Document xzNB1Q58QRrBzNrOzbm8Gnp76

MR. R. K. JOHNSON Ml. J. ( February 7, 1973 . r. boffma* /VI' WK>riTAIHTT Of VIEW- entnUTag WOBCWB Aa analysis *f tha rslatirs profit par pound of vinyl chloride neneeier used for eaeh type of rosin has resulted in the following suggestions for production cuthacks, should it hcconc necessary to Unit output das to a nououo Seduction of general purpose FTC and oopolyMr meins at Fottstcwn will haws the least adworse effect on profits* t edllion pannds per oeath to reclaia the rosyclod nononer* A brief suaseary of the factors leading to this con clusion Is as followst 1. Approvinoto Marginal profit (selling price artnua products to dotcmlna eh I ah products were the nest likely candidates for outback. solution ysis i 3 of AB/TC precludes this preduct t. Iks approwins to Marginal profit rates an fcattstewn ifC, aopclyMcr end Betryugllc FIC were of tin sane nagaitudo (within one eeart per pound)t therefore, we Inwesti gated the potential answer slant, cost reductions ^hieh could he effected hy cessatlan of eaeh type 5* Perrywillda four crew/three shift operating hens affords little psssihility far east redactions, fhe hast way to eat heck pro Austion at this plant is to lay off cue shift, thin roonlts in a preheatIsa leas of ahaut flwe nillloe paends which is nsra than the desired lowel* To held the leas at lass than flwe nil lien pounds would neeoscltats throe crow ewsrtino operation. OCC 017294 t. Ilatf Fottaton tpcratta * thr arow ovartiM kula, thay Mia limit pn4oatlM ty tutting down a. A ntkaak f J.J tillii yw4a por month can bo affamtod by mhutting dawn Building X ami tha wipMiM raaii nmatarm in Building XX owor tha warnhranda. Thia will hti about 11,400 in labor and M.OOO in utllitlaa. b. A autbodk of 1.0 uillian pound* par nontb an bo offootod by abutting down only Building X. Thia will rodnoo lobar by *6,500 and utllittea by W.J00. ).5 nillion oath would probably bo aooonpliahod by a ganaral olowdoun. Thia will not raduao ooata. (It.la aloo poaolblo that with linitod wookond oporationa, woabday production afflalonay will Thia aould moult in drapa graatar ) aahadulo la gar ninth in B90 aan ha affoatad by rodoming Building X nativity 'on laturdaya and Sundaya. Tha bo any ratio of ganaral purpoaa BTC preferably BTC* 4B5 to M Bail ting I lynar ia of PTC ia oan bo offootod by XX thawa M by aoat ia aa fbllowat a* PTC b. at laaat B 4. .)