Document v1xDNmrQ7kK7vMyv70qeZDVmY
Albuquerque, New Mexico, Considers Minneapolis Ban
The Albuquerque, New Mexico, City Council is expected to consider this week a duplicate of the recently passed Minneapolis ordinance. The sponsor, City CouncUmember Michael Wiener, hopes the ordinance will force the recycling of all plastic products. Local industries, including the New Mexico Grocers Association and the Soft Drink Association have mounted a campaign against the ordinance and are hopeful of their chances to block its passage. A council hearing has been tentatively set for June 8.
State Adjournments
The following 29 states have adjourned for the 1989 session:
Alabama Alaska Arkansas Colorado Florida* Georgia Hawaii Idaho Indiana Iowa
Kansas Maryland Minnesota* Mississipi Missouri .
Montana Nebraska New Mexico North Dakota Oklahoma South Dakota Tennessee Texas Utah Vermont Virginia Washington West Virginia Wyoming
* expected to hold special sessions
u~"i < Street NW Sjite 400 A asnmgicr. 0 C 20005
'' } 0 iV tnOvSO
State Bulletin is published by the State Government Affairs Department of the Council for Solid Waste Solutions, a program of the plastics industry. For more-information about any item in this newsletter, contact the Council's State Government Affairs Staff at (202) 371-5319.
SPI-26818
The Society of the Plastics Industry, Inc.
PLASTICS SAVE ENERGY
SPI-26819
.pe-an'-g urn :s Sec-ens
D-v s c-ns
Committees Spec a> p ->'cose 3:OuOS = r-arc-ii- Statements
O^ecto's ana O'1 cers Staff
'0 2 i3
'3
nsiae Sac* Cover
0" :he Cover
The 10 representative plastics applications shown were he basis of a research prefect that showed that plastics can often save energy m all stages o< their life cyae Conducted oy Fran*.un Associates, ire of Prairie VtUage, Kansas the study has led to further work to examine the energy efficiency of all plastics SPl hopes to dispel the impression that piast cs are wasteful of energy
1979-1980
H. R. HUTCHINSON
- = -r:t <ara
--.;:-.c==3 s-'Fety ORVILLE L. MAGELI
Cc.-p o \ew ;:>h
=L`-S~'C BEVERAGE
CONTAINER H. RANDALL LITTEN C.'.erS-;il'-0'S 'PC
roe:io Oho
PLA3"'C 80"Tl INST'TUTE FRANK M. HARRIS a.~- FacKaqing. inc zr: C '-'ton Onic
PLAS"'CS PIPE INSTITUTE IVAN K. OeBLlEU c ! du 3ont ce Nemours
A Co 'nc
-Vii-nirgron Delaware
Officers and Directors
OFFICERS
DIVISION CHAIRMEN
PQLVUEPIC MATERIALS PRODUCERS
CHARLES A. GRANT Hercules .rc Wiimirgton Delaware
CHAIRMAN IVER J. FREEMAN Pacxage Machinery Co East Longmeadow, Massachusetts
VICE CHAIRMAN IVAR A. LUNDGAARO E > Ou Pont de Nemours & Co., inc Wilmington. Delaware
SECRETARY RICHARD A. 8RAOBURY PMS Consolidated Garaena. California
TREASURER WALTER P. 8USSART Eastman Chemical Products, inc. Kmgsoort. Tennessee
IMMEDIATE PAST CHAIRMAN STANFORO H. SHAW Shaw Plastics Corp. Berkeley Heights. New Jersey
SECTION DIRECTORS
EASTERN SECTION WILLIAM B. BRADBURY, JR. PMS Consolidated Somerset. New Jersey
MIDWEST SECTION ROBERT L. SLAUGHTER Anchor Brush Co . Inc Aurora. Illinois
NEW ENGLAND SECTION JOSEPH F. O'BRIEN, JR. Gibson Engineering Co . Inc. Norwood. Massachusetts
WESTERN SECTION FRANK C. DeVORE Tri-oias. Inc La Raima. California
EPOXY RESIN FORMULA TOPS
FREDERICK E. MEYER
Thermoset Plastics inc Indianapolis. Indiana
PROFILE EXTRUDERS WILLIAM W. ROWLEY Mercury Plastics. Inc
M'ddiefieid Ohio
EXPANDED POLYSTYRENE J. MICHAEL MURRAY EPS industries, inc Wichita, Kansas
FLUOROPOLYMERS FRANK M. CHAPMAN The Carborundum Co Avondale, Pennsylvania
FOAM CUP & CONTAINER W. WAYNE THOMPSON Owens-Illinois. Inc Toledo. Ohio
FOAM TRAY & CARTON JOHN A. LARKIN W.R. Grace & Co. Reading, Pennsylvania
FURNITURE RAYMOND A. MATTSON Southeastern Kusan, Inc Greenville. South Carolina
MACHINERY SAMUEL J. RUPERT Hoover Universal, inc Saline. Michigan
RP'C INSTITUTE JAMES S. HEARONS Cwens-Cormng
Fioerglas Corp Toledo. Ohio
RIGID PLASTIC CONTAINER DONALD R. WENZ Dart industries Ludlow. Massachusetts
SHEET PRODUCERS MANAGEMENT GERALD J. WEIS Impact Extrusions, inc Grand Praine, Texas
STRUCTURAL FOAM CIRO L PETRUCELU Hanson Pattern & Mold Corp Ludlow. Massachusetts
URETHANE WILLIAM C.DARR Mobay Chemical Corp. Pittsburgh. Pennsylvania
MOLDMAKERS W. JOHN GALVIN Burton Tool & Oie Co . inc Leominster, Massachusetts
VINYL FORMULATORS SAMUEL F. RUTLANO Rutland Plastics. Inc
Charlotte. North Carolina
MOLDERS
LEONARD W. GOLOEN Colgate Plastics Corp. Buffalo, New York
VINVL SIDING INSTITUTE
JAMES W. JACKSON Bird & Son. Inc
East Walpole Massachusetts
DIRECTORS AT LARGE
V.T! S*D`rSS
1 ' ' ?<
RIPLEY W. GAGE Gage inaustr es ire ^ake Oswego Cregor
RICHARO W. GOOORUM Eihy1 Corp Baton Rouge. Louisiana
WILLIAM H. GUTHRIE Phi,i.ps Petroleum Co
Bamesviile. OKahoma
L. WILLIAM SESSIONS
American Can Co Greenwich Connecticut
PETER A. SIMON Shamrock Industries, Inc Minneapolis. Minnesota
R. PETER TOOHY
Snell Chemical Co Houston. Texas
Term expires May 31. 1981
JOSEPH E. BIAFORE Rubbermaid, me Wooster. Ohio
T. E. BRANSCUM Gott Corp Winfield. Kansas
WILLIAM F. MERtCLE Cincinnati Milacron Co Cincinnati, Ohio
JOHN E. PEPPERCORN Gulf Oil Chemical Co. Houston. Texas
JOHN H. SCHROEDER Crescent Plastics, inc Evansville. Indiana
JACK L. SHAFER Borg-Warner Chemicals Parkersburg. WestVirgmia
Term expires May 31, 1982
JOSEPH L. DOWNEY Dow Chemical USA Midland. Michigan
CONSTANZE FLINOT Battenfeld Corp ol America Skokie. Illinois
ROBERT M. GERRITY Ford Motor Co Wixom, Michigan
WILLIAM J. GRAHAM Owens-Illinois, inc Toledo, Ohio
RICHARD T. STUOER HPM Corp. Mt Gilead. Ohio
H R. TOMFOHROE, III Union Carbide Corp. New York. New York
SP1-26820
Chairman's Report
t *.as a "'os' r`!f9restirg arc A-orr-wmie experience fcr me fo serve 35 your Carman ^ur^g the two years
v/gy .31 '980 As a "acninerv supplier ! had earner anticipated the neec cn occas.cn to serve as a mediator between rne diverging mterests of resin sup pliers and processors but rna; ?asn t been necessary
at all instead ms nas been a period of harmony and real prog-'ess i car. personally pear witness to the cooperative spirit and rare work of all involved in SPI
As reported on the next pages of this report, our Pub lic Affairs Committee, ana staff, aiong with the support
ing organizations, have become a smooth-running and effective operation--equal to the tas* of providing a protective umbrella for the mdustry.
industry sales volumes rose steadily during these past two years Reflecting this up cycle, our many sec
tions. divisions, groups, councils and committees have
never been busier Nearly 700 official SPl meetings were held during 1979-80. m the interest of keeping markets open, developing new markets, and achieving progress m many areas
The financial resuits have been gratifying, to say the least, in the Annual Report of a year ago we reported that fiscal year 1978-1979 was the biggest and best ever And 1979-80 was both bigger and better. As shown m the Statement of Revenues & Expenses on page 13. gross revenues from all sources exceeded $8.6 million, of which nearly $3 5 million was raised and expended by SPl s Operating Units on special projects which were separately funded over and above the ba sic dues These seif-funded expenditures cover a broad range of projects, including toxicological re search, legislative and public affairs activities, market and product development programs and meeting in come.
The General Funds budget of SPl, which is adminis tered by your Board of Directors, totaled $5.1 million in
fiscal year 1979-80. Largely because of the surge in in terest rates, we generated an operating surplus for the year of $269,547, To this we were able to add the net
income from the 1979 National Plastics Exposition of $674,470. As a result, after other adjustments, our total excess of income over expenses for 1979-80 was $865,794.
Fortunately, these outstanding results provide a strong point of departure for the recession now in pro-
gress After a very careful review of me s t_at on
some expense reductions your Boarc o` Cirectcrs ras established a General F^nc cuaget `or 1980-81 o' S5 8 million in order to balance income and exoenses mey
have drawn on 1979-80 excess income by $220,000 Even after this action the Society's 'esefves are equal to just under 50% of the current year s budget
In addition, we achieved seme modest gams m mem bership during the year 144 new members, offset by 129 resignations, for a net increase of 15 Total com pany membership is now i 215. We weicome these new companies and hope they will become act ve par ticipants.
Our general feeling of optimism was further sus tained by the results of the organization audit and dues study conducted for us m 1979 by consultants from me
well-known firm of Ernst & Whmney Their survey of Vot
ing Representatives showed a substantial vote of confi dence m SPl and its programs, including the dues sys tem. No major restructuring or reorganization was recommended by Ernst & Whmney at this time
However, I see no signs of any excess inventories of optimism m SPl. The recession/mflation conditions have hit our industry hard, and we can only hope that the predictions of an early leveling out and gradual rise are true. The trouble is that the regulatory and legisla tive pressures on the industry haven't slackened at all. and SPl has to continue to cope regardless of the busi ness cycle. Old problems stay alive and new chal lenges keep rising.
Furthermore, it is inevitable that this industry will con tinue to grow and change SPl will have to adjust and keep pace. Despite the good report card from Ernst & Whinney, your Officers and Directors are not satisfied with things as they are. What will be the basic mission of SPl in the eighties? What kind of membership organiza tion will best serve our needs for the future7 How should
the staff be structured7 What can be done to persuade more plastics companies to support their industry as sociation? How can we make our programs and serv
ices better understood? Can we improve the dues sys tem?
Work on these questions by your Board and staff was
begun last spring and will intensify in the months ahead. I'm proud of what's been accomplished in the recent past. You have been well served by a very strong group of Directors who represent all elements of our diverse industry.
You are also in good hands with "Bud" Lundgaard as your new Chairman, with Jim Hearons as Vice Chair man, and with a well-balanced Board. Your staff con tinues to grow in competence. Thus, all the elements are present for a continuing strong trade association, provided you continue to give it both your personal in volvement and financial support.
Mr Freeman receives an inscribed silver tray for outstanding service to SPl from Ivar A. Lundgaard. ncoming SP> Chairman
't/X.
v IVER J. FREEMAN
Chairman
SPI-26821
i
SPI Public Affairs Committee
The plastics industry :oaay is .n an nterest'~g pet paradoxical position On one hana we aregomg "acidiv
into new markets ard applications on the othef na^c legislation continues to threaten our growtn cy ane^c;mg to hamcer cir use of basic materials by over-'egulatirg cu' marufacturng processes ana by trying to re strict the markets for our end products.
Basically. SPI s Puohc Affairs Committee (PAC) s the result of the industry's recognition that external forces were beginning tc affect our marketing abilities and the realization that helping the plastics industry to market
its products involved a whole new spectrum of activities reaching far beyond the marketplace These are the is sues with which you are now all painfully aware--toxi
cology, combustibility, solid waste ana, most recently, energy. Sometimes one of these issues will affect a s ngle segment of the plastics industry, often several seg
ments will be involved. The role of PAC to coordinate ana manage the response of the plastics industry to is sues like these, which threaten our viabi'ity and tKe overall growth of our markets.
PAC is composed of representatives of member companies selected by the Board It reports directly to the Executive Committee of the 8oard of Directors
The present structure of PAC is based on the follow ing considerations: first, an umbrella structure is
needed to provide up-to-date and comprehensive in formation, legislative monitoring and contact, public re lations and other support programs This inclusive structure also has the responsibility for industrywide is sues such as energy. Second, to provide the kind of ex pertise that a more narrow issue requires, PAC created the concept of Issue Coordination. Each Issue Coordi
nator is responsible for maintaining an up-to-date and comprehensive understanding of a generic issue of concern to the industry. He provides background and
expertise on the problems within his area of concern. He is the liaison between operating units dealing with me issues, the SPI staff, and the support services PAC provides. The issue Coordinator has the knowledge and the resources to develop strategies, to recom mend policy and to implement it.
When an issue concerns a clearly defined portion of the industry, ad hoc committees or special interest units are formed. Such a unit draws upon the expertise and support of PAC and its staff; it coordinates its activi ties with other SPI actvities, but it is essentially autono
mous. Thus, PAC has structured itself to respond both to the
fluidity of the issues confronting us and the diversity of the industry we represent.
enme 'Lnction tre gathering of technical soem `.c c' ^eaical aata in oraer to develop an SPI position on o
parfcular ssue or to lend additional support to long standing 3PI positions in some cases, these com-- tees also develop and supervise the implementation or programs to promote the positions that have been de veloped Their work, in many respects, is the bedroex
of the PAC effort, for without technically sound data, ! would be impossible for PAC legal, government rela tions and public relations experts to defend the industry successfully in the various public policy arenas.
Each of these committees was established as the need arose. First, solid waste; second, combustibility third, toxicity, fourth, occupational safety and health
and. most recently, energy, in some areas, suen as combustibility and solid waste, PAC has long been a soonsor of scientific research.
in other areas, such as toxicity and energy, PACsponsored technical research has not been extensive instead. those committees have relied on research conducted by other industry, government and private
groups, which has provided data necessary for the de
velopment of important SPI positions. In some cases, this data has come from work carried out by self-funded groups within SPI itself.
in short, PAC will sometimes sponsor its own scien tific research if such work is not being carried out by other responsible groups, or else it will use data gath ered by others, but analyzed by PAC, to provide the necessary background for our issue-related efforts.
it should also be pointed out that these five commit tees do not operate in a vacuum, but draw upon and provide expertise to divisions and other seif-funded groups within SPI as well as to outside organizations
whose goals coincide with those of the plastics indus try.
For example, the Energy Task Force has worked closely with the independent Petrochemical Energy
G roup to develop a program beneficial to both the pet-
Technical Support The technical support activities of PAC are centered
primarily in five committees: the Coordinating Commit tee on Consumer Safety, which handles matters deal ing with combustibility of plastics; the Plastics Re source Recovery and Conservation Committee, which oversees technical activities in the solid waste area; the Toxicology Committee: the Committee on Occupa tional Safety and Health, and the Energy Task Force.
In general terms, all five committees have as their
2
As indicated, petrochemical feedstocks for plastics consume less than i 5% of annual U.S. supply of oil and natural gas
SPl-26822
A-rong $ooxesperson$ participating in the PAC's Editorial Briefing Tours were John B Westfall, director of business promotions for Phillips ChemcaiCo (aingh; n photo left) and William C Kuhlke market'esearch representative for plastics for Sbei! Chemical Co (at r-gm m pnoto center) The lours drew excellent response from newspapers, as wen as TV and radio coverage
rochemical and plastics industries. Similarly within SPI, the Coordinating Committee on Consumer Safety works closely witn tne Urethane Division, the Expanded Polystyrene producers, the PVC Safety Group and others on general matters of fire safety.
PAC's close liaison with these groups, to share infor mation ana experience and to avoid duplication of ef fort, has resulted in another benefit; the creation of a cadre of legal, technical, government and public rela tions personnel from both staff and outside counsel whose expertise can be called upon by other groups within SPI when the need arises. Nowhere has this been more clearly demonstrated than in the occupational safety ana health area. Starting first with vinyl chloride
and proceeding through acrylonitrile, OSHA's generic cancer policy and now styrene monomer, PAC and consequently all of SPI has built up a background on ways to handle any occupational health regulatory Droblem that may arise.
One recent effort of interest in the toxicity area has beetn the work of the Toxicology Committee in helping to make life easier for the plastics industry in complying with the multi-faceted requirements of the Toxic Sub stances Control Act. In essence, what we've been try ing to do is to establish with EPA that polymers are basi cally biologically inert chemicals and should, therefore, not be subject to the same notification and pretesting requirements as are basic chemicals.
Another area in which we have been extremely active is Federal cancer policy, not just with OSHA and EPA, but with the Consumer Product Safety Commission and especially with FDA, whose policy regarding indirect additives has a direct bearing on the future of the entire plastics packaging industry.
In simple terms, the various technical committees of PAG provide the ammunition that the other special service units of PAC use in their ongoing battle with over-legislation and over-regulation.
Governmental Affairs The volume of legislation carried forward from 1979
and introduced in 1980 has been moderately high in comparison with other years. The volume forecast for
1981 is very high because it will be the beginning of a new biennium in all but four states.
SPI has retained lobbyists in 10 states which present special or intense problems, in addition to the defeat of every seriously threatening bill against plastics, the overall lobbying program enjoyed two special suc
cesses Bills that would relieve moidersof the responsi bility for retaining customer molds ndefinitely were passed and signed into law m Minnesota and Massa chusetts (a similar bill was enacted m California last year). Plans have been made to extend this program for the coming legislative sessions
The second success was through the State Govern mental Affairs Committee. Having determined that the type of plastics milk bottle legislation and restrictive packaging review (or preclearance) legislation passed in Minnesota was planned for publication as model leg islation for all states, SGAC took immediate and effec tive action. Contacts were made with the subcommittee of the Council of State Governments which was consid ering this action. The subcommittee was persuaded to withdraw the damaging model act. deemed espec.aily antagonistic to free enterprise and plastics packaging generally. It has been estimated that this action proba bly eliminated the necessity of fighting similar legisla tion m 15 to 30 states.
Two successful Government Relations Seminars were given during the year, m Dallas and in Detroit A Civic Action Program, administered through the SPI Section Offices was instituted, to encourage members to become politically active m the 1980 elections.
A new facet of PAC's external communications pro gram instituted this year is the senes of Editorial Brief ing Tours. This involves teams of specially trained in dustry spokespersons who go to a chosen area and discuss the issues with the media people >n selected cities across the country. Cities are chosen for maxi mum beneficial effect--for example, the home towns of important members of the Senate and House Commit tees on Energy Policy Results from the cities visited to date have been most encouraging, with a positive re ception of the spokesperson by the press
Existing programs such as Constituency Seminars, the Member News Bureau, and the capabilities for quick response to unwarranted criticism were contin ued during the year under the direction of PAC's Public Relations Committee.
Washington Activities Over the last year, the SPI Washington office has in
tensified efforts to increase the visibility of the plastics industry in Washington. Monitoring relevant develop
ments and making direct contacts with executive and congressional officials to present plastics industry viewpoints for consideration in Federal policymaking
SPI-26823
3
Reporting or Fed eral acw i es :c SPi nembers was en hanced d> me regu lar publication of a biwee'y Washing ton Memo
has been a priority and has had promising results. Among obiectives this year was to broaden and -im prove the ability to monitor Federal developments and report on the same and conduct Federal government liaison. Legislative surveillance has expanded and will be more fully developed by the 97th Congress. Report ing on Federal activities to SPI members was enhanced by the regular publication of a biweekly Washington Memo. The Federal Government Relations Committee is more directly involved m the SPI government rela tions effort through the formation of periodic task forces and the establishment of a permanent Steering Com mittee. The full Committee will play an even greater role in helping shape SPI strategies in the 97th Congress.
In Congress In addition to expanding direct contacts with legisla
tors, over 10,000 House and Senate bills and resolu tions have been monitored this year. SPI submitted writ ten comments on S. 1789, the Product Liability Risk Retention Act; on two superfund measures - H.R. 85, the Comprehensive Pollution and Liability/Compensa tion Act and on H.R 7020, the Hazardous Waste Con tainment Act, and, S. 2154, an OSHA reform measure.
In the Federal Agencies
_as: November L ,V Sess-c^s C-ai^aEnergy Task Force. testified cn oenai* of SPi cerce *-e Department of Energy aro Treasurv offic-a.s z^ :~e Administrations proposal to rmit Oil mpor's m Janu ary. Mr Sessions a!so appeared oefore the Federa1 En
ergy Regulatory Commissicr at its hearings on natural gas incremental pricing for `eedstock and p-ocess use in March, me SPI submitted to tr.e Department of Com
merce proposed revisions m the Standard industrial Classification Code (SIC Coce) in June, SPi worked with other trade associations in hosting Chemical in
dustry Seminars for EPA to educate the staff responsi ble for writing regulations under the Toxic Substances Control Act (TSCA). In March SPI met with officials from
the Consumer Product Safety Commission to discuss CPSCs plastics flammability study and to offer SPl s expertise in this area. Also of interest to SPi members, a
delegation of SPI representatives has met frequently with EPA staff responsible for developing the agency s policy and regulations on non-aerosal uses of chioro-
fiuorocarbons. Other activities of the Washington office included
program planning for the 1980 Annual Washington
Meeting, Highlights were a Congressional Breakfast with over 50 Congressional offices represented, a White House Briefing with OSHA Administrator Eula Bingham, remarks by EPA Deputy Administrator Bar bara Blum, and House Ways and Means Ranking Mi nority Leader Barber Conable Just after the 97th Con gress convenes, the 1981 Annual Meeting will feature a Capitol Hill visitation program.
Looking ahead, the SPI Washington office has sur veyed the Board of Directors, Washington Representa tives and other interested SPI leaders to develop a leg
islative agendafor the 97th Congress, the first of its kind developed by the association, it will detail what actions the SP! wishes to see the 97th Congress take during it's 1981-82 tenure. In a related area, the SPI Washington office is developing a Legislative Response program to enhance the association's ability to encourage mem ber company action on Federal issues. The initial phase of the program will be operable by the conven ing of the 97th Congress in January, 1981.
NPE '82
The NPE '82 Executive Committee, headed by chair man Raymond Ross of Cincinnati Milacron, is working on the NPE blueprint to assure that the next plastics show, set for June 21-25, 1982 in McCormick Place, Chicago, will be the most successful ever.
With the drawing for space set for April 1,1981, tradi tional obiectives have been intensified to win increased attendance from areas of the U.S. not heavily repre sented at past NPE's and also from overseas nations. Toward this end, a multi-language brochure promoting the value of attending NPE '82 was produced and dis seminated at the K 79 show in Dusseldorf last October and at Rubberpias '80 in Singapore in May.
4
As the plastics expositions have grown in stature and size (attendance totaled over 43,000 at NPE 79) pro motion techniques and objectives have been finetuned increasingly to prompt attendance by prime de cision-makers from plastics end-user industries, such as automotive, appliance, packaging and construc tion. This emphasis will be continued for the 82 show
The 520 exhibitors at NPE 79 used 340,884 square feet, including first-time use of all three levels of McCor mick Place. Exhibitors at that show declared their inten tion to enlarge their exhibit space at the next show-- NPE '82. Responsive to this trend, the management of McCormick Place has made substantial modifications, adding 40,000 square feet of suitable space for exhibi tors.
At this early planning stage, the NPE 82 Executive Committee has reaffirmed the value and success n past shows of the National Plastics Conference which will again run concurrently with the exhibit at NPE 82
SPI-26824
Operating Units
SECTIONS
Eastern Section
Cnapter activities within the section continued to gain momentum. Meetmgs. which stressed the benefits of SPi membership and membership devel opment. had record attendance.
m addition to dinner meetings with speakers, both the Mid-Atlaniic and Southern Chapters had success with
mini-conferences." one-day meetings `eatunng a speakers' program, recrea tion and a dinner The Eastern Chapter ct the Moicmakers Division also had a record year with an expanded Board of Directors and increased attendance at meetings.
E-CON V. the section's 1979 annual meet ng, showed a 20 percent increase m attendance over the previous year s meeting, whicn was itself a recordbreaker. E-CON V had as its theme 'The Image of the Industry" and fea tured speakers from the industry, trade associations and the media.
Midwest Section
As part of the section s chapter ex pansion program, directors at large were elected from key geographic areas to work specifically on the expanS'Or Ohio was divided into two chap ters Northern and Southern
in Michigan, the section assisted in development of an end market automo tive group. Section committee mem bers offered support and guidance to this activity
A project to have in place key mem bers for legislative response in each state got underway. The objective is a g roup of 8 such members in each state.
Emphasizing member contacts and revolvement, a key program for the secton was increased visits between the section s staff and members.
New England Section
The New England regional office in Frammgham was opened in November. 1979. Prior to the office opening, the section initiated publication of a monthly regional newsletter, New Eng/and News.
The 35th Annual New England Con ference in October, 1979drewover 190 attendees. The conference theme was 'Manpower Development--Identific ation. Recruitment, and Training of Per sonnel for the 8Q's."
A moicmgxer app'entice school n New Eng arc cased on the American Mold Bu-cers Assoc-ation program was approved by the SPi 3oard as a pi lot for a na: onai rroidmaxer apprentice program a committee was formed to develop promotion 'or the project and tc manage the school Promotion in cluded .ocal Open houses to inform in dustry memoers educators, the media and potenfia' applicants of the pro gram Nearly 200 applicants nave been tested for entrance into the program of which approximately naif qualified Two-thirds of the 25 class seats have been reserved oy industry members for apprentices they will sponsor The school ;s scheduled to begin m Sep tember in Scuthbnage. Massachusetts. The instructors will be experienced iroidmaxers who have been trained by instructors m the AMBA school
The section s Annual Spring Confer ence attracted 100'attendees who heard presentation on employee train ing. economics and energy.
One of the major objectives of the section has been to increase the visibil ity of the expanded regional activities and to create cohesiveness between the different SPI 'groups m New Eng land. To this end, over 60 percent of the membership was visited by the re gional manager Leadership from all New England groups participated in development of section objectives, and all group activities are being coordi nated from the regional office.
Western Section
Attendance passed the i ,000 mark at the section's 37th annual conference, which had as its theme: "Practical Poli tics for Plastics: Challenge for the 80's "
Educational activities in the section included an open house held by the Moldmakers Division which drew more than 80 high school and junior college vocational instructors and counselors. The Scholarship Committee worked on the establishment of a format and crite ria for awarding scholarships
The Plastics industry Response Committee decided to repeat the suc cessful Legislative Briefing, which was held m Sacramento m 1979. That brief ing included visits to legislators, a re ception for legislators and other gov ernment figures, and display of member companies' products The next bnefing is planned for February. 1981
DIVISIONS
Epoxy Resin Formutators Division
Ad hoc committees were established m two areas, one to update the "Haz ardous Labeling Guide for Epoxy Prod ucts. and the other to develop a formu lating "pr mer" for new employees
The Technical Committee reviewed the ERF 'rest Methods with the goal oupdating and republishing them with an
appendix which would include refer enced tests of the American Society tor Testing and Materials. After the firs: revew. the Committee noted that several of the test methods were m need of up dating and programs got jnderway to accomplish this.
Record attendance marked the division's fail meeting Considerable ef fort was devoted to membership devel opment activity
Expanded Polystyrene Division
The division broke ail previous re cords for attendance at its t980 annual meeting, in addition to a double session conference, the EPS Annual Awards Competition and the company-spon sored EPS Scholarship Awards Com petition drew excellent participation
and outstanding press notice m na tional and local publications.
Membership in the division continued to grow. A directory of member com panies and their capabilities was printed for the first time, and was distrib uted to architects, engineers ana pack aging and product designers here and abroad.
New data acquired through the division's combustibility and thermal conductivity testing provided backup for recommending revisions to many standards-makmg and code bodies. This data was instrumental in complet ing recommendations for the Standards Committee submission to Federal Specification HH-1-524 for thermal in sulation board as well as to the "Hand book of Fundamentals" of the American Society of Heating. Refrigerating, and Air Conditioning Engineers, Inc
Research approval for EPS ceiling tile was granted by the Building Officials Conference of America, culminating
two years of effort, and was a major ac complishment for the division 7h s rec-
SPI-26825
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Tne MoiamaKefs Division initiated ascnolarship program m the Dayton, Ohio vocational school system >n honor of the late James R Onscoli Winner of the first award was David Getter (third Irom'eftl At the ceremony were Cettto right) Jack Ga'vin. immed.ate past chairman of the divi sion Mrs ^o*nn Drscoii ana Robert Sherman, staff manager `or the division
Dayton Oh'0 vocational school system Mr Dnscoil was vee president of Dia mond Tool & Die Co. of Dayton, Ohio, and a member ot the Moidmakers Divi sion Policy Board. The first award was presented to David Getter, a graduat ing senior m machine trades at Mont gomery County Joint Vocational
School. A direct mail program was developed
as part of the division's membership drive
Organic Peroxide Producers Safety Division
Increased technical support was pro vided for the Department of Transporta tion reoresentatives at United Nations meetings on organic peroxides. This in cluded data for position papers and at tendance at meetings <n London and Geneva by OPPSD advisors. The divi sion supported the proposal of the De partment of Transportation to adopt the United Nations' nomenclature for or ganic peroxides.
The division also supported the DOT'S proposed rules which would pro hibit shipment of any MEK peroxide with more than nne percent active oxygen.
Representatives of the division worked closely with a committee of the National Fire Protection Association to develop a new organic peroxide classi fication system which would be better suited to the needs of the association.
A compilation of specific organic per oxide toxicity data, obtained from a worldwide literature search, was com pleted
systems for recycling polyester bever age bottles back mto useful products.
The division provided substantial manpower and monetary support to the Plastic Bottle institute's Gatekeeper Program A brochure was publised dealing with the environmental benefits of polyester bottles with regard to recylmg options and energy consumption.
The division actively opposed man datory deposit reterendums m Ohio and Washington in cooperation with the
Plastic Packaging Strategy Group, the division helped fund the litigation that resulted in the Hawaiian law prohibiting the sale of beverages m plastic con
tainers being declared unconstitu tional.
Among the programs the division agreed to conduct are a market re search study on consumer attitudes to ward plastic beverage containers and support of anti-deposit efforts in various states
Plastic Bottle Institute
The ms; '-re cec zee -o :.:r: -_e 'e PLbuc 'eiancns p'og-am .vn'cn a e~ohasize the higmy succsssmi ser e$ oGatekeece' Meet ngs Aim newscaoe' ecifors ana e^vra^mertai g'c-cs arounc the ccjntry
The mstitjte aisc wni give r-eaw em phasis to p'omct on of the PQl Scnco.
Audio Visual '<[ A new `eature cl th s program wm oe the Peveiooment c' tel evision ta'k shew appearances by member representatives
A maior new effort got underway to sponsor a Piashc Borne Seminar on Oc tober 1 1980 m New York '0 Tform the trade ot latest deve'opments m techni cal areas and public canons
PBl funded the SPt petition to 'he 3ureau of Alcohol. Tobacco and Firearms to approve polyvinyl chloride for heuer
bottles
Plastics Pipe Institute
Following up on last year s commit ments PPi continued to stress the de velopment of aids lor the education ot designers, specifiers and installers on the proper selection design and instal lation of thermop astics piping Al though this effort -s important to the groups that PPi represents, it also serves to benefit the entire industry
One of the institute s Fuel Gas Divisions most s-gnificam achieve ments was the completion of a sioe program consisting of five separate presentations on recommended instal lation practices ana the proper (Oining of PE pipe for gas distribution systems it is designed to support ana assist the utility companies m their compliance with mandated Federal programs At present, over 100 slide presentations have been ordered for use m training programs for utility operators and in spectors In addition, the PPI Technical Director participated as an instructor :n
Plastic Beverage Container Division
The division was very active m pro
grams to stimulate the development of
SPI-26827
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uo ujejBojd )ssj aj'd 9ibos a6jBq.
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-aj b pajOEJiiB qoiqw uoijiiSduJOQ sued pue aouajajuOQ ujeoy tejnionjis ienu
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uoUBJEdajd jap -uo si uoda^ leoiiSiiBis Aqauenb isjij aq_ . iBuaiB^ Aq iaaqs papnjixa joj s.iap JO peii'jun pue sjuaujdiqS. u ujb>6 -ojd leousiiBis ceS'A0, s11 u- uo.]ed:0'i jgd juaiieoxa csai3P0, uO'Si.mc aq^
sjo ;
-saBB^s uO'jBAjasuoo cue aBesn Agj -ua uo )nau^ uiBiqo o; aiqSjaaujauj au. pauod aaqtLuujoo uoiieAjaSuon a6jSj= aqj AaAjns joqe, e fijjonDuoo ueBaq aai) o-'UjGq sao .DEuy aaAOida;g 9l|j
'saoioe-c ace._, due Eo.'jqoa^ so ; s i b ; c ' , 0 --. r . 3 0 ^ s. a a _l, 51\
COMMITTEES
Committee on Distribution
Two surveys were conducted ;r cs!r bution Derfo'rnance measL'emermethods The first was ar '_eaa:e at the qualitative survey to ascertain what measurements and c-tena a-e beng employed by member ccmpan es 'o measure distribution perfcrmance
The second survey was an update ot the 1977 quantitative survey aimed at developing valid statistics pertinent to distribution patterns m the plastics in
dustry Committee members were aiso surveyed to obtain the current status of member companies' metrication efforts m the areas of packaging, labeling, or ders and related shipping and distribu tion documents.
The Tank and Hopper Car Utilization Surveys were completed and distrib uted. A Hail Services Task Force was or ganized to gather data to illustrate to the railroads the need to improve rail serv ice
The semi-annual meeting held m Oc tober featured a workshop on "Distribu tion Organizational Structures and Phi losophies." The conference coincided with the publication of issue No. 4-- Organization Charts, submitted by
member companies. A meeting of the VCM Emergency
Response Committee was held in April to refine the procedures regarding re porting of and assisting at accidents in volving VCM. This mutual assistance
program will continue as a cooperative effort with the Chemical Manufacturers Association (Chemtrec).
A Marine Distribution Subcommittee meeting was held in December, 1979 and presentations made by container arid barge companies, representing another step in the constant surveil lance of the state-of-tne-art as it relates
to the marine distribution of plastic resms
It was agreed to merge this commit tee with the Committee on Transporta tion, effective in June 1980, to form the Committee on Transportation and Dis tribution.
'he F nanciai Man agement Commutes completed the fourth ana f nal vol ume of its Financial Management Man ual for Plastics Proc essors Volume IV focused or Mate rials Management"
two-day seminar on Risk Management and insurance, scheduled for early Oc tober, 1980. The presentation will be tailored to address the particular con cerns of the plastics processing mdustry.
The 41 st Annual Labor Survey (1979) was published in January, 1980, and the 10th Annual Financial and Operat ing Ratios Survey, covering 1979, was conducted.
In conjunction with Ernst & Whinney, the committee embarked on the devel opment of a series of articles on busi ness management topics to appear in
SPI's News Briefs. The purpose is to publicize the services provided by the committee in general and the Financial Management Manual in particular
Food, Drug and Cosmetic Packaging Materials Committee
The committee continued to monitor and report on activities at the U.S- Food and Drug Administration which impact on the plastics industry.
At its semi-annual meeting, the group held a successful series of subcommit-
Financial Management Committee
The fourth and final volume of the Fi nancial Management Manual for Plas tics Processors was completed. Vol ume IV focused on "Materials Management." As an outgrowth of the Manual, the committee agreed to con sider a seminar on computerized manu facturing and financial management systems.
The committee began organizing a
10
SP1-26830
! C 3 i-'^CC1".
"-a - "rn-vt-
:ee s review -g these Defare me report
s ssued 'he aomm.rtee $ aiso'nvesi'-
gatmg the `easibmy of collecting data
on plastics `eedstocks and additives
The 1979 edit on of facts and Figures
\ and :he 19 7S Ma/or Markets Report were pubusnea m ihe 'all of 1979 The CRS 'ormed subcommittees on
international Statistics. Plastics Pipe &
Fittings. Auto End-Use Appliance End-
Use and Thermoplastic Polyester Each
new group s designed to satisfy the
broad spectrum, of special interests of
SPt members
:ee meetings m which all interested mempe's were able to hear and dis cuss the :atest developments in their areas of concern and to participate in decisions on activities to support the SPI effort to promote government ac ceptance of plastic food, drug and cos metic packaging. The subcommittees involved were' Technical information, Lawyers Aovisory. Drug Packaging, Medical Devices and International.
International Committee
The committee made extensive prep arations for a Trade Mission/Technical Seminar to the People's Republic of China. The seminar, which took place in June. 19SQ. mvolved the participation of 16 people who visited Beijing, Nanking and Shanghai
Videotape/Catalog Exhibition No. 2 was sponsored in the March-April per iod Twenty firms participated. VCE No. 2. translated into French, was pre sented m Morocco, Tunisia, Kenya and Nigeria. The videotape was then shown at the Leipzig Trade Fair, East Ger many, and INCHEBA Trade Fair, Brati
slava, Czechoslovakia SPi partici pated in the exhibit, promoting NPE 82 The committee began planning for a trade mission to Nigeria. Kenya and Egypt for me fall of 1980 as a foMow-up to the leads developed from VCE No. 2.
The committee assisted m the organi zation. development ana promotion of the Commerce Department's Trade Center Exhibition m Mexico Oty Work was conducted on the development of a long range (five years) export promo tional program for the U S plastics in dustry in conjunction with the Com merce Department s Specialized Assistance Campaign. The committee completed its work on the Multilateral Trade Negotiations bill, which Con gress passed and President Carter signed into law
Committee on Resin Statistics
Responsibility for the Plastics Pipe institute's Monthly Statistical Report of Shipments of Thermoplastics Pipe & Fit tings was transferred to this committee effective January 1980.
Data for the initial international Statis-
The international Committee made extensive preparations tar a Trade Mission/Technical Semi nar to the People's Republic of China. The group of 16 saw several molding and machinery plants, and visited Beijing. Nanking and Shangnai
Committee on Transportation
Rail and motor earner tariff changes constituted the prime focus of activities of this committee during 1979-80 Of prime import to the plastics industry, from a dollar impact standpoint, was the railroads decision to forego approxi mately 60 percent of their October gen eral freight rate increase with respect to plastic resins. Resins moving m bulk were subject to an increase of 2.4 per cent nationwide, as contrasted with the general increase level applied to most other commodities which varied from 6.4 percent in the South to 9 percent in the East. It is estimated that this hold down will save the industry approxi mately $12.5 million, as compared with the general level of increase on an an nual recurring basis
Plastic resins received another hold down on a general freight increase, ef fective m July. i960, in the South and the West, and on September 1, 1980 in the East. The general level of increase is eight percent in and between the East and the West, and four percent in the South and between the South and both the East and the West. The railroads' in crease for plastic resins was reduced from the eight percent level in and be tween the East and the West to four per cent, thereby implementing a uniform nationwide increase.
Originally, the railroads proposed a seven percent increase m the West and five percent in the East, but reduced those levels to four percent after sub stantial opposition was expressed by the Committee and by industry mem bers individually. The savings to the in dustry as measured against the original proposals will amount to $2.9 million, and when compared to the eight per cent general increase level will amount to $6.9 million on an annual recurring
basis. The committee s Statement on De
regulation was approved by the SPI Board for release to government and legislative officials.
It was agreed to merge this commit tee with the Committee on Distribution, elective in June 1980
11
SPI-26831
SPECIAL PURPOSE GROUPS
Appliance Council
The Councn cna.r --an cooce'aiea with the SPi sta? st ca; oepaTmert >n ;he development of acoi ance 'es.r s*afstics Both the cha^ar arc "-e sta'f cirector monitored 'egvat'C"; a"d ad vised interested members
Housewares Manufacturers Group
The group agreed to drop proposed Standard S6J on ComDustibie Sol'd Supplies m Health Care Facilities due to repetition/duplicat on of existing stand
ards. The group submitted data 'elat've to a ban on plastic re'use container r. Baytown, Texas
Microwave Oven Cookware Group
An ad-hoc committee for several years, this group becamean offic ai SPI operating unit
The group published a oookiet enti tled "Recommendations for Labelling and.Glossary--P'astics Cookware lor Microwave Ovens for distribution by manufacturers and material suppliers
The first o< the formal educational programs to be included as part of the group's activities was a talk by Rose flennekamp, product manager for Radarange Microwave Ovens.
After two years of preliminary devel opment activities by SPI, the American Society for Testing and Materials formed a Task Force to undertake the promulgation of microwave oven cook ware standards with initial emphasis on plastics ware.
A Marketing Committee was set up to
promote me groups prccucts Liaison was estab'Shec wth the international Microwave Power institute and the S*ngie Service institute, ana this liason will continue to be maintained
Plastics in Construction Council
Activ ty on behalf of the plastics in dustry m regard to specific regulations and code standardization occupied a major portion of the council's activities.
The most active committee within the council was the insulation Committee. Working with the Urethane Division and the EPS D'vision. the council was in the process of updating both the Building Officials ana Cede Administrators' model code as well as the Southern Building Code with regard to a position that is consistent with other model code groups m addition, several states and maior city building departments were contacted concerning problems with the 'responsibie application" of foam plastics.
Plastics Drum Institute
Dialogue continued between mem bers of the institute and representatives of the Department of Transportation and the Occupational Safety and Health Administration concerning regu lations that impact on the 55-gallon con tainers.
A draft of the institute's technical bul letin on closures was distributed for comment. Work was conducted on a bulletin, "Recommendation for Precau tionary Labeling of Reusable Industrial Plastic Containers."
The membership agreed to partici
pate 'P fail moac* tests .vtn tee Assoc, at on cr American Ra iroaas
A Re-Use Committee was estab lished tc investigate ro-fd 'com 'estmg to evaluate the record'' cn.ng arc reusability of plastic d'ums "pe com mittee is presently obtammg oart.c ca tion commitments ,rom chemical com panies and reconditioners
Plastics Packaging Strategy Group
The financial support of this group was particularly fruitful this past year The Supreme Court decision from the state of Minnesota confirmed me unconstitu'ionaiity of that state s taw pre cluding the use of non'etumabie plastic milk bottles. The First Circuit Court in Hawaii determined the ^constitution ality of the proposed plastic beverage container ban Support was given to the Plastic Bottle Institutes petition to the Bureau of Alcohol. Tobacco and Fire arms to obtain approval for the packag ing of alcoholic beverages in poiyvmyi chloride.
Polystyrene Safety Group
The group received updates at its November 1979 and March 1960 meet ings on the Arthur D Little study con tracted by the Food and Drug Adminis tration. The study compares the extractions of monomers from crystal polystyrene by food simulating solvents to those of actual foods. Group mem bers provided input to Arthur D Little re garding its upcoming study of high-impact polystyrene.
The group planned further testing at Southwest Research institute to aug ment its previous living room test pro gram.
Vinyl Film Group
This group was reactivated during the year and met twice to consider fu ture programs. Group members agreed to undertake a quarterly statistical pro gram on end use applications for vinyl film and sheeting in areas such as auto motive, bags, construction, furniture and housewares, house furnishings, in dustrial and medical products.
A campaign to solicit new members got underway. The grouo is considering the sponsorship of a Vinyl Fum and Sheeting Conference in 1981
12
SPI-26832
Financial Statements
Balance Sheets
May 31,1980 and 1979
1980
Assets Current assets: Cash m checking accounts and on hand Savings deposits Short-term investments, at cost (which approximates market) Receivables:
Membership dues Other Less allowance for doubtful accounts
Net membership dues and other receivables Accrued interest Prepaid expenses and other current assets Deferred charges--1979 National Plastics Exposition
Total current assets Fixed Assets:
Furniture and equipment Leasehold improvements
Less accumulated depreciation ana amortization
Deferred charges--1982 National Plastics Exposition Other assets
Total Assets
$ 7,266 21,427
4,495,283
886 40,777 (1,386)
40,277 141,699
23,061 --
4,729,013
220,113 106,873
326,986 (113,811)
213,175 r 121,846
24,327
S5,088,361
1979
59,408 20,010 4,895,318
15.080 13,724 (10,711) 18,093 115,984 16,527 1,145.164 6,270,504
192,261 73.322
265,583 (84,516) 181.067
--
18.210 $6,469,781
Liabilities and Fund Balances Current liabilities:
Cash overdraft Accounts payable and accrued expenses Unearned membership dues Deferred revenue--1979 National Plastics Exposition
Total current liabilities
Fund balances: General fund: Unappropriated Appropriated (note 6)
Special proiects funds
Total fund balances
Total liabilities and fund balances
See accompanying notes to t nanciai statements
$ 220,896 616,292 65,646
902,834
269,547 2,656,616 2,926,363 1,259,164 4,185,527 $5,088,361
$ 95,006 568,627 33,624
2.318,540 3,015,797
278,547 1,782,022 2,060.569 1,393,415 3,453,984 6,469,781
SPI-26833
Statements of Revenues and Expenses
Years ended May 31,1980 and 1979
Reveres Vieroersn'c at.es :nterest Sales of iitera*.ore Special prefects Other
Expenses. Direct Vempersnip serv>ces: Legal ana consulting Communications (public relations) Administrative Membersh'p promotion Qirectory Special projects--researen, development, legislative and public relations Service operating units Divisions and groups Regional offices Public affairs committee Chemical Industry Trade Advisor indirect program, administrative and general: Salaries and employee benefits Office supplies and expenses Rent Auditing ana computer services Provision for depreciation and amortization Provision for doubtful accounts Other
Less allocation of administrative expenses to National Expositions
Excess of revenues over direct and indirect expenses
Product liability expenses 1979 National Plastics Exposition revenues, net of
related expenses of $1.980,103 Wr te-off of special proiect deficit balances:
Accounting manual project Plastics Hall of Fame
Excess of revenues over expenses
See accompanying notes to financial statements.
14
1980
54,399,298 635,889 73,277
3,480,987 34,653
8,624,104
1979
$4,145,888 402 581 83.924
3 039.534 38.884
7.7'0.81 1
650,745 121,217 201,638
54,013 22,077
3,480,987 186,988 135,156 220,511
1,198,529 2,000
1,688,921 356,056 150,635 64,483 32,576 (26,845) 45,770
8,585,457
230,900
8,354,557
269,547 --
674,470
(50,445) (27,778) S 865,794
561,501 96,1 16 141.320 33.098 24.206
3.039.534 1 71,055. 80.475 155,474
1.428.905 2.000
1,429,441 299,784 123,261 60,220
27.442 5.194 3,238
7,682,264
250,000 7,432.264
278.547 (36,425)
--
-- -- $ 242,122
SPI-26834
Statements of Changes in Financial Position
Years ended May 31,1980 and 1979
Funds were provided by Excess of revenues over expenses Add (deduct) items re: 'eauir ng (providing) funds Depreciation arc amortization Gam on trade-in of fixed assets Punas provided by operations Decrease in non-current deferred charges Increase in special project *unds balances Total funds provded
Funds were used for: Pu rchase of fixed assets increase in non-current deferred charges Decrease in special project `unds balances increase m other assets Decrease in non-current deferred revenues Total funds used Increase in working capital
Analysis of changes in working capital: Increase (decrease) in current assets: Cash Savings deposits Short-term investments Net membership dues and other receivables Accrued interest Prepaid expenses and other current assets Deferred charges--1979 National Plastics Exposition
Decrease (increase) in current liabilities: Cash overdraft Accounts payable and accrued expenses Unearned membership dues Deferred revenue--1979 National Plastics Exposition
increase in working capital
See accompanying notes to financial statements.
1980
1979
$ 865,794
32,576
898,370
--
-- 896,370
64,684 121,846 134,251
6,117 --
326,896 $ 571,472
$ 242.122
27.442 (120)
269.444 310.018 219.885 799 34 7
34 967
-- --
7 645 73,845 116.457 $ 682,890
(52,142) 1,417
(400,035) 22,184 25,715 6,534
(1,145,164)
(1,541,491)
(125,890) (47,665) (32,022)
2,318,540
2,112,963
$ 571,472
52,975 '.214
1,842,045 (3,842) 57,105 11,059
1,145,164
3,105,720
(47.064) (80.756) 23.530 (2,318,540)
(2,422,830)
$ 682,890
SPI-26835
Statements of Changes in Fund Balances
Years ended May 31,1980 and 1979
Balances at begmn'ng of year Excess of revenues over expenses Special projects tunas additions:
Assessments Meetings and conferences Sales of literature Contributions in support of
special programs Budgeted general fund appropriations Other Special projects funds transferred to general fund revenues and expended Appropriated funds expended Write-off of special project deficit balances: Accounting manual project Plastics Hall of Fame
Balances at end of year
See accompanying notes to finanacial statements.
1980
General
Special projects
funds
funds
$2,060,569 865,794
$1,393,415
_
-- 2,123,769 -- 888,381 -- 131,299
-- 41,500 -- 95,587 -- 1,413
-- (3,480,987) -- (13,436)
-- --
$2,926,363
50,445 27,778
$1,259,164
1979
General
Special prefects
funds
funds
$1 .818,447 242.122
$1,173,530
__ 2.039,898 _ 812.723 _ 109,286
-- 60,846 -- 300.000 -- 4.888
-- (3.039,534) -- (68,222)
--
-- $2,060,569
--
-- $1,393,415
Notes to Financial Statements
May 31,1980 and 1979
(1) Summary of Significant Accounting Policies
The accompanying financial statements have been prepared on the accrual basis of accounting and in clude all material accounts receivable and payable, other liabilities and deferred charges,
The special projects funds represent receipts from certain members of the Society participating in se lected industry projects and certain budgeted general fund appropriations. Such funds may only be utilized in accordance with the purposes established by the par ticipants and are in contrast with general funds, over which the Board retains full control to use in achieving any of the Society's purposes. Special projects funds are reported as revenues and expenses when utilized for their intended purposes, except that the budgeted general fund appropriations are expensed when ap propriated.
Fixed assets are stated at cost, less accumulated de preciation and amortization, which are being provided for over the estimated useful lives of such assets on a straight-line basis.
Other significant accounting policies are set forth m the financial statements and the following notes.
16
(2) Retirement Plan
The Society has a non-contributory trusteed retirement plan for all employees who meet age and length-ofservice requirements. Costs of the plan are funded cur rently, and for 1980 and 1979 aggregated $96,022 and $70,470, respectively. Unfunded past service costs amounted to $95,907 at June 1.1979, the most recent plan valuation date. Such costs are being amortized over a ten-year period. At June 1, 1979, the assets of the fund exceeded the present value of the partici pants' vested benefits.
(3) Products Research Committee Funds
Effective December 3, 1974, the Society executed a consent order with the Federal Trade Commission which required, among other things, the establishment of a Products Research Committee for the purpose of conducting research into the uses and hazards of cel lular plastics products. The Society is custodian of the Committee's funds and. at May 31, 1980, held $318,875 ($621.795 in 1979) in checking and savings accounts for use by the Committee. Such funds are not included in the accompanying financial statements
SPI-26836
T) lii
(4) Contingent Liabilities
" i` ac'. ^ed mat ! w be as .;:cemr'..:arr n ?gv$r3, lawsuits '-ese
-'""rs n `^e "at-'e c croC jc; 1 aci 'ty suits 'e anng ',rnariy :o r"e scmo^stioii-ty of `oam plastics seek .cge-e-s mr 5utsra"t'ai damages Counsel >s of the oomipn `"'at '~e ':<e nooo of umavcrabie outcom.es s remcte
(5) Commitments
~ne Society s ease commitments `or off ce spaces are as follows
Year
ending
May 31 i 9g i
Commitment $229,944
962
224 268
'983
224 268
'984
222 306
'985
196 395
'986
3 751
~*se amc.m's
eas-r
5;; ; r*e:-
uti-,9 o'f'ce soaces a* an aa -c-.-a
.u-g
charges for elec:- c c S' ~2 673 cer ,ear ~-e ease
expires n '985
Certain leases a^e sutiec' to esca'atcm p-ovismns
based or real estate taxes ana o^id r.g maintenance
costs
(6) Appropriated General Fund Balances
Appropriated general fund balances consist of Direc tors' Special Reserve funds for
Capital improvements Other
1980 $ 8 074
2 548.742
52.656.316
1979 $ 7 196
1.774 826
51 732 022
Auditors' Report
PI Pfcat, Marwic^Mitchell&Ca
Certified Public Accountants
345 Park Avenue New York, New York 10154
The Board of Directors The Society of the Plastics industry, Inc.:
We have examined the balance sheets of The Society of the Plastics Industry. Inc. as of May 31.1980 and 1979 and the related statements of revenues and expenses, changes in fund balances, and changes in financial position for the years then ended. Our examinations were made in accordance with gen erally accepted auditing standards, and accordingly included such tests of the accounting records and such otner auditing procedures as we consid ered necessary in the circumstances.
in our opinion, the aforementioned financial statements present fairly the financial position of The Society of the Plastics Industry, Inc. at May 31. 1980 and 1979 and the results of its operations for the years then ended, in confomty with generally accepted accounting principles applied on a consistent
July 21, 1980
SPI-26837
17
Officers and Directors 1980-1981
OFFICERS
IVAR A. LUNOGAARO E I du Pont de Nemours & Co . inc Wilmington. Delaware CHAIRMAN
JAMES S. HEARONS Owens Corning Fiberglas Corp Toiedo. Ohio VICE CHAIRMAN
SECTION DIRECTORS
RICHARO A. BRAOBURY
PMS Consolidated Gardena. California SECRETARY
WILLIAM F. MERICLE Cincinnati Milacron. Inc Cincinnati, Ohio TREASURER
IVERJ. FREEMAN Package Machinery Co East Longmeadow. Massachusetts iMMEOIATE PAST CHAIRMAN
ROBERT R. COOK Plastic industries, me. Athens, Tennessee eastern SECTION
DIVISION CHAIRMEN
\>
HUGH W. SILBERMAN Automatic Molded plastics. Inc South Bend, Indiana MIDWEST SECTION
GARY L. GAHAGEN Package Machinery Co. East Longmeadow. Massachusetts NEW ENGLAND SECTION
FRANK C. OeVORE Tri-Plas, Inc.
La Palma, California WESTERN SECTION
HERBERT LSP1VACK Metachem Resins Corp. West Warwick, Rhode Island EPOXY RESIN FORMULATORS
LUTHER I. OICKENS Radva Plastics Corp. Radford, Virginia
EXPANDED POLYSTYRENE
DAVID E. NEWMAN Gariock, inc Camden. New Jersey
FuUOROPOLYMERS
CLAYTON T. LYONS Master Containers. Inc Mulberry, Florida FOAM CUP & CONTAINER
RAYMOND A. GIORNELU Shell Chemical Co. Atlanta. Georgia FURNITURE
18
JACK G. FULLER. JR. Polymer Machinery Corp Berlin. Connecticut MACHINERY
- it*
ARTHUR DASHUT Oeiuxe Die Mold, inc Elmhurst. Illinois MOLDMAKERS
LEONAROW. GOLDEN Colgate Plastics Corp Buffalo, New York MOLDERS
SPI-26838
Sa'avia. Oho
NATiCNAL PLASTiCS
tX^OS'TiON
JOHN J. RIZZO PMC Coro Princeton. New Jersey
ORGANIC PEROXIDE PRODUCERS SAFETY
H. RANDALL LITTEN Cwens-Uimois. me Toledo. Ohio
PLASTIC BEVERAGE CONTAINER
FRANK M. HARRIS Aim Packaging ire Pod C mton. Oh'0
plastic bottle institute
IVAN K. OeSLIEU l <3u ont oe Nemours
SCo 'nc Wilmington. Delaware
plastics pipe institute
ROBERT W. MILLER He'cuies. inc Middletown Delaware RIGID PLASTIC CONTAINER
WILLIAM W. ROWLEY Mercury Plastics, inc Middietieid. Ohio PROFILE EXTRUDERS
f >,
GERALD J. WEIS Impact Extrusions, inc Grand Prairie, Texas SHEET PRODUCERS
management
EDWARD F. McMAHON Shell Chemical Co. Houston. Texas
POLYMERIC MATERIALS PRODUCERS
JAMES H. DAVIS Ashland Oil. inc Ashland. Kentucky REINFORCED PLASTICS/ COMPOSITES INSTITUTE
CIRO L. PETRUCELU Hanson Pattern & Mold Corp Lud'ow. Massachusetts STRUCTURAL FOAM
Ik
ALFRED CIANCIOLO Qiin Corp New Haven. Connecticut URETHANE
SAMUEL F. RUTLANO Rutland Plastics, inc. Charlotte. North Carolina VINYL FORMULATORS
DIRECTORS AT LARGE
JAMES W. JACKSON Bird & Son, Inc. East Walpole, Massachusetts VINYL SIDING INSTITUTE
Term expires May 31,1981
JOSEPH E. 0IAFORE Rubbermaid. Inc Wooster. Ohio
T.E SRANSCUM
Gott Core Winfield. Kansas
JOHN E. PEPPERCORN Gulf Oil Chemical Co. Houston. Texas
RICHARD ROSSI Binks Manufacturing Co South San Francisco. California
SPl-26839
19
JOHN H. SCHROEDER Crescent Plastics. ;nc Evansville Indiana
Term expires May 3 ' ' 982
JACK L. SHAFER Borg-Warrer Chemicals Par-<ersourg West Virginia
BYRON J. ANDERSON Northern Petrochemical
Omaha. Nebraska
JOSEPH L. DOWNEY Dow Chemical USA Midlana. Michigan
:
CONSTANZE FUNOT Battenfeld Corp. ot America Skokie. Illinois
WILLIAM J. GRAHAM Owens-Illinois. Inc Toledo Ohio
JAMES N. QUINN The Budd Co Troy. Michigan
Term expires May 31 1983
RICHARD T.STUDER HPM Corp
Mt Gilead. Ohio
STEWAHT O. DANIELS Monsanto Plastics & Resins Co St Louis Mo
W. JOHN QALVIN Burton Tool & Oie Co Leominster, Massachusetts
WILLIAM H. GUTHRIE Phillips Chemical Co. Bartlesville. Oklahoma
J. MICHAEL MURRAY EPS Industries, me Wichita, Kansas
MERRILL R. ROTH G'ant & Roth Plastics, Inc Hillsboro, Oregon
20
PETER A. SIMON Shamrock Industries. Inc
Minneapolis, Minnesota
SPI-26840
Staff
THOMAS J. McGRATH GENERAL MANAGER Staff Director
P'asic Packaging Strategy Group Pcvmenc Materials Producers D>v CHRISTINE BENTON Administrative Assistant to :ne President Secretary to the Board JULIETTE LANGCAHN Staff Director ' Appliance Council Committee on Transportation
and Distribution Furniture Divison Housewares Manufacturers Group Mic'owave Oven Cookware Group Polystyrene Safety Group Profne Extruders Division Viny Sicmg institute JEROME P. CARROLL C rector Of Safety Staff D rector Committee on Occupational Safety and
Heaitn (PAC) Coordinating Committee on Consumer
Safety (PAC) Organic Peroxide Producers Safety
D-v sion Products Liability Committee (PAC) PVC Meal Wrap Ad-Hoc Committee Vinyi Film Group V.ny1 Formulators Division Radio Freauency Heating Committee WILLIAM A. DIRZULAIT1S Di'ector ot Administrative Services Staff Director Machinery Division National Plastics Exposition ALBERT J. EVANS Director of Statistics Staff Director Committee on Resin Statistics Financial Management Committee international Committee LEWIS R. FREEMAN. JR. Director ol Federal Government Relations
AILEEN GORSCHMAN
Rc'3' CrS
JOHN GRAHAM
Roiat cms
HOWARD KIBBEL Vianet ng ,-y
STEPHAN E. KLAMKE Executive Directc
Piastres P'De n3;.:_,;e Manager
Plastics m Co"S-foCf cr Ccu"c
JOHN R. LAWRENCE
Technical Director
Staff Director Technical Com-- ;;ee ;PACt PVC Safety GrouO
FRAN WALKER LlCHTENBERG Assistant Tscnr'ca' D -ectcr Staff D 'ec:or
Tcxicoiogy Co-"-" fee 'PAC;
s.Joseph McDermott
Manager Reinforced 3lastics Composites institute
ROBERT MALLfA Controller
JOHN MALLOY Director of Packaging Sendees Staff Director
Foam Cup & Container Division Food. Drug & Cosmetic Packaging
Material Committee P'astic Beverage Container Division Ptastic Botue institute Rigid Plastic Container Divisor
MAUREEN MIGDALEN Staff Director
Fluoropolymers Division Plastics Drum institute Sheet Producers Management Division Structural Foam Division
TERRI R. MILLER Administrative Assistant to me
General Manager
STAN MRUK Technical Director
Plastics Pipe institute
E.S. NUSPLIGER Governmental Affairs Director Staff Director
Public Affairs Committee State Governmental Affairs Committee
CATHERINE A. RANDAZZO Assistant Manager
Reinforced Piast cs/Composites Institute
RAFAEL RIVERA Production Supervisor
MEREDITH SCHECK Federal Government Relations Representative
AMY STRAVITZ Office Manager
HUGH PATRICK TONER
3 . Sion
. -e-s G'oup ;pac: Pc "*cc El cnic'oryCfr Committee
=PC, = 30*'. Res n FormulatO'S C-'J S OP -o-'-oc 3E~ Safety Ccmm r.ee (PAC)
JOHN WEIGLY
Mempershio 0'iec'o'
Eastern Section
`63 Union Boulevard 'D'cwa. New Je'sey 075'2 20' 790-'3'0
RICHARD FROCK Manager Eastern Sect-on
Midwest Section
3 50 Des Flames Avenue Des Paines :'irois6QQf3 3` 2 297-6150
ROBERT W. SHERMAN Manage' Midwest Section Stafl D'rectcr
M.cwest Section Moicmakers Divs.on Moders Division
MARGARET SHALLCROSS Ass stant Midwest Manager Sraff Director
Exoanced Polystyrene Qivs-.cn
New England Section 20Soeen3t Frammgham Exec Office Pk Framingham Massachusetts 01 701 617 879-3412
PATRICIA BROOKS Manager New England Section
Western Section Saddleback Sduare Suite f24 . 12440 Firestone Boulevard Norwalk. California906S0 213/864-2793
HERB OSBORNE Manager. Western Section
ALTON DREW Assistant Western Manager
Legal Counsel KELLER & HECKMAN H50 17th Street. N W Washington D C 20036 202 457-1100
JEROME H. HECKMAN ;SPI General Counsel)
ROBERT R. T1ERNAN WAYNE V. BLACK MARTIN W. BERCOVICI JOHN S. ELDRED JOHN B. DUBECK CHRISTINE A. MEAGHER LAWRENCE P. HALPRIN OEBORAH S TRINKER HOWARD L. KORWEK
DR. DANIEL S. OIXLER (Technical Consultant)
SPI-26841
Plastics
The Society of the Plastics Industry, Inc.
355 Lexington Avenue, New York, New York 10017 (212) 573-9400
EASTERN SECTION 169 Union Blvd. Totowa, New Jersey 07512 (201)790-1870
NEW ENGLAND SECTION 20 Speen St., Framingham Exec. Office Pk. Framingham, Massachusetts 01701 (617)879-3412
MIDWESTERN SECTION 3150 Des Plaines Avenue Des Plaines. Illinois 60018 (312)297-6150
WESTERN SECTION Saddleback Square, Suite 124 12440 Firestone Boulevard Norwalk, California 90650 (213)864-2793
WASHINGTON, D.C. OFFICE 1724 H Street. N.W Washington, D.C 20006 (202)298-7200
SPI-26842