Document gbr69GE27aN9kDJjxL81VOEma

/ PCB/PCT IMPLEMENTATION PROGRAM U. S. DOMESTIC PROGRAM . . I. Discontinue sales of PCB1s for heat transfer applications A. Formal notification by letter December 15, 1971. 1. Effective on date of letter -- no further sales. 2. Offer consultation by team of engineers on alternatives. Assistance only -- customer to decide which alternate route to take. 3. Offer to provide directions on handling and disposal of spent PCB's. B. In case of unusual hardship cases where conversion is difficult. 1. Offer consultation by team of engineers on alternative routes. 2. Offer further sales for minimum possible time to effect conversion -- provided -- Customer signs hold harmless letter satisfactory to Monsanto -- -- and further provided -- Customer has, in Monsanto's opinion, sufficient financial responsibility to , make such indemnification agreement meaningful. PCB-ARCH0743279 2. C. Team of trained engineers to be directed by Dr. Cumming Paton. They will: 1. Visit customer plants upon request. 2. Discuss possibility of using other Monsanto fluids giving proper warnings as to possible fire hazards. 3. Make customer aware of other possible alternatives but make no recommendations as to their use. In such cases customer will be referred to manu facturer of alternative. 4. Make arrangements with customer for proper handling, packaging and return of spent PCB . fluids to Monsanto for incineration. 5. The engineering team's role is solely to consult with and assist customers in making conversion away from PCB's. Any questions with respect to Monsanto management's decision to discontinue sale of PCB fluids for heat transfer use are to be referred to Dr. Paton for proper answer. II. Further sale and delivery of PCB's as dielectric fluids for transformers and capacitors will be made in conformance with certain restrictive policies adopted by Monsanto management. " * 0034324 PCB-ARCH0743280 3. A. Effective January 15, 1972, Monsanto will sell and deliver PCB's for such use only to manufacturers who have entered into agreement to indemnify and hold harmless Monsanto in the use of these products, consistent with contract provisions. B. Acceptance by Monsanto of such an agreement is subject to the customer having the financial responsibility necessary to make the agreement meaningful in Monsanto's opinion, as judged against previously established criteria. C. The determination of the customer's satisfactory financial responsibility will be made by a review board consisting of: Howard S. Bergen--Business Director John F. Stapleton--Law Department Donald S. Ellis -- Treasury Department George Wingard--International (where International matters are involved) In the event the review board is in disagreement on a particular case, further review and decision will be made by: E. J Putzell, Jr. W. R. Corey in consultation with J. J. Kerley if the latter would appear in order. 003432* PCB-ARCH0743281 4. D. All transformer and capacitor customers will be notified of the foregoing restrictive policy on . further sales no later than December 31, 1971. III. Discontinue all sales of PCT's (polychlorinated terphenyls) no later than June 30, 1972. The program calls for 75% of such sales to be terminated by March 31, 1972, with the remainder to be terminated during the second quarter of 1972. . A. Discontinue all sales of PCT's for plasticizer use by March 31, 1972; notification letter to be mailed December 31, 1971. Responsibility for this action is with J. E. Springgate, Business Director. B. Discontinue all sales of PCT's for use in hydraulic fluids by June 30, 1972. This program will include the substitution of Monsanto phosphate esters and/or phosphate ester-oil blends. Responsibility for this action is with Howard S. Bergen, Business Director. U. S. EXPORT PROGRAM ' Policy with respect to U.S. export sales of PCB's and PCT's will be identical to the policy adopted for U.S. domestic sales. However, timing with respect to these export sales will be as follows;* * 00^326 PCB-ARCH0743282 5. I. Discontinue all sales of PCB's for all uses other than as dielectric fluids in transformers and capacitors no later than January 31, 1972. Effective date of dis continuance shall be date of letter giving formal I notification. II. Further sale and delivery of PCB's as dielectric fluids for transformers and capacitors will be made in conformance . with the restrictive policies adopted by Monsanto management. 1. Effective March 31, 1972, Monsanto will sell and deliver PCB's for such use only to manufacturers who have entered into an agreement to indemnify and hold harmless Monsanto in the use of these products consistent with contract provisions. 2. Acceptance by Monsanto of such an agreement is subject to the customer having the financial responsibility necessary to make the agreement meaningful in Monsanto's opinion as judged against previously established criteria. 3. The determination of the customer's ability to satisfactorily meet the financial responsibility will be made by the review board established in "II-C" (under U. S. Domestic Program). PCB-ARCH0743283 I 6. III. Discontinue all sales of PCT's (polychlorinated terphenyls) no later than June 30, 1972. The program calls for 75% of such sales to be terminated by March 31, 1972, with the remainder to be terminated during the second quarter of 1972. 1. Discontinue all sales of PCT's for plasticizer use by March 31, 1972; notification letter to be mailed December 31, 1971. Responsibility for this action is with J. E. Springgate, Business Director, MICC, in conjunction with the International Division. 2. Discontinue all sales of PCT's for use in hydraulic fluids by June 30, 1972. This program will include the substitution of Monsanto phosphate esters and/or phosphate ester-oil blends. Responsibility for this action is with Howard S. Bergen, Business Director, MICC, in conjunction with the International Division. IV. It is planned to implement the same policy with respect to sale and delivery of PCB's from the Newport facility in the U.S. Since there is no manufacture of PCT's in the U.K., the policy on these products will be controlled by the policy adopted for U.S. domestic and U.S. export sales. Action on PCB's will be as follows: 1. Discontinue all sales of PCB's for other than dielectric uses by January 31, 1972. 003i,Ji8 PCB-ARCH0743284 7. 2. Further sale and delivery of PCB's for dielectric uses for transformers and capacitors will be subject to the same restrictive policies adopted for U.S. domestic and U.S. export sales and the effective date for implementation will be March 31, 1972. With respect to Japan, the International Division will work through Dr. John Durland to discontinue by January 31, 1972, exports of PCB's from MMK's facility in that country. Further, Dr. Durland will convey to the MMK Board Monsanto's worldwide policy on PCB's and he will keep us informed on MMKrs actions on the sale and delivery of PCB's within Japan. 003*329 PCB-ARCH0743285