Document rznM2RB6Zbd2RzELxOJLkMY0

International Smelting and Refining Company East Chicago, Indiana Pigment Division toy 2, 1946 Nr. R. X. Dwyer, Ixecutlve Vie* President, Anaconda Copper Nlalni Company, 25 Broadway, I*v York 4, V. Y. Dear Nr. Dwyeri This la a suanary of th* sales position of xlno oxide and whit* land for the month of torch, 1946. Table Vo. 1 gives a oomparlaon of sine oxide aalaa for February and toreh, 1946 and th* corresponding months of 1945. TABU VO. 1 12& 1245 torch February 1,893*400 Lbs. 1.537,350 Lbs. 1,164,450 Lbs. 848,100 Lbs. The upward tread that began when w* went competitive on price In September, 1945 continued through torch. Za does not appear likely that there will be a reversal of this trend In th* near future. Table Vc. 2 gives the sales year to date through torch for 1946 and 1945. wsmp.w wo. 9 1246 1242 Sales Yaap to Bat* - March 4,955,750 Lbs. 2,881,660 Lbs. It la gulte likely that sales through April, 1946 will be double those for th* same period of 1945. Table Ve. 3 gives the sales of sine oxide for th* past six months together with the probable sales for April. PN,C00001' NI02J0 Mr. H. I. Dryer -2Q- * May 2. 19*6 OotObCF Movember Sienbtr January February March April (Probable) 814,850 Lba. 965,900 Lba. 1.030,565 Lba. 1.525.000 Lbs. 1.537,350 Lba. 1,893,400 Lba. 2,000,000 Lbs. The upvard tread la sales should eeatlaue through May. Sales for that aaath are estimated at 2,200,000 pouada. Table Mo. 4 gives a breakdown of sales aoeordlag to paint, rubber and alsoellaaeous Industries. TABLB 10. 4 l&SfiSi Paint 801,200 Rubber 206,500 Miscellaneous _ J88.5t.70Q. i246 Talus. 1 58,621.01 15,112.50 71-.Ifor74 1245 Pounds Value 189,350 669,500 .-295,690 8 14,797.26 64,253.75 30.918.23 1,893,400 145,499.25 1,164,450 109,969.24 12& 2SSB& FIRROART Value 1245 Pounds Value Paint 891,200 Rubber 312,100 Miscellaneous .. -21*^050 1 67.269.13 22,662.50 181,200 434.450 232.450 $ 14,030.65 41,791.88 23.027.19 1.537.350 $ 119,158.63 848,100 * 78,849.72 Sales to the paint industry oontlnue at a high level de spite reported shortages of eoatalnera aad linseed oil. To state extent thin Is dan to substitution of sine oxide for other pigments vhleh are not available, sueh as 11thopone aad titanium. Sales to the rubber Industry eentlmue to lag. To a large extent this Is due to lever production of Insulated wire. A large percentage of the sine oxide ve have been selling to the rubber Industry has been used In Insulated wire aad many concerns making sueh preduets are either operating on a redseed schedule or are not operating at all. Tho substantial increase la sales to miscellaneous Indus tries Is due to a lesser extent to an Increased demand for slue oxide from manufacturers of pharmseeutleals vhe are probably shipping PNYC00001510 Nr. I. 1. Dwyer 3- Ih; 2, 19*6 the Increased production abroad. To a creator extant this Increase Is due to sales to exporters. Ve do not directly export. Vo sell to the exporter, the transaction being handled the sane as a donestlo transaction. There Is a sizable market which probably will last for a year or more. Ve have been selling our nuffle furnace oxide at the regular donestlo prloe of 7-1/*# for oarlots. Beginning with the first of Nay, our prloe will be 8-1/*# per pound or 1# per pound over the donestlo narket. This has been cleared through the legal staff and ve have been assured that ve in no vay would be violating OTA oeiling prices or the Xoblnson-fatman Act. Vhile our donestlo prloe is 7-1/*# at the present tine, our official ceiling price is 9-1/2#. Consequently, ve could charge up to 9-l/fe# without violating OTA ceiling prioes. Furthermore, since the sine oxide is being sold for export, it is not being pur chased by a oonsumr in this oountry who would be in competition vlth another consumer paying 7-1/*# and for this reason there is no violation of the Bobinscn-Bataan Aet. Ve have already booked 230,000 pounds at 8-1/1# for ship ment during Mhy. Zt is quite likely that ve ean book at least an additional amount at the same prise. This increase in revenue should be of considerable help to us at last Chicago and may favor ably affoot our position to a oonslderable extent if ve can get sufficient volume of sales at this higher pries. Table lo. 5 gives the average sales prloe per pound for sine oxide for the past three months. March February January Average Bales Trice - Ter found 7.885# 7.751# 7.637# The average sales prise for March was not as low as pre dicted, 7*5t# per pound. Bor April, it should bo about the same as for Marsh, 7*685#. table Bo. 6 gives a soaqparlsan of white lead sales for February and March of 19*6 and the corresponding months of 19*5. TABLE BO. 6 March February S1, 5,6*5 Lbs. 1, 5,035 Lbs. 12*5 1,211 Lbs. *18,63* Lbs. pNtCOOOO 15U Nr. X. X. Dwyer -4- hay 2, 1946 Oar use of pi* lnd la the production of d17 vhlto load during the aoooad quarter Is limited to 38-1/2J* of the Mount used during the flrat six Months of 1944 or an annual basis of approxi mately 77#* On tho other hand, the demands upon us are tresMadoua due to the shortage of other pigments. Ve could sell tvlce as much dry white lead If ve had It. Dry white lead sales for April will he about 1,000,000 pounds. They reached this level only because ve liquidated our stocks at Sast Chicago and to a considerable extent those In out lying warehouses. One day last week ve had only 23 tons of all grades In stock at Bast Chicago. Total stocks la outlying ware houses are only about 125 tons. Table lo. 7 gives the sales of white lead year to date through March of 1946 and 1945. TABU RO. 7 1946 1945 Bales Tear to Date - March 4,499,368 Lbs. 2,959,111 Lbs. Table Xo. 8 gives the average sales price per pound for dry white lead for the past three months. TABU 10. 8 March February January Average Bales Trios - Ter found 8.391# 8.4l4# 8.361# To summarise, sales of sine oxide continued the upward trend that began when ve vent competitive on price In Bepteaiber of 1945 and this upward tread Is expected to continue. The Increased revenue from the sale of sine oxide for expert at a prloe higher than the domastlo prloe Is expected to help our position at fast Chicago somewhat. Despite the fact that the demand for dry white lead Is Considerably la excess of the supply, our sales will be lover due to the curtailment of production by CFA. 0 have no Inventories to draw on as those lm Bast Chicago and la outlying warehouses are practi cally depleted. Tery truly yours. F.X.lurlesssho cc1 Mr. Frederick Lalst Mr. F. 0. Case, Mr. 0. X. Johnson plrtcooo'5'2