome F. Smith Secretary Protein L IA0 33P3 f' Table I A - Gross Budget, Income, Expenditures, Reserves -- 1961 - 1971 1961 1962 1963 1964 1965 1966 1967 1968 1969 1970 1971 Approved Budget Assessments $369,350 461,000 483,125 622,700 699,162 826,650 913,700 841,905 924,675 954,460 918,000 $340,545 471,560 391,248 515,169 643,345 812,896 878,340 623,852 806,629 985,416 827,800 Other $ 4,460 4,660 6,141 6,033 5,371 12,899 17,574 31,519 12,343 7,831 8,500 INCOME Total $345,005 476,220 397,389 521,202 648,716 825,795 895,914 655,371 818,972 993,247 836,300 Expenditures $319,624 412,133 459,477 567,754 685,139 739,739 753,253 818,402 843,220 984,146 918,364 Operating Reserve Year-End $179,766 243,853 181,765 135,213 98,790 184,846 327,507 164,476 140,228 149,329 67,266 Of income, the special assessment for Health and Safety accounted for $96,657 in 1966 and $206,087 in 1967. Rates in 9 per ton Membership Industry Development Mining Smelt. & Refin. Manufacturing Assembled Articles Pig Lead Sales Regular H & s Regular H & S Regular H & S Regular H & S Regular H & S 1961 1962 1963 1964 1965 1966 1967 1968 1969 1970 1971 129 16 16 16 16 16 2.49 16 4.28 16 20 21 17 39 4 4 4 4 4 .69 4 1.2 4 5 9 7 39 1*39 $.52 42 .65 42 .54 42 .80 4 2 1.05 4 .69 2 .39 1.10 4 1.2 2 .6 .91 4- 2 - .90 5 - 2*3 - 1.17 9-5 - 1.05 7-4 - .84 159 28 - - - - u 03*E Table II Summarized Performance for 1971 - Proposal for 1972 Assessment income for 1972 calculated on same rates as for 1971 per Executive Committee Meeting, September 20, 1971. Reserve and Income 1. Operating Reserve Start of Year 2. Assessments Pig Lead Sales 3. Assessments - Other 4. Miscellaneous Income 1971 12 Mo. Estimate $149,000 621,500 206,300 8,500 1972 Proposal $ 67,000 457,800 185,900 7,000 5. Total Available Disbursements and Reserve 1. Essentially Fixed 2. Promotion & Development a) Ads b) Publicity c) Health & Safety d) Other 3. Total Disbursed 4. Reserve for 1/1/72 $985,300 $717,700 / 15,000 owed $359,000 223,000 35,000 162,000 124,000 $381,000 -- 75,000 125,000 119,000 (Note (Note 2) 3) $918,000 $ 67,300 $700,000 1/1/73 - $ 60,000 Note 1 - Assessment items for 1972 include influence of losing Bunker Hill, Cerro Sales and U.S. Smelting; and gaining Cominco American. Note 2 - The approach to achieving the required balance is most practically accomplished by temporarily--at least--dropping the long standing space advertising program. Note 3 - Lieberman Harrison, Inc. (now handling both ads and publicity) are judged to have accomplished much during 1971. More writing and placing of articles is proposed. Note 4 - Promotion and Development programs--other than paid space and publicity-- have been pared down as far as practical. See Table IV for detail. u) ro H -- I--* CD--1 OVVJ1 |o (j VO CD--1 OWJi e-u> ro 4 S' uH<* a W w. M n3 "jpr ocH 0m pn crp X NM crp c o* 33 P3 AMj-r*tSC^3t5dH-O_>MCnS. 3 3H-PA MM3" R^ZMcrp n5n c+p MM (* n>o ct&HH'B* 3rw> HHinOn n cHt n ci-t->o C M ISSS"-? P 3 O. p-wp xjS'S're 2Srrc^C>dovn->-jh;oho<<c<+ o <- [<3 a 93*0M3O k IM tn p t+MX (-. M ct-ci-o O 1 MoHp Of (ip 14330 HO H ttZ-JT-1 POHO- l 1 4 **> c+Cfl 3 to MWB 0 03 w om O P V. on 23 ff. p P <->*3 330 n cri-l eiy MG cO 3 o 8=o -i a p IA 0 MMct 8" " A H* O 00 <* op ct (t p B H* 3 A (ft H Op O 3 M* 3 a Met HH O 3 H- xE * >d a 3 00 rc n CO 3" O * M i~n ON rv> M VO MM m ro VO H* H On ro OO u> 03 UJ ON 1 ji i 5 ON M--OQOON ro Q VJI O O CwiOOJi OOOOO vn O OO 8 00 VJI "q 'o 'q 88888 V*Jrl 11 U1 u> k-^ -6 b boob 0 00000 38 8 8 8 88 8 8 8ON o M VJ1 03-0 vn vo 8 88 --3 Ov v j i vj i O 88 88 p3 & O 3 $ U> MIVO VP vp 8o fr UlQ o -P" NVIOWU) vn ro P' a>v* v-n 88 oo 8S --*3 V-n o ; &VH-5 r i-Ovn | 808 ro \j i ro vn u> 8 O M \J1 >J1 8 HHOro ^OOO 8 CO VJ1 vji 1 81 > o Ijj CD ro -sj -0 V/l