Document oDDEzbVyzm9m4x1zyxYLNpmkD

HBAT TRANSFER - THERMINOL FR SERIES (Domestic) Assumption: Withdraw FR aeries fro the market Introduction ....no other fire resistant fluids available probably over 2500 FR fluid systems operating ...probably over 1*250*000 gallons of fluid in these systems with an original minimum value of $3*600*000 and with fluid still having value to the user. The user inventory of fluid is unknown. ....in 1969* 250*000 gallons of FR fluids were shipped ...in 1970* 300*000 gallons of FR fluids may be shipped ....at this time we believe present Therminol FR systems can be switched to either Therminol 55 or 66, but user will be required to protect plant Investment and employe life by other means and at additional expense. Conversion to these fluids can result in an expense to us and a temporary loss in sales. Summary For this situation we have examined the user from two aspects -- those using Therminol FR in the heating of cooking oils for food preparation including vegetable oil deodorising* and those using Therminol FR in industrial process heating including space heating. Food Cooking Company Joe Lowe Corp. - do-nuts Do-Nut Corp. of Amer. Design Plus Engineering - fish fry plants Fill (gals) 2000 1000 4000 osnN**892 STLCOPCB4079468 Prlto-Lay Corp. 5000 Jiffy Pry Co. (Pcresiost-McKesson) -teas 16509 Our sales runs show about 73 customers, however* there ere Mflor sore units operating which we are unaware of since user has not ordered in fluid in many years. Contact with OS&'s will be necessary to locate these systems. e believe there nay be a minimus of 25#000 gallons In food cooking systems. industrial Process Heating Company Goodyear Tire a Rubber Co. Bendix Corp. Grossman Aerospace Vest Bend Co. Rational Southwlre Lubrisol General Tire & Rubber Co, Bumble Oil Co. Xnmont Co. PfO Ind. fenneeo Booker Chem. Co. Owens Coming Pibergl&s gill Ls&* 70,000 15,000 12,000 11,000 10,000 10,000 10,000 9,500' 8,000 7,000 6,000 6,000 4,000 In addition to these top users there are many other STLCOPCB4079469 - 3- significant systems in the 2,000-5#000 gal range at companies such as Firestone, Ford, Armstrong Cork and others. tfe believe there may be over 1,200,000 gallons in these applications. Details Contracts: None exist, other than acceptance of orders which we will ship over the next two months. Responsibility: It would seem that we will have to extend financial and technical assistance to the user in any conversion situation. This is baaed on the user having designed his plant and system to operate on our FR fluids and that the fluid in the system still has value. There is another factor, and that is, we are Increasing the users risk or exposure to catastrophe involving his plant or his personnel when we cut him off from a supply of FR fluid. Limits: If the user converts his FR system to a non PCS containing fluid it will be at our request. He will then expect us to share a portion of the cost related to fluid. Our responsibility should be limited to fluid only. We do not have the capability of system redesign or hardware selection. DSW 332894 STLCOPCB4079470 -4- Costs j It seems a minimum situation for ua would be something like the followings ....credit user $.05/lb plus freight upon receipt of the fluid. ....credit account $.10/lb plus freight If system fill is less than one year old. There are additional costs which we will become involved with and which will Increase our costs over those suggested above. These costs ares Material $.10/lb. Container $. 015/lb Shipping Disposal $.0Vlb. $.205/lb Approximately $2.55/gal. If our estimates are correct then total costs related to materials only may be: 1,250,000 gallons X 2.55/gal - $3/200,000 User Reaction* ....some may Involve us in legal action on the basis that we are depriving them of plant and personnel protection .... cooperate with us by draining and discarding fluid under our direction (there is no satisfactory means of simply topping an PR system and then An a years time through subsequent additions expect PR to be replaced by the non-PCB fluid). DSW 332895 STLCOPCB4079471 -5- ....after draining clean system if needed ....add petroleum oil, Therminol 55 or $6 ....blanket system with to retard degradation ....install fire detection devices, sprinklers or other fire suppressant equipment Miscellaneous: Any way we look at it interruption of the supply of an PR fluid will be eostly to us and to the users. The FR fluid has been sold on the basis of two very wild properties -- fire resistance and long fluid life in terms of years. DSW 332896 STLCOPCB4079472 HEAT TRANSFER - THKRMINOL (DOMESTIC) i^Ror we ehoald continue to product and supply Thermlnol 9R fluids Fluid boat transfer systems are yttal part of a proses** consequently, the ar* proteet this part of tde investment to avoid serious Interruption of production and loss of life. System The Mat transfer system 1* a closed system. Any leakage eaa be easily controlled, collected and disposed. . ..y-'- ='' *: : ->" There are only four sources for leaks In e system ....threaded fittings -- we advise users to design for welded connections over 1" in diameter. We can stipulate weld ell fittings* ....pump mechanical seal ~ we can stipulate enclosed seal with drain to collection sump or canned pumps. ....seal at the heat using equipment - we sen stipulate that drain he Installed to a swap* ....vent from expansion tank *- we can stipulate that vent he directed to collection soap, or to a cold seal task* '* / ' . y . `ay The use of cheek valves at selected points in e system can sdnlwlse fluid discharge in the vnre DSW 332897 STLCOPCB4079473 8 oase of a rupture at tha using equipment or isi the heater soil. Tlat control of system design* and oo and disposal of ft fluid leakage is and a feasible situation* Marketi In the last few years the market has expanded significantly for a variety of reasons i * a-increased concern for and protection of operating personnel . Increased value of equipment and plants ....addition of skilled personnel to our sales ferae Percent Dollar Sales Increase 1967 1968 1969 m m m 1979 (projected) ....over 8909 operating systems In many Industries contributing reliability to a process or a prooue ..only fluid operating In space heating applications -- apartments* hospitals* office buildings and plants Profitability! the Fft fluids gross profit is and has been DSW 332898 STLCOPCB4079474 Productsi Personnelt End User{ - 3- ..broadest product line covering a range of temperatures and operations ..only heat transfer fluids for operation In non-pressuriaed systems to over 700#F. ..only fire resistant heat transfer fluids approved by PM and rated by UL ..Men In sales and research mho are specialists and who have devoted their careers to understanding the use of organic fluids In heat transfer ..there is a very strong cooperative atmosphere and working relationship. The user needs and wants the fire resistant fluid, wants a leak free system, wants good labor relations and will design a leak free system or modify an existing one. J. R. Pallon April 23# 1970 SW 332899 STLCOPCB4079475