Document VKy5Qz0vjqgnEjV2B0bwok4Yo
kHE^R/S
DRAFT
FOR RELEASE IMMEDIATELY 1976
MONSANTO RAISES PCB PRICES CITES PHASE OUT EXPENSES
ST. LOUIS, Nov. 00 -- Monsanto Company said today that
effective Jan. 1, 1977 it will increase the price of all grades of
its polychlorinated biphenyl (PCB) dielectric insulating fluids by
about 24 per cent. Monsanto markets PCBs exclusively to the
electrical power supply industry for use as fire resistant dielectric
fluids in transformers and capacitors.
Monsanto announced last month its intentions to terminate
the production, sale and distribution of its PCB product line by
Oct. 31, 1977. At the same time, the company emphasized that it
would have preferred to withdraw even sooner and that it was
remaining in the business until next October only because a majority
of its customers had indicated they would require at least that
much lead time to complete field testing and convert to replacement
candidates.
According to Monsanto, this protracted phase out program,
as anticipated, has produced and will continue to produce certain
unique and unavoidable production imbalances and manufacturing
variances that make it impossible to operate efficiently. The
company said the resulting higher unit costs, combined with many
other phase-out-related expenses, were major reasons behind the
price increase.
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DSW 338353
STLCOPCB4082186