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Present; Copies To; A. *<'. Steudel Ii. J. Hain F. E. Davis E. E. Ware N. E. Van Stone V. Mills S. B. Coolidge F. A. Stanton O. Ii. Griffiths J. S. Prescott E. C. Baldwin G. A. Martin H. D. Whittlesey L. W. Wolcott K. H. Wood C. A. Campbell Z. E. Martin W. K. Stuart D. A. Kohr V/. A. Gorrell ?. C. grigsby D. A. Whittaker L. C. deMerrall F. Allen 3954 - REPORT ON FACTORY OPERATIONS; Orders for heavy liquids amounted to 179,000 gallons as compared with production l of 155,000 gallons. Shipments of 199,000- gallons brought stocks below the corres ponding week last year and also below last August 31st. Plants continued to operate on a forty hour week. Sales for the week were ahead of last year and showed gains in all captions except Opcx jobber and P.C. & C. sales. 8955 - REPORT ON NUMBER OF HOURS PLANTS HAVE OPERATED; Chicago P&V - Newark P&V - Cleveland P&V - Oakland P&V - Los Angeles P&V - Dallas P&V -- Chicago Lacquer - Dry Color - Flushed Color - Acme - Lowe Brothers Company - Lucas - iviartin-Sonour Company - Chicago. White Lead - Lithopone - Tin Can -- Coffcyvilic Lithopone - Leaded Zinc - Cleveland Linseed Oil - Castor Oil - Operated at 40 hour week 44tt it II II 4011 ii 11 11 4011 it 11 1) 4011 it tt 11 4211 it It 1! 40It ri 11 1! 11 n 40 11 11 11 M 40 It 11 4411 11 It 11 4011 11 11 tt 4011 11 It 11 4011 11 II 11 II 11 75? capacity it H 0? tt ii M 80% n 11 100? 11 II ii It 66? 11 ii II 100? ii 11 100? 11 n N 231 0007-SWP-000022110 -2- 8956 - PANEL SETS FOR RETAIL STORES: Mr. Stanoon reported that the billing price to retail stores of display panels has been $176.00 as compared with cost of $158.00. The entire cost of the panels is charged to expense. A chango will be made in the billing price so that stores are billed at cost. 8957 - DEHYDRATED CASTOR OIL: The Board decided that further commitments would be made on ran castor oilonly for what we will actually need before the end of the fiscal year. Ur. Bain advised the Board that on the basis of the present market price for beans that the net cost of raw castor for the crushers should be in the neighborhood of 7 a pound although market prices arc currently somewhat higher. In view of the fact that the price to the trade was lowored only about 10days ago, it was decided that no furthor change would bo made at present. Dr. Van Stone pointed out that in order to promote additional sales we need to do a technical sales job to show customers how the best results can be obtained. Hr. Coolidge will have typical formulations worked out which can be given to the trade with promise of additional technical help if it is needed. Mr. Steudol pointed out that wo want to be assured of a sales volume sufficient to keep the plant operating at capacity. Mr. Hain was asked to have the oil mill oxperiment with adding noofat to Dehydrol to see whether the resulting oil is any more satisfactory than when the ncofat is added to Dehydrol in the paint plants. 8958 - RETAIL STORE SHELVING: Mr. Davis advised the Board that by placing an order for an additional ten sots of store fixtures a further price reduction of $100 a set would be granted. The Board requested that he place an order for another five sets if the same reduc tion in price could be obtained. 8959 - WHITE LEAD POTS: Mr. Davis reported that we have four carloads of white lead pots on order for which wo will have no need due to discontinuing the Old Dutch process. In order to avoid writing off the total amount of approximately $1100.00, Mr. Coolidge was requested to make further efforts to see whether they can be sold even though at a substantially lower price. Mr. Stanton will work up complete figures on the write-off that will be necessary on pots, tan bark, etc. 8960 - MOVING COSTS--NORTH CENTRAL; Hr. Davis submitted a requisition covering the partial cost of moving North Central District from Canal Road. The total cost will be in the neighborhood of $25,000. 0007-SWP-000022111 -5- 8961 - TITANIUM DIOXIDE: Ur. Davis pointed out that the number of grades of titanium in use at all plants has increased to somewhere between ten ana fifteen. Mr. Mills explained that part of the reason for this is the fact that vro arc buying from several suppliers. However, he will see what can be done to reduce the number of kinds carried in stock. 3962 - RETAIL BRANCH--MATTOON. ILLINOIS: It was reported that a lease has been signed for a retail location in Mattoon, Illinois. Estimate for the cost of installation is $2800.00. 8965 - REPORT ON PLANT ALT r. .Uf.:' 'ZZTJ'-a a Mr. Stoudcl asked Mr. Stanton to report periodically on plant additions and ex pense. .8964 - OFF-STANDARD (44): Dr. Van Stone advised the Board that shipment of off-standard (44) to Havana has made it necessary to keep Mr. Ferree there longer than would otherwise bo necessary. 8965 - HICKS PATENT: Dr. Van Stone reported that in view of the decided change of the automotive in dustry from lacquer to synthetics and in view of the demand for metallic fin ishes comparable to the lacquer metallics, wo can probably work out a licensing arrangement under the Hicks patent comparable to the lacquer license under the duPont patent. Such an arrangement would yield us substantial royalties and would also .stabilize prices. 8966 - P.C. & C. TECHNICAL SERVICE---CHICAGO: Dr. Van Stone reported that the P.C. & C. Technical Service Department at Chicago is beginning to bring results. On his next trip to Chicago he will decide on the best place for it to be permanently located. 8367 - PLANNING DEPARTMENT: The Board decided that oxpensos of the planning department would be charged to a job order but that service should be absorbed in the other departments. 8968 - COLOR METER SUIT: Professor Ware reported that there is some evidence to show that the Grubclic Color Motor device was inspected before our own color meter was invented. Dr. Van Stone will have the Chicago files soarchcd to establish the earliest date at which we were working on the color meter idea. Mr. Stoudcl pointed out that a release should always be obtained before looking at an invention which is not covered by patent. 8969 - LITHOGRAPHED PACKAGES: Mr. Hain reported to the Board on the comparative cost of plain and lithographed cans. 0007-SWP-000022112 -4- Mr. Mills was requested to figure the cost of labels and labeling to sec whether the cost of the can plus label and labeling cost is as high as the cost of a lithographed can. It was suggested that if the two costs are nearly the same, lithographed cans v/i bo used for packaged linseed oil. 8970 -.NEW STORES: Mr. Stmudel advised the Board that dealers at Long Beach, California, and Middletown, Ohio, have been taken over as retail branches and that negotiations arc under way for taking over several more dealers. 8971 -^POSTAGE METERS; Mr. Stiudcl suggested that we night make a saving by using postage meters, Davis vail check comparative costs. Mr. 8972 - OBSOLETE OR ONUSED EQUIPMENT; Mr. Prescott advised the Board that ho has a record of all obsolete and unused equipment. This list is checked when requisitions for new equipment are presente It was decided that all such equipment should be entirely written off. Mr. Mitchell also has a record of it and is trying to dispose of as much of it as possible. 8973 - RETURNED GOODS; Supplementing item 8932, it was reported that only partial credit was given on the very old returned goods and that as a result of the credit givon, a now dcale; was established. 8974 - INVENTORY OF S-W MATERIALS AT GIBBSBORO: Mr. Griffiths reported that of the $44,000 inventory of S-W goods at Gibbsboro, $17,000 is dry colors, $14,000 lacquer, and $15,000 paint. Both paint and total inventory is loss, than at the same time a year ago. Dr. Van Stone was requested to see that the stock of dry colors is reduced as far as possible before the end of the year. 8975 - COLOR METER--NEWARK PLANT: Mr. Griffiths was asked to have a record kept of the extent to which the Color Motor to bo installod at the Newark factory is used. 8976 - TAX RATE-CANAL ROAD; Mr. Davis suggested that since offices have been moved from Canal Road, it may be possible to get a reduction in the tax rate. Mr. Baldwin will consult with Messrs. Reese and Hague. 8977 ~ TV?C-GALLON CARTONS; Mr. Davis reported that if we used a two-gallon instead of a four-gallon carton, it would cost an extra $50,000 a year. 0007-SWP-000022113  9j -58978 - JACKSONVILLE WAREHOUSE LEASE: Mr. Griffiths advised the Board that negotiations are under way for a new lease at Jacksonville which will give-us a lower rental and will be on a two year basis with a three year option. 8979 - PRODUCTION COSTS; Mr. Steudel advised the Board that costs of oil paints this year are approximately 2 a gallon tinder last year and that average cost of all paints and varnishes is .7(i under last year. Cost of trade sales products is slightly higher than last year. 8980 - COST OF OPERATING COMPANY-OWNED TRUCKS: A report from Mr. Sanford showed that our trucking cost with contract carriers . between Cloveland and Chicago are actually lower than cost would be if wc operated our own trucks, and that between St. Louis and Kansas City the contract carriers are enough lower than the common carrier rate to make the difference of a saving of $1100.00 each month. Further chock will bo made on cost of Company-owned trucks and cost of operating the Cook Paint and Varnish Company trucks between St. Louis and Kansas City. 8981 - PUBLIC BID; Since September 1, 1939 , 2034 invitations to bid have been received. A total of 1709 amounting to $4,364,224 have been placed and of this total we have received awards on 215 amounting to $554,760.00. 0007-SWP-000022114 -6- 8951 - FACTORY OPERATIONS, week ending July 2, 1940 HEAVY LIQUIDS - S-W PLANTS Total ordors received - 178,950 Total production - 154,930 Total factory stocks - 738,607 Inventory Dec. - 37,435 CHICAGO - Orders reed. 82,376 Production 77,260 Stocks 314,692 gals. NEWARK - Orders reed. 41,534 Production 29,106 Stocks 186,246 gals. CLEVELAND - Orders reed, 34,063 Production 29,522 Stocks 163,747 gals. OAKLAND - Orders reed. 20,977 Production 19,042 Stocks 73,922 gals. TOTAL PLANT OUTPUT CHICAGO P&V - 117,903 gals.> NEWARK P&V - 52,034 CLEVELAND P&V - 54,418 " OAKLAND P&V - 23,666 LOS ANGELES P&V - 13,700 " DALLAS P&V - 15,820 u CHICAGO LACQUER DRY COLOR - FLUSHED COLOR- CHEM. PRODUCTS 37,458 " 140.999 Lbs. 45,489 " Operated at 90% It If 50% U It 78% ft ff 136% ff ff 60% t! H 116% ft fl 100% tt II 79% M 11 86% II ff 66% BOUND BROOK INSECTICIDES - Lead Arsenate Arsenic Acid Calcium Arsenate Paris Green 180 tons 128 " 76 30 OAKLAND INSECTICIDES -- 3-8 Hr. Shifts - 7 days. Zinc Arsenite C PQ 14 ton: 10 3-8 Hr.i Shifts - 7 days ACME - Produced 75,106 gals. Paint Dept, operated at 46%, Enamel St Lacquer at 33%, and Varnish & Thinner at 19%. LOWE BROTHERS COMPANY - Manufactured 38,595 gals, with Paint Depts. operating at 65%, Enamel Dept, at 65%, and Varnish Dept, at 36%. LUCAS - Manufactured 42,408 gals.- Operated at 75%. MART1N-SEN0UR COMPANY - Manufactured 17,704 gals. Paint Dept, operated at 62%. 0007-SWP-000022115 -7- 7-8-40 #8952 PLANT REQUISITIONS APPROVED: RETAIL STORES: #1.469.,- Danville 2-2^ gal. foam extinguishers 17.00 #1495 - Salem. Mass. 1 Kanev wallpaper trimmer 68.00 CHICAGO FACTORY #457 Extend crude turpentine line - C.P. 60.82 #474 #476 Install new power circuit - Allied Lab. Oscillating fan - P&V 1,666.65 27.00 #478 15-40 gal. color meters - Bales 1,774.86 #430 Fahralloy liners for red lead or litharga pan - Red Lead 1,064.10 CLEVELAND ADMIN.OFFICES: #1505 Furniture,.floors and moving of North Central, General Retail Stores and Statistical Departments to 18th floor of Builders Exchange Bldg. 21,733.75 CLEVELAND FACTORY: # 3314 Move tandem mill to Bg. #11-3, reinforce floors, enlarge present line shaft, water lines, extend nixer gate handles, and move 7-21" mills 952.87 #3315 Purchase 1-3 roll Lehmann mill, move and install 6 - 500 gal. thinning tanks and 2 - 1,000 gal. thinning tanks 9,612.12 #3318 Install 10 - 48" thinning tanks. Remove 6 36" thinning tanks and install 4 - 48" tanks 1,697.50 #3319 Purchase and install 1 - 600 gal. corner tank - "M" 800.00 CLEVELAND LIHfflEED OIL MILL #774 Overrun on new 60,000 gal. refined oil storage tank 250.00 LOS ANGELES FACTORY #120 2 floor trucks and 2 hand trucks 120.00 NEWARK FACTORY #644 Purchase and installation of 1 color meter -senior 253*50 TOTiiL PLANT REQUISITIONS APPROVED----------------------------------- $ 40,098.17 0007-SWP-000022116 -8- #8953 - LARGE EXPENSE REQUISITIONS APPROVED; CHICAGO FACTOR? #458 Replace plugged up process lines at pebble mills P&V 73.92 #481 Repairs to ploughs, gas burners, etc.-Red Lead 695.50 CLEVELAND FACTORY #3317 Move Lehmann 5-roller mill to Bg. #11-3, move 2 - 21" mills and 4 - 21" mills on east wall, reinforce floore, install water line, etc. 922.28 #3320 Remove 13 - 400 gal. thinning tanks, 7 mixers, etc. 625.60 #3321 Dismantle Day 5-roller mill and loading on cars 137.00 CLEVELAND LINSEED OIL MILL #772 Repair and paint marine elevator roof 1,842.00 #773 Repairs to varnish truck 154.00 NEWARK FACTORY #652 Repair roof on penthouse - Bg. #11 285.00 #653 Roto Strainer - "B" Dept. 32.50 TOTAL LARGE EXPENSE REQUISITIONS APPROVED ------------------------------- $ Total Plant Requisitions approved to date $ 1,018,001.02 Total Large Expense " " "" $ 180,171.65 4,767.80 Acme - Detroit IS 933 Replace magnetic switches, pressure governors and oil circuit breakers on (348) and (2) lines in Bg. #9-A EC 931 . Replace 6 leaky lock gate valves EC 1003 Paint wash room Bg. #2 ES 1027 Dismantle #1 roll mill - regrind rolls ES 1028 Replace worn out Gould pump EG 1060 1 G.E. thickness gage EC 1061 Install screen guards tinder conveyor LOWE BROS. - Davton --.' '3 (Chicago reqn.) 20 - 40 gal. Lowe Bros, color meters -- M.-.RTIN-SENQUR. - Chicago #313. 1940 Ford Std. Tudor Sedan, less trade-in 224.09 98.53 59*78 266.45 56.85 135.00 60.00 2,609-83 250.00 0007-SWF -000022117