Document aBZkBKRYkapyxqvxJMBrrG61e

MONSANTO STOCK OPENED: 54 3/4 DOWN 1/8 MARKET DOWN 7.57 Jack Molloy completed his "State of the Plant" meetings last ni^hrc with about 65 percent of the plant attending the meetings. For those of you unable to make it to one of the meetings, here is a synopsis of his remarks: Jack talked about the major events of 1985, challenges for 1986 and the future direction of the plant. "Let's start with 1985. Overall, I'd have to say that this plant fared better than most. For instance, Monsanto's Columbia plant is to be shut down. Texas City will be shut down or sold. Anniston, Al. will be shut down or sold. Queeny is half the size it once was. Krummrich, too, has suffered losses, and we are not 'out-of-the-woods' yet. We came very close last year to becoming a _ four product plant--ACL, PC13, P0C13 and P2S5." Jack mentioned factors which we can control to ensure WGK's survival: --safety - --turning out a quality product --controlling costs y ' "We must continue to adapt to change in order to survive as a maj or Monsanto plant. What can keep us from succeeding? If we are not able to operate safely, turn out a quality product and control costs." Jack mentioned our success stories, like: " --AC1 and DCB; Our new pastille product which was successfully introduced, increasing our volume of santoflex. The score we received from General Tire as a quality supplier. Costs savings like those we realized on the centrifuge wash in 4-NDPA. . ONP volume was at 12 million, up from 8 million. We have'met the higher quality standards of a customer in ONA. 136588 "We also need new products here-AOBS is one product we are in competition for." Jack talked about 1985 and some other major events of that year. STLCOPCB4036549 "We offered the salaried retirement incentive. Forty-seven people took that plan. We originally said we would reduce our headcount by 55 salaried positions. We have lost 60 so far, and I expect that to go to 70 by the end of this year. We offered an hourly separation allowance and 97 employees took us up on that. I expect to see a reduction of about 170 hourly employees by the end of the year. (That includes those who took the severance.) "Last year was the second best safety year in the history of the plant. We did not do as well as 1984. We need to do better in 1986. Product line challenges for 1986 are: --ACL --DCB --MCB --NCB --ONA ' "This year is also a negotiations year and we will be looking at some changes which short term may be unpopular, but are vital to the future of the plant. We have had 28 years of labor peace and that is a record no other Monsanto union location has. My approach will be to have a win/win situation for all of us. "WGK has undergone some major changes in the recent past. I think we - need to pull together to meet the challenges ahead of us. We are constantly changing to survive. There is no question we will continue to change--it is vital to our future and to the future of this plant." WELCOME VISITORS "Welcome to the following visitors who are at the Plant today for an Environmental Review: Vince Matteucci, M.R. Foresman, F.E. Kearney, Mike Weishaar, S.G.Collins and R.F. Boland.. SHOEMOBILE VISIT The shoemobile will be on site February 24 from noon to 4:30 p.m. OUR THANKS On Friday night a frozen line caused a MIAK line leading from a - storage tank to fail at a gasket, allowing MIAK to spill into the tank dike. A number of plant people responded to the incident and worked in near zero temperatures through the night and on Saturday to contain the spill and clean up the material. Thanks to all of you who helped. Your efforts brought the situation under control in a minimum of time. DSW 136589 STLCOPCB4036550