Document ykov0dyV3M1GogbYRbBM5BzDX

FILE NAME: WR Grace (WRG) DATE: November 3, 1969 DOC#: WRG088 DOCUMENT DESCRIPTION: 1969 Zonolite Division sales data  $> P, *t * ^ w vi?L'. ZONOLI TE DIVISION Kj V 5 * 5ST1 . to : Pete Hollis OATf: November 3 1969 PLAINTIFF'S EXHIBIT ua*t wnv ea m o m . jjja cintani CC: j. s. Titus Dear Pete suMJiCT: Monthly Situation Report October, 1969 IXHIJIT /: 1 i/o i Sales during the month of October were is general on an optimistic note. 3ag sales were .150,800 bags, an increase of 6% over last October's figurel Dollar sales were $272,000.**, an increase of 13% over last year's figure: We were able to meet our budgeted bag sales in October. Our dollar sales M were 7% over our budgeted goal. | Tabulated below is a comparison of our sales during the first ten months " of 1969 versus our budgeted goal for similar period: - PRODUCT ACTUAL SALES 10 Months 1969 BUDGETED SALES 10 Months 1969 DIFFERENCE ^ t i e Insulation .terete Aggregate Plaster Aggregate Masonry Fill Perlite Monokote TOTAL BAGS 286,600 239,900 33,600 201,000 84,200 116,700 1,035,700 263,200 254,500 27,000 202,500 116,400 88,500 1,027,700 23,400 (14,600) 6,600 (1,500) (32,200) 28,200 8,000 Glass Fiber Dyfoam Ventboard 5,527,000 2,997,000 1,705,000 7,748,000 2,576,700 1,455,000 (2,221,000) 420,300 250,000 TOTAL DOLLARS $ 2,092,000.** $ 2,009,000.** $ 83,000.* Attic Insulation sales in October were 55,600, a slight decrease from our attic sales of a year ago. There appears to be a great deal of promotional activity from the dealers as well as from our people. However, these effort have not resulted in increased sales of Attic Insulation. The weather in th Northeast has been very moderate which may account in some degree in the reduced volume in attic insulation sales. I am hopeful that as soon as the weather turns colder our sales volume in attic insulation will increase. Concrete Aggregate is moving very well. The weather in this case has been ' blessing to us. We were able to nearly double last October's concrete ,gregate sales figures. Concrete Aggregate sales in November axe starting off at a brisk pace. I am hopeful we can continue to pour during the greate portion of November. If so we will have the bulk of our roof decks poured prior to the start of the winter season. 102331 Z O N O L 1TE DIVISION 70 : ?etc H0 I 3 not* j CC Jim cintani J. S. Titus ba te* November 3# 1969 su bject Monthly Situation Report Cor. October 1969 Zt sure would be helpful to our overall concrete program if we could get related-set cement in this area. We should make every effort to try to make this a reality this winter. Glass Fiber sales are approximately 30% below last year's figures. I was hopeful that our combination truckloads of attic and glass fiber would help us reverse the downward trend. Our people went out and talked-up the combination concept to our distributors and dealers. The extended deliver; time because of the price increase in October and the strike at the JohnsManville plant in Penbyrn# New Jersey# has all but put us out of the glass fiber business. We cannot continually disappoint our dealers with promise: that have been unfulfilled because of problems with our supplier. At some point we must decide whether the potential profit on glass fiber justifies the aggravation we are causing to our dealers. Z wonder if the time is nc. right to seriously consider another glass supplier. Monokote sales are progressing very well. Our sales through October were 116#000 bags. This is the largest volume we have ever sold in the Norcheai Our sales for the entire year should be approximately 130#000 bags# or an increase of 67% over last year's totals. We have been promised the Monokote order on the Philadelphia Electric job (23#000 bags). The Venzie Corporation has been given a contract on anothe: large fireproofing job in Philadelphia. The job in Girard Trust Building (35#000 bags). Venzie has promised us the Monokote for special areas such as mechanical rooms and elevator shafts. The Monokote in these special axe could amount to 5#000 bags. However# we have not given up hope on trying t get the entire order. . The City of Philadelphia is very conscious of harmful effects of asbestos. Zf we could assure the City of Philadelphia we had removed the asbestos frc our Monokote we would be in an excellent position to capture all' the fire proofing not only in Philadelphia# but also in New York City as well. The fiber manufacturers are working hard on project to remove asbestos from their product. U. S. Mineral Wool has advised the architectural firm of Skidmore# Owens# Merrill that they will have an asbestos-free product withi six months. We could really make some points if we were able to reduce thi timetable. A new fireproofing product has hit the Northeast. Zt is Fire Bar. A produ produced by Universal Fire Bar Inc.# Arlington, Virginia. The product is a blend of rock wool# asbestos# magnesium silicate and pre-generated cement. The claim is that material can be applied in sub freezing temperatures. Turner Construction# based on what they have seen# has decided to use Fire I t*z 102332 ZO NO LITE DIVISION ro: Pete Hollis fAQM: Jim Cintani CC: J. S. TitUS DATt: November 3, 1969 suutCT: Monthly Situation Report Con October 1969 Bar on the U. S. Steel Building in New York. McGlone Plastering, w h o has the Newark Airport job with Monokote, is considering the product because of the ability of the product to be placed in cold weather. My own personal opinion based on inspecting sample of the product is that they are making some very stron claims. However, Z feel we should have our people check out the product. Zf the product is as good aa man y peopl believe; we should consider the company as a possible acquisition. The operating profit for the Northeast for the first nine months was $106, This is an increase of $55,600 over our budgeted goal. Based o n our Octob sales the operating profit for October should continue at an accelerated level. Sales during November should be approximately 140,000 bags with dollar sales of $240,000. This.volume should enable us to exceed our budgeted goal of 114,000 bags and $186,600 dollars by a considerable margin. ' ` Sincerely, JC/jj Jim Cintani 102333 ZO NOLITE DIVISION TO: L. P. HOLLIS O M S JIM CINTAMI CC: J. S. TITUS DATE : DECEMBER 5, 1969 SUBJECT : MONTHLY SITUATION REPORT NOVEMBER, 1969 R PETE, SALES DURING THE MONTH OF NOVEMBER CONTINUE TO SHOW IMPROVEMENT ; SALES WERE 140,800 - AN INCREASE OF 6 OVER LAST YEAR'S TOTALS. HOWEVER J A R SALES WERE $238,000. - A DECREASE OF 2% IN COMPARISON TO LAST YEAR* i iURES* THE REASON FOR THE DOLLAR DECREASE IS THE DECLINE IN FLASS FIBER IBS. GLASS FIBER SALES DURING NOVEMBER WERE ONLY 127,000 SQUARE FEET COM BED TO OVER A MILLION SQUARE FEET LAST NOVEMBER. I KNOW YOU ARE AWARE OF 2 PROBLEMS WITH GLASS FIBER, BUT I DO WANT TO EMPHASIZE THAT THE GLASS FISI IUATION IS VERY CRITICAL. MANY LONG-STANDING ZONOLITE GLASS FIBER DEALERS 2 GOING TO JOHNS-MANSVILLE OR TO COMPETITORS BECAUSE OF THE DELIVERY PROBL1 WE EXCEEDED OUR BUDGETED BAG SALES OF 114,400 BAGS BY 23%. IN >Dl*iON WE EXCEEDED OUR BUDGETED DOLLAR SALES OF $186,600. B Y APPROXIMATE! PRODUCT ACTUAL SALES (11 MONTHS) 1969 BUDGETED SALES (11 MONTHS) 1969 DIFFERENCE ATTIC INSULATION CONCRETE PLASTER AGGREGATE MASONRY FILL PERLITE MONOKOTE 337,600 272,500 38,000 229,800 89,800 128,000 323,600 271,500 29,500 216,500 125,900 93,500 14,000 v. s 1,000 1 h 8 , 5 0 0 Sr! 13,300 t 1 (36,100) fcU 34,500 TOTAL BAGS 1,176,500 1,142,100 34,400 GLASS FIBER (SQ. 7T.) D'. AM (BOARD FEET) VENT BOARD (BRD. FT.) TOTAL DOLLARS 5,656,000 3,390,000 1,939,000 $ 2,330,000 8,417,000 2,795,000 1,465,000 $ 2,195,800 (2,761,000) .595,000 474.000 $ 134,200 _ ATTIC INSULATION SALES DURING NOVEMBER WERE 50,900 BAGS - A uINE FROM LAST NOVEMBER'S SALES OF 70,300. WE HAD QUITE A SIZEABLE BACX- OF ATTIC INSULATION ORDERS WHICH THE PLANTS WERE UNABLE TO SHIP BECAUSE OF THE PRESS OF CONCRETE AND MASONRY FILL ORDERS. HOWEVER, THE EASTHAMPTON AND WEEDSPORT PLANTS WERE OUT OF ATTIC TYPE ORE FOR A CONSIDERABLE PORTION 3F THE MONTH. THIS WAS THE MAJOR REASON FOR THE BUILDUP OF BACKLOG ON ATTIC INSULATION ORDERS. . HOME OFFICE tZ O . N O U T C DIVISION . NOVEMBER 1969 MONTHLY SITUATION REPORT CONTINUED CONCRETE AGGREGATE SALES FOR NOVEMBER WERE 32,600 BAGS. THE WEATHER WAS MARGINAL DURING THE MONTH AS FAR AS POURING DECKS WERE CON CERNED. THE RESULT WAS THAT A GOOD PORTION OF MY TIME WAS SPENT ON JOB MEETINGS TO DISCUSS ROOFING OVER FROZEN ZONOLITE DECKS. SURE WISH WE COULD HAVE HAD REGULATED-SET CEMENT FOR THIS WINTER! MARTIN FIREPROOFING, MIORELLI, AND EURELL ALL HAVE WORK STILL HANGING FIRE FOR THE NEXT COUPLE MONTHS. IT IS NOT TOO LATE IF WE CAN COME UP WITH SOME ARRANGEMENT ON REGULATED-SET CEMENT. MONOKOTS SALES LOOK VERY ENCOURAGING FOR THE COMING YEAR. DURING NOVEMBER WE GOT A COMMITTMENT FOR THE FIDELITY TRUST OFFICE BUILDING IN PHILADELPHIA, PENNSYLVANIA, (55,000 BAGS) FROM THE VENZIE CORPORATION. WE HAVE ORDERS FOR OVER 125,000 BAGS OF MONOKOTE FOR 1970. MONOKOTE SALES DURING 1970 COULD APPROACH THE 200,000 BAG MARK. I TOOK THE AIR MANAGEMENT PEOPLE FOR THE CITY OF PHILADELPHIA TO WITNESS MONOKOTE BEING APPLIED ON THE NEWARK AIRPORT PROJECT. THE RESUL' IS THAT THE CITY OF PHILADELPHIA WILL ACCEPT ONLY MONOKOTE AS A SPRAYED-ON FIREPROOFING PRODUCT IN THE CITY. THIS DECISION WAS THE CONTRIBUTING FACTO! IN OUR GETTING THE DEFINITE COMMITTMENT FOR THE FIDELITY TRUST OFFICE BUILD ING. THERE IS A GROWING CONCERN ON THE PART OF BUILDING OFFICIALS AS TO THE HARMFUL EFFECTS OF ASBESTOS. I WAS IN BUFFALO ON DECEMBER 3RD AND THE SUBJECT WAS BROUGHT UP BY CITY OFFICIALS. THE WORD IS SPREADING VERY RAPIDLY ALL OVER THE TERRITORY. WE SHOULD PUT ON A CRASH PROGRAM TO GET ASBESTOS REMOVED FROM OUR MONOKOTE. WE DELIVERED OUR FIRST TRUCKLOAD OF SPECIAL PLASTER MIX FOR THE WORLD TRADE CENTER. THIS IS THE FIRST OF APPROXIMATELY 100,000 BAGS TO BE SUPPLIED DURING THE NEXT TWO YEARS. THE APPLICATION WENT ON WITHOUT ANY PROBLEMS. WE WILL KEEP CLOSE TABS ON IT TO MAKE SURE THAT CRACKING DOES NOT DEVELOP WHEN THE WHITE LIME COAT FINISH IS APPLIED. SALES FOR DECEMBER SHOULD BE VERY GOOD. WE SHOULD EXCEED OUR BUDGETED DOLLAR SALES OF $ 87,900. BY A CONSIDERABLE MARGIN. WE HAVE A BACKLOG OF ATTIC INSULATION ORDERS TO FILL. BAG SALES WILL BE APPROXIMATELY 105,000 AND DOLLAR SALES OF $ 170,000.**. . SINCERELY, JC/jj J/m Jl6 CINTANI 102344