Document YknxnwKQObr6bYNNYkMzjqoO

MEMORANDUM TO: J. Randall Jones; Doug Cohen FROM: C. H. McCr RE: ' Nevada Power v. Monsanto et al? Newly discovered Westinghouse internal memo regarding PCBs. DATE: April 8, 1992 Attached is memo from David McCrea enclosing a confidential internal memorandum dated December 28. 1971 which was distributed to certain Westinghouse personnel strictly on a "need to know" basis (note "Proprietary Class 1" legend in upper right hand corner of cover page). David obtained this recently in one of his other cases. We do not have any other document that so explicitly details the scope and extent of the "guilty knowledge" of the defendants in this case on this date (now more than 20 years ago) . Remember that these defendants to this date insist that PCBs are safe! Paul Merrell and Bill Snyder called; they thought we ought to file this with the 9th Circuit without delay as additional and newly discovered evidence, because it certainly is powerful on the "ghilty knowledge" allegations that are the foundation of our fraud and failure to warn claims. I suggested that if the 9th Circuit is disposed to rehear its decision, it will give us an opportunity to respond to the defendants' petition. The memo would produce maximum impact used if and when that time arrives, and it is not necessary to file it if the court is not disposed to rehear the case. A R R -- S ~ Z M ED * ^ = 4 5 C A L L_ ^ F p n K- F . H D IM G P - 2 Oavio s.mccrca EDWARD F . M*C*GA MiCREA & Ms C rea ATTORNEYS AT LAW I r s SO U TH WALNUT STREET P.O. BOX 1 3 1 0 BLOOMINGTON, INDIANA 474Q&<1)0 TCL-KPHONSBt*330-*e-4O te l e c o pie r at a 330-5907 ROBERT MeCREA 1915-1970 fM.KNA.LLOVO t9eo-)90f n e^o To CpMiftSel Irt P cs Li>h<|a.4 Igvt * T h e Dec, 2 8 , l*m I " M'"**+* o'f pc- t> vu. r e ^ ` ^ e a J>y ^ Rpr-.l S , i T r i . TJ-e v n ! n t <4 e i rvi <* r 4 i t . fc a se d le^ r e p o r t Ly T . 0 . M ma s^rvi B e ov<Awe<t( '& > r ca^ V jV il. C A S . aa C ^T U v.l-N ', Pleo-SJi. r<?Aci ^ l<rwly ^ ^J-rcviA-Uy^ DRVli> h%.ER B pr./ S ( UJ'd cots see tia^ar vaaooH omv vaaoow e : ci 5 e - s o - te E0 d 20 *d -toes sec z is = a t 026 922 218 QNV V32foOW 0EJST ES-O0-t>i 6 2 ! T \ tt3M 26-8 -dd 6 . W . Horwald W . Ef $ho u p p D? Borg J. C, R* Kelly E- V. S om ers G. O. G ainer T. O M u n so n L. Mandelcorn 8 . Jordan Strictly littiltstf Motrlbution. C%ajiot under w*j; oircum6tW'<?88 be distributed cuteid* U>e com pany. luAide tta co m ply, recipient must **v b fpecine need for the laformsUoa in the ceo - w duct of hie assigned responsibilities* DESTROY BY BURIilKO OR SHREDt&MQ Fmi H7N P * tt Spbjta : i PITTSBURGH - ft&D Cntr Research Laboratories 236-7743 December 28, IS71 Minutes of peb status The addressees of this letter met on December 28 to review the present situation with respect to polychlorinated biphenyls (pebs) end to define a possible position for Westlnghouse in the use of these materials The principal use of pObs In Is In power transformers and power capacitors. The reason for using pebs Is related to the unique combination of electric and non-flammability properties of the liquid No other material has yet to be Identified which has both these characteristics and, there fore, there Is no immediate replacement for pobs in these applications. In a separate note* Lyon Mandelcorn, will outline in more detail the specific electrical characteristics of poba which make them acceptable tor power transformers and capacitors* It came out later in the meeting that another very large use of these materials la In lightning ballasts associated with all fluorescent lights being used in commercial and residential applications. Capacitors m motor starters ore also another big potential use for these fluids Figures were not quoted a s to the relative use of pebs in our power capacitors and transformers versus the amount we use in our lighting ballasts. It became clear as the discussions progressed that the biological activity of pebs was a t b est poorly defined However, several points can be made: <0 The higher chlorinated biphenyls appear to concentrate In the fatty tissu e and in the liver of fish, birds, and some animals. (2) The toxicity of pobs In any absolute terms cannot be expressed, but there is some indication that the lower chlorinated biphenyls <3 or less) appear to be more toxic than the higher chlorinated biphenyls. A P R -- -- S 2 : W E D E b=-4-e CALL BEFORE ( NB I NG P . 04 * % Minutes of pcb status 2 December 28 1971 (3) With respect to birds end, in particular, leghorn chickens, the reproductive cycle is adversely affected by the presence of pebs* Specifically, the hatchbillty of th eggs is reduced. (4) The only documented case of ingestion in humans is one that occurred in Japan, As a result of this ingestion, the people broke out into a rash 'type condition known as chloracno end suffered nausea. Children bom to the adult victime of the ingestion suffered brown pigmentation of the skin which, a t the latest report given by Munson, has persisted through three years of age. There is much controversy as to whether the conditions brought on In the Japanese exposure were due to the pebs or to an impurity called chlorinated dibenzo furane. Monsanto claims that peba manufactured by European chemical companies contain about 15 to 20 ppm of the chlorinated dibenzo furane. There is no known analytical data reported as to whether the pebs ingested by the Japanese did or did not contain this impurity* Monsanto claims that the product made in this Country Jo essentially free from this impurity, However, we have no analytical data either from Monsanto or our own which confirm or deny the existence of this Impurity in the product we usa* Mandeloom and Gainer were of the opinion that it would be a relatively straightforward analytical procedure to determine If material which we use contains this chemical, Munson reported the results of some studies as to how pobs are disseminated into the environment. Seventy-five per cent is attributed to plasticizers, lubricants, hydraulic fluids, and Incineration of pcb materials in open dump burning, The remainder comes from other sources In which Include release to the environment from the electrical industry, A survey of the distribution of pebs versus DDT indicates that in rural areas the ratio of pcb to DDT Is about one to one. However, as one approaches highly populated areas, the ratio of pcb to DDT increases to about three to one. The concentration of pebs in the environment appears to be about 1 ppm. However, when certain species of animal life are analyzed, i t la observed that there 1b a very significant concentration factor of the pebs from the 1 ppm generally distributed to many times that in the various tissues and organa of the fish or animal speoles. i F Tfi \ v ATP-R -- " ?-?...H ,E.P,,.M 4 7 ___C f*L.L- E E E O R E ^ . N p . I . N G ............. , . t . . ..5. . - 0 "d * S 922 T 8 \ p z 1 1 G3M 2 6 - 8 - a d *i * * M inutos of pcb statu s 3 - December 28# 1971 It was generally concluded that although the biological information hos yet to bo $ysteroatizedf there Is sufficient evidence that pebs can be deleterious to the health of animal end humen Ufe and that the risks of ignoring the evidence that does exist was inappropriate for % The bodogradability of the material may* at this point In time, be of a secondary issue* Thera is now so much peb In dumps, in the ground, in the river end ocean beds, that unless steps are taken to reduoo the source of peb contamination, the burden in the environment will have no chenco Of decreasing, Putting it another way: If the motarais are* indeed,' biodegradable with a relatively long half-life, unless wo stop the source of pob pollution, we will not be able to rid the environment of pebs. The immediate actions for are the following; (1) Continue the use of 1016 in capacitors and 1242 in trans formers There Is no Immediate substitute meeting both the flammability and electrical requirements available to us today* (2) Sign an agreement with Monsanto on the purchase of these materials, making sure that the conditions are such that our liability is incurred only from the dels of the agreement* (3} Notify ell of our customers about the nature of pebs, the hazards associated with them, and provide them with instructions for disposal of units containing these materials. Although It w asn't brought out at the meeting, it might be pertinent to ask our customers to sign an agreement similar to the one that we would sign with Monsanto* {4} Set up rigid specifications for the material we purchase* Tor example, specifying the amount of toxic Impurities allowable such as chlorinated dibenzO furane. (5) Institute strict quality control meaeuros in our primary manufacturing plants on the acceptance of the pub material * from our supplier as well as in our manufacturing operation These quality control procedures would Include an adequate disposal system end monitoring. (6) Provide facilities for disposing of 3olid waste material, such a s paper, film and other insulation, containing pebs. The liquid would be shipped back to Monsanto APR s ^ 2 WED ^--B-E-EJCLRE ^ f-^EK 5 I N G R - 6. l ' *4t> * * i V *' l i ii * Minute)5 of peb status I 4 December 28* 1971 i i i l for incineration All of gur customers would be instructed ! to return failed or non-scrvicabla unite to so that the ii pob In the unit could bo disposed of adequately. I JiI] (7) Investigate the possibility of Identifying the peb materials which W'UfiO by 0 tracer or same other technique The Research Laboratories will Investigate the technical feasibility of such a technique and the Legal Department will investigate the desirability of tagging the material i we use I, (8) All the M & R shops throughout the Country will be alerted to the nature of pebs and a procedure set up for the proper use and dispost of the liquid and solid waste. (9) Westinghouse will participate in an industry end Government program to establish the proper use and handling of peb material. There seems to be little doubt that with appropriate safeguards*, these materials can be used In closed system s. (30) Every effort will bo made to develop more biological Infor* motion on these materials# both from our own studies and those being conducted around the world. (11) Westinghouse will encourage through NEMA or other industrial organizations that uniform standards, in the use, handling# and disposal of poba be encouraged with respect to electrical apparatus. (i I iI II (12) The Research Laboratories will take the lead in formulating a long-range program which would have a s its end objective the elimination of pebs in both capacitors and transformers. The program will be planned with the full cognizance and i participation of the divisions involved. U3) An attempt w ill bo made to obtain records of our field per- formanoe of units containing peb materials* f f 1I i G. W. Wiener ii Research Director - Ebwer Systems 1 !i i ii it fro*d e s s e e c ete*< ox v a t f o o w q m v v a a o o w b e ; e i ee-DO-frt