Document ypE8qjZE7EB1bBRO4Ew12wXOD

FILE NAM E: National Gypsum (NG) DATE: 1987 Jan 23 DOC#: NG064 DO CU M EN T DESCRIPTION: Legal - Direct Exam ination of R.F. W ard 1 IN THE UNITED STATES DISTRICT COURT EASTERN DISTRICT OF TENNESSEE 2 SOUTHERN DIVISION - 3 4 ATHENS CITY BOARD OF EDUCATION, ) ) 5 Plaintiff ) ) ) CIVIL ACTION NO. 6 vs. ) 1-85-355 7 ) NATIONAL GYPSUM COMPANY, > 8 ) Defendant. 9 10 11 12 Chattanooga, Tennessee January 23, 1987 13 14 15 16 17 BEFORE : 18 19 THE HONORABLE THOMAS HULL, JUDGE UNITED STATES DISTRICT COURT 20 21 22 VOLUME 4 ... - f V f c 23 Mh;. $ '^Ts 813 1 January 23, 1987 9:00 a.m. 2 THE COURT: All right, you can proceed. 3 It wasn't so bad getting in today, was it? 4 JUROR: Pretty rough. 5 THE COURT: Was it? OKay. 6 RUSSELL F . WARD, 7 having been previously sworn, was examined and testified 3 further as follows: 9 FURTHER DIRECT EXAMINATION 10 BY MS. HERSCHEL: 11 Q May it-please the Court, good morning, Mr. 12 Ward. 13 A Good morning. - 14 q Mr. Ward, you told me yesterday, just to get 15 us started today,.over your 31 years with National j 16 Gypsum, you had visited most of the National Gypsum 17 plants? is that correct? 18 A Yes, ma'am. 19 Q And you visitedplants,therefore, where 20 asbestos-containing products were made. Is that 21 correct? 22 A Yes, I did. 23 Q Mr. Ward, did the company ever take any 24 precautions against dust, whether it was asbestos or any . 25 other kind of dust, in its plants or factories? 814 1 A Yes, they did. They had a safety program in 2 effect at each plant that was administered both by the 3 plant manager and by the personnel safety supervisor, 4 and that, among other things, contained instructions for 5 operating equipment properly so that dust would be 6 minimized. They made respirators available in locations 7 that might be dusty, and they installed dust collection 8 equipment, exhaust fans and such. They were quite 9 careful about it. 10 Q Let me ask you a question I asked you in a 11 slightly different context yesterday. In your 12 experience and based on your review, did the company 13 always do a perfect job in keeping its plants clean? 14 A I don't think you can characterize it as a 15 perfect job, no. .No, they are only human. But I do 16 know that top management always emphasized safety, and 17 there may have been a manager in the field here and 18 there that didn't carry it out to the fullest extent, 19 but they certainly tried. 20 Q Now, again, Mr. Ward, to pick up from 21 yesterday, today, in 1987, does the company make or sell 22 any asbestos-containing products? 23 A No, they have not for several years. 24 Q Does it have today, the company, any 25 asbestos-containing construction products in place in 815 1 its plants or factories? 2 A Yes. I would say almost all the plants have 3 some pipe and boiler insulation* and some of them would 4 have asbestos cement sheets as part of the exterior 5 siding on the plant. 6 Q Did you say sheets? 7 A Yes. They are a heavy corrugated sheet such 8 as are used to build the large shed-like buildings that 9 contain large machinery. 10 Q During the time that National Gypsum made 11 asbestos-containing products* did it make what you are 12 referring to as asbestos cement sheets? 13 A Yes. 14 Q Did it put any of its own asbestos-containing 15 sheets in its own- plants or factories? 16 A Yes. 17 Q In your plants or factories do you have in 18 place any accoustical ceiling plaster? 19 A No* I don't believe so. 20 q Mr. Ward* does the company have any policy 21 today regarding maintenance or repair of its in-place 22 asbestos-containing products in its plant* its piping 23 insulation* asbestos cement sheets? 24 A Yes* they follow the OSHA regulations with 25 that* and if the job is any more than minimal* they 816 1 would use an outside contractor. 2 Q Does the company have any policy with respect 3 to what you do to replace asbestos-containing products 4 in place if you need to replace them? 5 A Yes. We have employed nine 6 asbestos-containing products and replaced them. 7 Q Mr. Ward again how many documents have you 8 reviewed while preparing to present information in this 9 case and other cases? 10 A I really don't know how many but it's in the 11 thousands. - 12 Q And how many former and present National 13 Gypsum employees have you talked to interviewed about 14 the company's history? 15 A I nave' said I think dozens of them, and it 16 probably approaches a hundred or maybe a little more. 17 Q Now, have you looked specifically for 18 documents or information in your files showing when 19 anyone at National Gypsum might have been aware in any 20 way that asbestos-containing products in-place might 21 constitute a hazard to building occupants? 22 A Yes, I did look. 23 q You made that specific search? 24 A Yes. 25 Q What were the first documents or information 817 1 in point of time, is what I'm talking about; when were 2 the first documents or information dated, if they had 3 dates on them, that you found in the company's files 4 that referred in any way to possible hazards to building 5 occupants from in-place asbestos-containing products? 6 A We found some clippings of newspaper articles 7 that would have been in the latter half of the '70's. 3 Q In the latter half of the '70's? 9 A Yes. I think '76 may have been the first 10 one. I'm not sure of the exact date. 11 q Hr. Ward, have you found any evidence from 12 any source, whether from documents, or from people, or 13 from anywhere else that suggests that the people at 14 National Gypsum Company were aware in any way of a 15 possible hazard to building occupants from in-place 16 asbestos-containing products when the Athens Junior High 17 was built in 1966? 13 A No, definitely not. 19 q You said that the company did get some 20 information on possible hazards in buildings in maybe 21 1976 or the late `70*s. Is that what you said? 22 A That's right,. 23 q At that time why didn't the company pass this 24 information on to building owners? 25 A Well, with products such as acoustical 818 1 plaster, those were normally sold through a dealer 2 network, and we did not have information ordinarily or 3 keep track of information about what specific job that 4 product may have wound up in. It's not like automobiles 5 where everything is registered. 6 q But we have seen evidence in this courtroom 7 that the company knew, at least at one point in time, 8 that it was in the Athens Junior High because of the 9 correspondence on the lime problem in the late '60's. 10 You are aware of that, aren't you, Mr. Ward? 11 A Yes, I am. 12 q Okay. Why, then, didn't you pass the 13 information on to Athens? 14 A Well, I think that information was pretty 15 well buried in ten-year-old files at the time that we 16 first got those newspaper clippings. I don't think 17 there was anything that would have necessarily called it 18 to mind. 19 q Have you ever passed on any information to 20 building owners with respect to potential hazards from 21 in--place materials? A Yes. * q When did you start doing that and in what context did you do that? A The latter part of the '7Q's, maybe `78 or 819 1 79. I'm not sure again of the exact date, but we did 2 get requests from building owners for information as to 3 whether a product that they knew to be installed in 4 their building contained asbestos. If it did, we told 5 them, yes, it does, and we referred them to the EPA s 6 regional office for guidance. 7 Q Mr. Ward, in your review of the company 8 documents have you ever come across any complaints about 9 Sprayolite's dusting? 10 A Yes, there are some, what we would call 11 quality complaints in the latter part of the *50's, 12 while the product was still fairly new, where it was 13 determined that perlite had dropped out when research 14 investigated those, but the formula for that product was 15 stabilized, I think in 1959. I don't believe it changed 16 after that until it was discontinued in 1972, and I 17 don't recall dusting complaints after *59. 18 Q What is perlite, Mr. Ward? 19 A Perlite is a lightweight mineral that was 20 used as an aggregate in Sprayolite. 21 q Now, in the documents discussing the dusting 22 complaint, some of which we have seen -- let me start 23 over again. Let me refer you to those documents, some 24 of which we have seen in this courtroom, about the 25 dusting complaint. Prom your research into the 820 1 company's records, is there ever any suggestion in 2 connection with those dusting complaints, either from 3 the people at National Gypsum or from the people who 4 were making the complaints, that the concern was any 5 kind of a health hazard? 6 A No. I think people just objected to dust as 7 dust. 8 Q Mr. Ward, co your knowledge, were any tests 9 ever done by National Gypsum that would relate to the 10 dusting of Sprayolite? 11 A I have- seen a report of some dusting tests 12 that were made in 1967. 13 Q In What year, sir? 14 A 1967. 15 Q And what kind of tests were they? Can you 16 describe them generally? 17 A There was a job that we were interested in, I 18 think in the Chicago area, we were bidding on, and we 19 had to demonstrate to the owners or the architects that 20 this product would meet what was then either a 21 government standard or a proposed standard. 22 Q Standard for what, Mr. Ward? - 23 A For dusting, for acoustical materials. And 24 we sent some test samples out to Boyle Labs to test it. 25 They subjected it to an air stream under controlled 821 1 itions, and determined that it would pass the 2 proposed standard. 3 Q They subjected it to an air stream under 4 controlled conditions. Would you try that in a little 5 more detail* 6 A As I recall the report, they had some spans 7 of Sprayolite which were mounted in a tube or tunnel and 8 air under a certain velocity -- I don't recall exactly 9 how many feet per minute -- was sent through that tunnel 10 to simulate the conditions that might be found in an air 11 plenum, or where the material would be subjected to a 12 stream of air from a heating or ventilating air 13 register. That was the purpose of it, to find out if it 14 would degrade under those conditions. 15 q Now, again, did the purpose of those tests 16 have anything to do with anybody's concern about a 17 health hazard, Mr. Ward? 18 A No. The specifics of that job proposal, 1 19 think, involved a switch gear room for the telephone 20 company, where, of course, they would be rather 21 sensitive to any dust. They wanted to oe sure it 22 wouldn't emit enough dust that would have any bad effect 23 on their switching for their telephone calls. 24 q Now, these dusting tests that were done in 25 the *60's, did the company pass, Mr. Ward? d22 1 Yes, they met the standard or proposed 2 3 Q They met the standard? 4 A Yes. 5 q Now, let's see, today is Friday. On 6 Wednesday, Mr. Ward, we read - I thin* I mentioned this 7 to you yesterday -- a rather long deposition or a Dr. 8 Schepers. Do you remember that? A I remember your reading it. I don't recall 9 10 the details of it. q do you remember hearing Dr. Schepers say that 11 12 he had written a letter to National Gypsum at some point 13 in time warning them not to put asbestos in gypsum 14 wallboard. Do you remember thattestimonyi 15 A Yes, I rememoer that particularly. q Okay. In your review of National Gypsum 16 17 Company's documents, have you ever found a letter 18 anything like that, Mr. Ward? 19 A No, I never have. q Did National Gypsum's flat gypsum wallboard 20 ever contain asbestos? A Never. (Continued without omission.) q I would like to show you a letter marked as Plaintiffs Exhibit 4098. We have seen.this before, Mr. Ward, but let's take a quick look at it again. Have you | got it, sir? A Yes. q It is dated May 30th, 1984, is it not? A Right. q From an attorney, Mr. Biddle? A Right. q To NationalGypsum Company, stating that Athens was going to remove the ceiling from the Junior High School and possibly file a claim for its replacement against National Gypsum. Is that the gist of the letter, sir? A Yes. Healsomentions,the letter is also written to U. S. Gypsum Company, and tne same i information is directed to them. q And this is a May 30, 1984 letter, correct? A That's correct. q You have seen this letter before and we have seen it in this courtroom. Is that correct? A Yes, that's right. q Now, I think there has been a suggestion made here that National Gypsum never responded to that letter. Is that so, Mr. Ward, did the company not 824 1 respond to that letter? 2 A The company did respond through its 3 attorneys* 4 Q Okay. Let me show you a letter marked as 5 Defendant's Exhibit 4.245, dated June 14, 1984. Would 6 you take a look at it, Mr. Ward, while Mr. Hopkins is 7 setting up the projector. Do you recognize this letter, 8 sir? 9 A Yes, I have seen this. 10 q It's a letter to William Biddle dated June 11 14, 1984, re City'or Athens, Board of Education. Mr. 12 Hopkins, would you show the signature line, and it is 13 signed, Sincerely Yours, Margaret M. Powers for 14 Schnader, Harrison, Segal & Lewis. Mr. Ward, Mrs. 15 Powers is dead, isn't she? 16 A Yes, I understand. 17 Q Who was she? 18 A She was an attorney with the Schnader, 19 Harrison firm who were at that time were representing 20 National Gypsum Company. 21 q Is this the reply to Mr. Biddles letter? 22 A Yes, it is. 23 MS. HERSCHEL: Your Honor, I would like 24 to publish this letter to the Jury. 25 THE COURT: All right. Has it been filed 325 X yet? 2 MS. HERSCHEL: It will be as soon as I 3 finish with it. 4 THE COURT: All right. 5 BY MS. HERSCHEL: 6 Q All right. This is a June 14, 1984 letter to 7 William P. Biddle, III, Esq., Higgins, Biddle & Chester, 3 111 Church Street, Athens, Tennessee, re,the City of 9 Athens Board of Education. 10 "Dear Mr. Biddle: 11 "Your letter of May 30, 1984 to United States 12 Gypsum Company and Gold Bond Building Products, a 13 National Gypsum division, has been referred to me by my 14 client National Gypsum Company. This firm is national 15 counsel for National Gypsum Company in the asbestos 16 litigation. Because your letter refers to a, quote, 17 potential of a claim, quote, against National Gypsum 18 Company, I would like to respond. First, I would like 19 to thank you for providing the opportunity to inspect 20 and take samples prior to the removal. I understand 21 that arrangements to complete this inspection and 22 sampling are under way. The purpose of this letter is 23 to respond to the statement made in the opening 24 paragraph of your letter that the City of Athens Board 25 of Education, quote, have been confronted with a 8 26 1 requirement by the EPA to remove asbestos in its school 2 buildings, close quote. I am puzzled Dy this statement, 3 because although the EPA has required schools to 4 identify the presence of friable asbestos containing 5 materials within their buildings, it has not required 6 the removal of such products. In fact, the EPA 7 suggested that the required notification to parents 8 include the following statement. It is important to 9 note that not all friable asbestos containing material 10 need be removed from schools. Once such material has 11 been identified, a program can be implemented to insure 12 that the material is maintained in good condition, and I 13 that appropriate precautions are followed wnen the 14 material is disturbed for any reason." 15 The 2nd page. 1 16 "I wanted to bring this to your attention in 17 case the school district was under the erroneous belief 18 that removal of asbestos containing product was required 19 by the EPA or any other federal agency or law. In this 20 regard, you may be interested in the report of the 21 Ontario Royal Commission issued on May 7, 1934, which 22 was based upon extensive hearings over four years at 23 which 53 expert witnesses testified. 24 "In this report the commissioners concluded 25 that in most circumstances, quotation marks, we deemed 32/ 1 the risk which asbestos poses to building occupants to 2 be insignificant, and therefore find that asbestos in 3 building air will almost never pose a health hazard to 4 building occupants, close quotation marks. Reported at 5 page 14. As the Royal Commission report found, asbestos 6 levels in public buildings in fact sometimes increased 7 following removal action. Furthermore, such action will 8 inevitably expose workers to asbestos and such exposures 9 could well pose more risk than that posed by leaving the 10 asbestos in place. Thus, the Royal Commission's review 11 of efforts of the United States and Canada to remove 12 asbestos from schools concluded, and I quote, "Asbestos 13 removal projects conducted on a crash basis tnerefore 14 involve some needless expenditure. The crash nature of 15 the removal work probably increased the risk that 16 asbestos removal workers may contract disease. This 17 risk arises from elevated asbestos exposures occasioned 18 by careless work practices frequently associated with 19 inexperienced contractors." End of quoted material. And 20 that is in the report at page 28. 21 "Based on its extensive analysis, the Royal 22 Commission urged action only where, quote, significant 23 quantities of friable insulation have fallen onto 24 building surfaces and are being disturbed." And that is 25 in the report at page 589. 823 1 "I hope this information will be of 2 assistance to you in clarifying the question of removal 3 of asoestos containing products from school buildings. 4 If I can be of additional assistance, please let me 5 know. Sincerely yours, Margaret M. Powers, for 6 Schnader, Harrison, Segal and Lewis. 7 MS. HERSCHEL: Your Honor, I would like 8 to offer that document. 9 THE COURT: All right, let it be filed 10 and passed to the Jury. 11 MSi HERSCHEL: Than* you, Mr. Ward. Mow, 12 you can answer Mr. Speights* questions. 13 14 (Continued without omission) 15 16 17 18 19 20 21 22 23 24 25 329 1 CROSS-EXAMINATION 2 BY MR. SPEIGHTS: 3 Q Just while that letter is on our mind, before 4 I get to the questions I plan, Mr. Ward, National Gypsum 5 historically advised building owners to follow EPA's 6 guides in a number of letters to building owners around 7 the country? 3 A I think what they did was to inform the 9 building owner, when asked, that the product inquired 10 about did or did not contain asbestos and referred them 11 to the EPA regional administrator. 12 Q And thi3 letter, Ms. Powers was Ms. 13 Herschel's law partner, don't you know that? 14 A I'm sorry. 15 Q Ms. Powell has practiced law with Ms. 16 Herscnel? 17 A In another firm, that's correct. 18 Q They represented National Gypsum andanother 19 firm at the time? 20 A That's right, 21 Q And in this letter Ms. Powers advised, the 22 attorney for the Athens School District where 23 significant quantities of friable insulation had fallen 24 on to building surfaces and are being disturbed, that is 25 a distinct situation? 830 1 A I thinK she was quoting from the report of 2 the Ontario Royal Commission, yes. 3 Q She quoted that to the attorney for the 4 School District and pointed out tnat is a distinct 5 situation where material is being disturbed or that 6 there are significant quantities which have fallen? that 7 is what the letter says, doesn't it? 8 A That is what the letter says. 9 Q All right. Mr. Ward, I understand that you 10 are the Corporate Director of Puolic Affairs, is that 11 your title now, Mr. Ward? 12 A That`s correct. 13 Q In that position you give speeches for 14 National Gypsum, presentations? 13 A No, I have not given speeches on National 16 Gypsum's behalf in that job. 17 Q Do you appear beforeregulatory bodies, 18 bodies considering what to do about asbestos? 19 A No, I have not. 20 Q Is it your job now, one of your primary 21 functions to appear in court on Dehalf of National 22 Gypsum Company? 23 A If required, I appear in court. I wouldn't 24 call that my primary function. 25 Q All right, sir. That is a job that you have 331 1 been trained for for some period of time, to appear on 2 behalf of National Gypsum Company as its Corporate 3 Director of Public Affairs? 4 A Well, I think I explained when Ms. Herschel 5 asked me why I was in the joo, I have had over 30 years 6 of experience, and X have made a study of the company's 7 history, particularly in the last year and a half. 3 Q And you got involved in that at the request 9 of the attorneys who are involved in this litigation? 10 A I got involved in this at the request of the 11 Chairman of National Gypsum Company. 12 Q Yes, sir. And for the last year and a half 13 you have been going through documents and meeting with 14 people concerning National Gypsum's history and 15 historical policies? 16 A Among other things, that is correct. 17 Q You understand today and yesterday that you 18 are appearing here as a representative of National 19 Gypsum Company? 20 A That's true. 21 Q Okay. I want to make this point up front. 22 If I get a little antagonized with National Gypsum 23 Company, you understand that I am not criticizing Russ 24 Ward as an individual; you understand you are not 25 appearing here today as Mr. Ward, as an individual, but 832 1 as the representative of National Gypsum Company? 2 A Yes, I understand that. 3 Q All right, sir. You were not involved 4 historically in these decisions about wnat to do about 5 asbestos-containing products Dack at the time in *49 or 6 `53, `56, *59, `62, et cetera; you were not involved at 7 that time in the decisions of whether to put asbestos in 3 or take asbestos out? 9 A Can you break that down a bit? That is kind 10 of a long question. 11 Q All right, sir. You did not make the 12 decision or participate in the decision to put asbestos 13 in any product made by National Gypsum Company, did you? 14 A No, not directly. I was not involved in the 15 formulation of the products. 16 Q You did not make the decision or recommend to 17 anyone that asbestos be removed from any product 18 manufactured by the company? 19 A I wasn't involved in the product formulation, 20 Mr. Speights. 21 Q You were not involved in the manufacturing 22 side of the company which manufactured Sprayolite? 23 A Well, I reported directly to the 24 Vice-President of Manufacturing Operations for 12 years 25 or more, so I was involved in the manufacturing side, 333 1 yes. 2 Q Well, you weren't involved, yourself, in the 3 manufacturing of Sprayolite? 4 A I did not make Sprayolite, it tnat is wnat 5 you mean, no. 6 Q You for many years were concerned with 7 whether or not someone could get credit to buy products, 3 including Sprayolite? 9 A During my early years with the company, 10 that's right. 11 Q All right, sir. And you were not the field 12 representative at any time that would call on people 13 like Mr. Guthrey and give them advice concerning 14 Sprayolite? 15 A No, that would normally be the sales 16 representative that would do that. 17 Q All right, sir. When did you actually go 18 into your new position as the Corporate Director of 19 Public Affairs, Mr. Ward? 20 A That was in August of 1985. 21 Q Were you interviewed for the position? 22 A Yes. 23 Q Who interviewed you for the position? 24 A X spoke with David Bern, who was our 25 Vice-President of Human Resources. I spoke with Jack 334 1 Hays, the Chairman. I spoke with Ed Fordyce, our 2 General Counsel. At one point I talked with Mr. Larry 3 Hoyle of Hoyle, March, and Kerr. 4 Q That is Ms. Herschel's law partner? 5 A And I spoke with Ms. Herschel, all of these 6 on different occasions. 7 Q You knew from very early on that one of your 8 responsibilities would be assisting in the trial of 9 these asbestos cases? 10 A Yes, to the extent that I could help, I knew 11 that was part of the job. 12 Q And you interviewed with the Vice-President 13 and President Hays, you interviewed, I assume, with them 14 out in Dallas, Texas, the corporate headquarters? 15 A Yes. I would say they interviewed me. 16 Q Okay. And they are what we would call 17 corporate management? 18 A That is correct. 19 Q You would agree with me that those in 20 corporate management make the decisions for the company? 21 A I think they make the major decisions for the 22 company, yes. Decisions are made at a numoer of levels. 23 q And they are there today, as far as you know, 24 both Hays, and the Vice-President for the company, they 25 are there today in Dallas, Texas, working away? 83 5 1 A I would like to think so, yes, 2 Q Now, there were other people before you that 3 had some involvement in representing National Gypsum or 4 working with National Gypsum's lawyers on the legal side 5 of this asbestos situation, weren't there? 6 A I think there have been a number of people 7 who have been involved from time to time, yes. 8 Q One of those I believe you mentioned in 9 direct was Mr. Oberkircher? 10 A That's right. 11 Q Another one was Mr.Eikenberry? 12 A 1 think Mr. Eikenberry had some 13 responsibility for this at one point. 14 Q How long do you have until retirement, Mr. 15 Ward? 16 A I'm not sure what you mean. I think 17 mandatory retirement would be at age 70, if the law has 18 not changed by then, so I still have 13 years. 19 Q And you plan to maintain this position for as 20 long as National Gypsum wants you to maintain this 21 position? that is, being the spokesman for National 22 Gypsum Company? 23 A I frankly have not given a great deal of 24 thought to what job I might move on to, but I have had a 25 number of assignmewnts over the years, as my record will 836 1 show, and I'm prepared to do whatever is assigned to me 2 in the way of the next job. 3 Q Mr. Ward, would you agree that one of the 4 best ways to determine a company's concern for health 5 and safety is to see how it treats its own employees' 8 health and safety? 7 A I think that might be an indicator, yes. 3 Q Certainly National Gypsum, I believe youhave 9 said in direct examination, I wrote it down, that top 10 management was always concerned with safety? 11 A Yes, I believe that's true. 12 Q And it is your testimony that was true in the 13 6Q's, the '70's, and the `80`s? 14 A It was true, in ray experience, all the years 15 I have been with the company. 16 Q And they certainly would not have been less 17 concerned in the *60's than they were in the '70's or 18 '80's, would they? 19 A Well, I think they may have had concerns in 20 different areas, as perceptions changed. Certainly, no 21 less concern. 22 Q They may have become more concerned in the 23 70s or '80's, as they had maybe more knowledge, but 24 certainly they didn't become less concerned over the 25 years, did they? 837 1 A I don't believe they did, no. 2 Q Mr. Ward, for many years when you worked with 3 National Gypsum, while you were an employee in these 4 various positions, you did not know that Sprayolite had 5 asbestos in it, did you? 6 A I'm not sure when I came into that knowledge, 7 Mr. Speights, but it was commonly known that Sprayolite 8 contained asbestos. 9 Q Isn't it true that even in the 1970's, you, 10 Mr. Ward, personally, did not even know; you did not 11 even know personally until the 1970's tnat Sprayolite 12 contained asbestos? 13 A It may have been. I really don't recall 14 exactly when I got that knowledge. 15 Q There was no way, from looking at the bag 16 that Sprayolite was sold in, that you could tell it 17 contained asbestos, could you? 18 A No. The ingredients were not listed on the 19 bag. 20 Q There was no way you could tell oy looking at 21 the brochures supplied to architects, and other 22 advertising brochures, that Sprayolite contained 23 asbestos, was there? 24 A We didn't publish the product ingredients, 25 Mr. Speights 838 1 Q There is no way of looking at the material 2 itself and telling that it contained asbestos, is there? 3 A You would have to analyze it. 4 Q There is no way of looking at this technical 5 bulletin that you referred to yesterday about mixing 6 lime, there is nothing in there that says anytning about 7 Sprayolite containing asbestos, is there? 8 A No, I don't believe there is. 9 Q There is nothing under that section that says 10 "Caution*' about the product containing asoestos or being 11 especially careful in dealing with the product because 12 of a possible health concern; correct? 13 A I don't think there was any possible health 14 concern in the times when that technical bulletin was 15 published. 16 Q In 1962, it did not say anything about any 17 health concern in the bulletin. We will talk about what 18 you knew or didn't know in a few minutes, but it didn't 19 say anything in the bulletin about a health concern, did 20 it? 21 A No, it didn't, because I don't thin* there 22 was any concern. 23 Q There was no concern. My understanding also, 24 Mr. Ward, you personally saw Sprayolite being applied 25 only on one occasion? 839 1 A That's true, one that I can recall. 2 Q You never saw a Sprayolite job being cleaned 3 up? 4 A No, we didn't stay around until that point, 5 The job was still in progress when I left. 6 Q You never saw, Mr. Ward, a Thermocoustic job? 7 A No. 8 Q There would be people in the company wno 9 would have been on the scene when these jobs took place, 10 when these materials were applied from time to time? 11 A What materials? 12 Q Sprayolite and Thermocoustic. Like a field 13 representative mignt have been out tnere on a number of 14 occasions and seen them applied? 15 A That's possible. 16 Q But that wasn't yourjoo? 17 A No. 18 Q Aren't there people today with National 19 Gypsum Company, Mr. Ward, who had involvement with the 20 formulation of Sprayolite? 21 A There may be a couple people in research who 22 had some involvement with it. 23 Q Wouldn't DonPeterson be one of those people? 24 A Yes. 25 Q Mr. Peterson is still employed by National Gypsum? A Yes, he's in the research department. Q And do you Know whether Mr. Peterson is going to he testifying at the trial of this case? A I don't know, but I don't expect him to he. Q And he was involved with the formulation of Sprayolite? A Well, he was working in research when the product was being formulated. He wasn't the man with the principal responsibility for it, as I understand it. Q You never worked in research on Sprayolite or other acoustical plasters? A No, I didn't. Q And research is up in Buffalo, New York? A That's right. (Continued without omission.) 841 1 Q Mr. Ward, I think we have gotten the 2 preliminaries out of the way. Do you know wnether the 3 question of whetner to put a warning on asbestos 4 products such as Sprayolite ever came up at National 5 Gypsum? 6 A The question or warnings came up. I don't 7 know if it was ever associated with Sprayolite. 8 Q All right, sir. Specifically, I'm going to 9 show you what has already been entered into evidence as 10 Exhibit 1754, dated September 10, 1971. That's an 11 internal National Gypsum document, isn't it, Mr. Ward? 12 A May I see a copy of that? I can't make it 13 out from here very well. 14 Q Certainly. 15 A I'm not sure about the date, because somebody 16 has written in the year, but it certainly looks like an 17 interoffice memorandum. 18 Q Would you look at the second page, Mr. Ward, 19 and see if the date -- 20 A Yes, I see thedate tnere. 21 Q You would agreewith me it is September 10, 22 1971? 23 A That's right. 24 Q You would agree with me that is an internal 25 National Gypsum document? 342 1 A That's rignt. 2 Q And a number of people got copies, including 3 Mr. Faye, who was a vice-president, and Mr. Zimmerman? 4 A That `s right. 3 Q Mr. Zimmerman was Safety Director of National 6 Gypsum, wasn't he? 7 A Yes, he was. 3 And Mr. Pollard was the Safety Director 9 before Mr. Zimmerman? 10 A Yes. 11 Q Mr. Zimmermanis still alivetoday? 12 A Yes, he is. i 13 Q You were never in tne safety department of 14 National Gypsum Company? 15 A No, I never had anyassignment to that 16 department. 17 Q Now, it says here, see if you agree with me, IB you may read the copy there or here, "At the present 19 time no products containing asbestos fibers which are 20 manufactured by the Gold Bond Building Products division 21 are, to my knowledge, being laoeled with a caution 22 statement. It has not been my intention to take any 23 action in this area until the regulations from the 24 Environmental Protection Agency have been published. ** 25 Did I read that correctly, Mr. Ward? 843 1 A Yes. 2 Q Does that reflect the National Gypsum policy 3 at that time, that it would not provide any caution on 4 its products, even in 1971, until EPA required it? 5 A Well, I think he goes on to say that "Upon 6 publication of the regulations, they will oe analyzed 7 and a program presented with appropriate recommendations 3 to effect compliance with the requirements." 9 Q Yes, sir, but doesn't the memorandum, the 10 effect of this memorandum is that National Gypsum would 11 not put warnings on its asoestos containing products 12 until EPA required it? 13 A Well, I would say tnat a fair 14 characterization would be that they would put warnings i 15 on when the requirements became known. 16 Q Now, are you aware, Mr. Ward, that for years 17 before, other companies had warnings on their products? 18 A What kind of companies? 19 Q Spray applied acoustical products? 20 A No, I'm not. 21 Q Are you familiar with a company called U. S. 22 Mineral Company? 23 A Yes, I have heard of that firm. 24 Q I see. I want to read to you from an answer 25 of an interrogatory of U. S. Mineral in a Wisconsin 844 1 case, and I will hand you a copy. I believe I have one. 2 MS. HERSCHEL: Excuse me, Mr. Speights, 3 has this been marked as an exhibit? 4 MR. SPEIGHTS: No, it has not, and I'm 5 not offering it. 6 MS. HERSCHEL: May I see a copy, then? 7 MR. SPEIGHTS: You and Mr. Ward may share 8 a copy. 9 MS. HERSCHEL: Your Honor, do you mind if 10 I take a look at the document before we proceed? 11 THE COURT: No. You may. Pass it to 12 her. 13 MS. HERSCHEL: Thank you. 14 THE COURT: Okay. Where are we? She has 15 it, he has it, let's go. ' 16 BY MR. SPEIGHTS: 17 Q I want to know if you agree with me this 18 document reflects, reading on 10 C, on the second page, 19 "Beginning in May, 1962, this defendant began including 20 a label on its asbestos containing products wnich saia" 21 A Where are you, Mr. Speights, please? 22 Q On the second page, answer 10 C? 23 A Is thac page eight as this document is 24 labeled, is that what you are talking about? 25 Q Yes, sir. 345 1 A This thing goes from no number to page eight 2 to page 34, to no number again. This is not complete, 3 is it? 4 Q Well, I can give you the whole set. It is 5 about a hundred questions asked to U. S. Mineral, and I 6 only have this case to show you where it came from and 7 the answer to the question concerning warnings, and then 3 the signature page on the last page? 9 A I have never seen this document before and 10 I'm not acquainted with U. S. Mineral's internal 11 policies. 12 Q All right. Let me as you to assume, 13 beginning in May 1962, this defendant, U. S. Mineral, 14 began including a warning label on its asbestos 15 containing products which said "Caution, this product 15 contains asbestos. Inhalation of asbestos dust over 17 long periods of time may be harmful. If employees are 18 exposed to dust during use and application, those 19 employees should be equipped with adequate personal 20 protective devices." 21 Now, assuming this sworn answer to 22 interrogatory is correct, you would agree with me tnat 23 this reflects that chis company which you are familiar 24 with, this company was putting a warning on its bag as 25 early as 1962? 846 1 A In 1962, we took our competing product off 2 the market. 3 Q Therraocoustic? 4 A That's right. 5 Q This was a spray-appliedproduct, U. S. 6 Mineral made spray-applied products? 7 A That's right, but it was a mineral wool 8 product, very dusty in application, as was 9 Thermocoustic, and our competitive product was taken off 10 the market. 11 Q Was it taken off the market because it had 12 asbestos in it? 13 A No. I think the perception wasthat the 14 market had declined to the point wnere it was not 15 effective. ^ 16 Q Are you aware the product was sold to a 17 company called Sealtite Insulation Manufacturing 18 Corporation? 19 A I have heard that name. I don't know the 20 details of any sale. 21 Q Are you aware that when you sold the product 22 Sealtite took the asbestos out of the product? 23 A No, I don't know anything about Sealtite. 24 Q Let me show you an affidavit of the Sealtite, 25 I believe its president? 347 1 MS. HERSCHEL: I'm sorry to interrupt 2 again. Mr. Speights, have I seen, has our side seen 3 this? 4 MR. SPEIGHTS: I believe you have seen it 5 in the case in which it was filed. 6 THE COURT: Do you want to look, at it? 7 MS, HERSCHEL: Yes, sir, please, Your 8 Honor. 9 THE COURT: Come around and look at it. 10 MS. HERSCHEL: Your Honor, I thin* it is 11 technically objectionable, but let's go anead with it. 12 THE COURT: All right. 13 BY MR. SPEIGHTS: 14 Q It certainly reflects that Sealtite didn't i . . ^ 15 ever manufacture a product with asbestos in it. Isn't 16 that correct? 17 A I didn't have a chance to finish reading it, 18 Mr. Speights. Just give me a moment. 19 Q I'm sorry. 20 A It says that Sealtite Insulation 21 Manufacturing Corporation did not sell, manufacture or 22 mine asbestos products at any time. 23 Q All right, sir. You sold the product 24 Thermocoustic to Sealtite and Sealtite continued to make 25 the product and it had no asbestos in it if that _______________ ____________________________________________ 8 4 6 1 document is correct? 2 A I have no knowledge of that. 3 Q All right. 4 A All this says is they didn't make asbestos 5 products, I don't know what they did with any product 6 they may have bought rom us. 7 Q Well, you don't know tnat Sealtite 8 manufactured Thermocoustic after you sold it to tnem? 9 A That's right. 10 Q All right. I will have to get another 11 document in a while. Let me cut througn some of this. 12 Thermocoustic was a product which was applied on 13 ceilings and on other surfaces in a building; correct? 14 A Principally ceilings, I believe. 15 Q And although the material, you called it dry, 16 had a water hose right next to it and as the material 17 came out the hose, there was water applied as it went 18 onto the ceiling? 19 A That's my understanding, yes. 20 Q And in 1949 the asoestos floats, the document 21 we discussed, in 1949 the asbestos floats, it was noted 22 they should oe removed as a possible source of 23 asbestosis; correct? 24 A Tnat's correct, that's in the research 25 report. 349 1 Q But the other asbestos remained in the 2 product Thermocoustic? correct? 3 A That's correct. 4 Q Now, at no time did NationalGypsum Company, 5 from 1949, when it knew that asbestos floats caused 6 asbestosis, until 1962, when it sold the product, or 7 stopped making the product, at no time did National 3 Gypsum Company place a warning on the bag or 9 Thermocoustic saying that under any circumstances it 10 could cause a hazard? 11 A No, there was no warning on tne bag, but 12 there were application instructions. 13 Q There was nothing -- 14 A Which if followed would protect the workers 15 who were exposed to the dust. 16 Q There was nothing on the bag which said this 17 product contains asbestos and it may cause disease? 18 A No, it was not on the bag. 19 Q Okay. There was nothing, there was nothing, 20 in fact, National Gypsum Company actually in its 21 brochures snowed Thermocoustic being applied without any 22 respiratory equipment whatsoever; correct? 23 A I'm not sure whether they did. i don't 24 recall those pictures. 25 Q Let me back up a little. We have talked 850 X about these exhibits several times during the trial and 2 you talked about them in your examination, and that is 3 the so-called Spoylar letters; correct, there are 4 several of them? 5 A Okay. 6 Q Okay. Somebody witnin National Gypsum 7 thought the Safety Director, Nr. Pollard, was making a 3 big mistake by telling the Indiana Board of Health to 9 wear respirator equipment. You would agree with me 10 there? 11 A The sales manager was concerned about it, 12 yes. 13 Q Okay. And he wrote "Your letter to Dr. 14 Spoylar is full of dynamite," and this document reflects 15 the letter was pulled. Correct? 16 A I'm not sure what you mean by pulled. 17 Q It says "Handy succeeded in stopping letter 18 to Spoylar, will be modified." This document reflects 19 that the letter was pulled? 20 A Well, you quoted what it says accurately, 21 yes. 22 Q There is nothing equivocal there, that is 23 what it reflects. If we just had this document here, 24 there would be no question the document didn't go out, 25 is that right? 351 1 A Apparently that is what happened, he took it 2 out of the out going mail. 3 Q All right. Now, I understand your position 4 is you weren't involved in any way with any or this back 5 in 1953, were you? 6 A No, sir, 1 was not. 7 Q I understand you nave gone back and you have 3 looked at the documents and you believe that the 9 document actually later went out. We nave a 10 disagreement on that, but you oelieve that? 11 A Yes. 12 Q All right. In any event, wnetner it went out 13 or not, National Gypsum told somebody, it it did go out 14 in 1953, that respiratory equipment was suggested for 15 Thermocoustic? ! 16 A That's right. If it was dusty in 17 applications, 13 Q Now, this is a brochure, Mr. Ward, of 19 spraying Thermocoustic in places that appears in Sweet's 20 catalog, would you agree with me in the advertisements 21 showing Thermocoustic being sprayed, tnese people do not 22 nave any respiratory equipment? 23 A Can I get a better look at that, Mr. 24 Speights? That's not very understandable here. 25 Q Here is the whole document. 852 1 THE COURT: I guess the question is, can 2 you tell from that picture whether they were using any 3 equipment? 4 THE WITNESS: I actually can't, Your 5 Honor. 6 THE COURT: He can't say for sure. 7 THE WITNESS* It is pretty 8 indistinguishable in the area of the face. 9 BY MR. SPEIGHTS: 10 Q In this situation here you can't tell whether n they have any respiratory equipment or not? 12 A It isn't obvious to me from this picture, Mr. 13 Speights. 14 MR. SPEIGHTS: All right, I would like to 15 have that marked as an exhibit, please. 16 THE COURT: All right. That has not been 17 marked. 18 MR. SPEIGHTS: It may have oeen buried in 19 something else, Dut I would like to have it marked and 20 passed to the Jury, if I could, Your Honor. 21 THE COURT: All right, mark it and number 22 it something and send it to the Jury. 23 THE CLERK: TWO. 24 THE COURT: It will be Exhibit 2 of the 25 not premarked exhibits. 853 1 BY MR. SPEIGHTS: 2 Q Now, you would agree -- do you have the rest 3 of the document in front of you that I just handed you, 4 the other three pages, or did I take it back? 3 A I'm sorry, I don't have it. 6 Q Let me hand you a complete part. You would 7 agree with me this is a Sweet's catalog advertisement on 3 Thermocoustic? . 9 A Yes, it looks like their numoering system up 10 in the corner of the page, so I would say this probably 11 came out of of Sweet's. 12 Q All right. Would you review that document 13 and show me where it says tnat Thermocoustic, in 14 applying Thermocoustic you should wear respiratory 15 equipment? 1 16 A I don't think that information was in 17 Sweet's' catalog, Mr. Speights. 18 Q It was not, no caution, no warning like Mr. 19 Spoylar may have gotten in '53, seven years earlier, was 20 placed in the brocnure? 21 A I think that was, I think, the admonition to 22 provide protective equipment to the applicators in the 23 case of dustings was contained in a product supplement 24 issued by research. 25 Q Nothing in the advertising literature for 354 1 this product suggested that respiratory equipment would 2 be required or suggested for Thermocoustic, was it? 3 A No. That was information furnished to the 4 applicators. 5 Q Do you have those documents with you? A I think we have those documents here, yes. 7 Q Let me go anead, I will get bactc to that. I 3 want to look at this Seal Spray document, and ask about 9 the last page, about the products and the manufacturer 10 and read that to us, please, sir? 11 A On the final page it says, "About the 12 products and the manufacturer. Sealtite Insulation 13 Manufacturing Corporation has been known for many years 14 as a manufacturer of top quality mineral wool and other 15 insulation products. Sealtite and Seal Spray jet 16 applied mineral fiber have now been added to the 17 Sealtite line. Formerly these products were 13 manufactured and sold under the trade name 19 Thermocoustic, and as such, were installed with 20 outstanding success in important projects throughout the 21 USA." The document is dated 1968. 22 Q That document reflects that wnat Sealtite was 23 making was formerly known as Thermocoustic; correct? 24 A That's what they say. 25 Q And the affidavit which I let you read 355 1 reflects# according to the affidavit# tnat Sealtite 2 never put asbestos in its products; correct? 3 A That's wnat it says. 4 Q Now# let me show you another document. 3 Doesn't that document# isn't that a brochure or 6 Sprayolite# or a person spraying Sprayolite# in your 7 brochures? 3 9 10 11 (Continued witnout omission) 12 13 14 15 16 17 18 19 20 21 22 23 24 25 856 1 A This looks line it might be a tear sheet from 2 an advertisement somewhere 3 Q Yes, sir, that is an exhibit, That snows in 4 your literature, that appeared numerous times in your 5 literature, that type of representation or 6 advertisement, didn't it? 7 A I think advertising frequently showed job3 8 that were oeing done with our products, yes. 9 Q And in that picture, clearly the person 10 spraying the Sprayolite in the 1960`s does not have any 11 respiratory equipment; is that correct? 12 A No, he doesn't. It wouldn't oe needed there. 13 It is not a dusty product in application. 14 Q You nave seen Sprayolite applied? 15 A Yes, I have. 16 Q One time? 17 A That's right, and Isaw no dust. 18 Q Can you see the asbestos that causes disease, 19 Mr. Ward? 20 A It is my understanding you can't see that. 21 Q Now, I want to move to another suoject with 22 you. It's clear, without going through all the 23 documents -- maybe if it was Tuesday we would go through 24 them all, but on Friday I don't want to go through them 25 all. It is clear that in the '50's, at least, there 85/ 1 were a number or problems with bond failures and dusting 2 on the product Sprayolite? 3 A I have seen some documents that referred to 4 dusting, 3 Q You have seen documents which referred to 6 bond failure? 7 A Not at that time, 8 Q At anytime? 9 A Later on, specifically with relation to che 10 Athens Junior High job. 11 Q Let me take the dusting ones first and I will 12 come back to the others, I have them in different 13 packets. It`s clear tnere are documents in the 1950's, 14 some of which I showed yesteraay, which reflect tnat 15 Sprayolite would dust; correct? 16 A That's right. After application there were a 17 few instances where some perlite apparently dropped out 18 of the matrix of the product. 19 Q This is a document, 1956, "In reply to your 20 report of the 20th, a super wnite Sprayolite which was 21 used on the Hollywood Bowling Alley, we don't see how it 22 is at all possible to write a letter to Mr. Anderson and 23 Mr. Eaton that we can guarantee that acoustical plaster 24 will not dust. Sprayolite is a spray textured finisn 25 which has a tendency to dust to a certain extent." 858 1 That is one of those internal documents you 2 found, wasn't it, Mr. Ward? ,, 3 A That's right. That is the first year that 4 the product was introduced. 5 Q Ail right, sir. And then on another document 6 there are several of these documents, without putting 7 every one up there -- in the 1950's where Sprayolite 8 dusts? correct? 9 A Yes. I have already told you I saw some in 10 the *50's. 11 Q And yet later on you received an inquiry from 12 the LAWCC. Do you know what the LAWCC is? 13 A I could only speculate. I don't know that. 14 Q You know that is the plastering industry 15 group, the wall3 and ceilings group. Let me as* you, in 16 1975 ~ 17 A I think that is the IAWCC, isn't it, Mr. 18 Speights? 19 Q Yes, sir. 20 A International Association of Walls and 21 Ceilings Contractors. 22 Q Yes, sir. 23 A Yes, I'm familiar withthat organization. 24 Q That is anorganization, an industry 25 organization, isn't it? ____________ ______________ _______________________ ________________859 1 2 3 4 5 6 7 3 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A *es, it is. Q Okay. They were seeking information on products manufactured by you, weren't they? A Give me a moment to read this and I will answer you. Q All right, sir. THE COURT; Okay, ne has it about read. A I've read it. Q You would agree with me in '75 you wrote -- not you, Mr. Ward. Again, I Keep saying you; I mean National Gypsum Company. A I understand. Q National Gypsum Company says, "We know of no reason why asbestos acoustical ceiling material should crumble into dust, nor have sucn conditions, to our knowledge, been reported to us." Tnat is wnat that letter reflects, isn't it? A products. He is referring to asbestos cement acoustical Q Asbestos acoustical ceiling materials. if you go on to the next paragrapn, "Dust is created when material of this type is cut with a power saw. Such dust should be removed from the face and eyes before the material is erected. Asbestos cement ceiling boards are often used in clean rooms, clean in quote." 360 1 Asbestos cement ceiling boards are not 2 asbestos material? 3 A it could be. 4 Q Are you telling me when he says acoustical 5 materials, that you have never heard that, the person 6 receiving this letter should say that is except for 7 Sprayolite and Thermocoustic and these other products? 3 A No, I believe this letter addresses a 9 specific question about a specific product, and the 10 answer is correct in the context. Asbestos cement 11 ceiling boards do not ordinarily crumble into dust or 12 flake, and the man clearly says nor nave such conditions 13 ever to our knowledge been reported. 14 Q He says -- we can go back and forth for 20 15 minutes -- but he says acoustical ceiling materials, to 16 our knowledge, have never been known to dust or flake. 17 That is what the letter says, isn't it? 18 A The letter, you can't take that out of 19 context. He is referring to asbestos cement ceiling 20 board. 21 Q All right. 22 A It wasn't an acoustical material used as 23 asbestos cement ceiling board. 24 Q The letter will oe to the Jury and speak for 25 itself. Now I want to go back to bond failures. My 861 1 understanding is you didn't recall any bond failures; 2 correct? 3 A That's right. 4 Q All right, sir. I'm trying to get it so I 5 can get it on there. I ought to Know after all these 6 days. Do you need a copy or this document? 7 A I would like to see it, please. 8 THE COURT: Go anead, he will read along 9 with you. 10 BY MR. SPEIGHTS: 11 Q Does that document reflect, "from samples 12 from jobs in the field, it does not seem our material is 13 as well knit or bonded together as other products of 14 this type?" 15 A I haven't gotten to that. Where is that? 16 Q Second paragraph. 17 A Maybe I'm not looking at the same document. 18 Q "We believe that when they refer to 19 plaster -- H 20 A On, third paragraph, okay, I'm sorry. 21 Q Excuse me. 22 THE COURT: That'swhat it says. 23 BY MR. SPEIGHTS: 24 Q All right, sir. 25 A You quoted it accurately, yes, sir. 1 Q And then in 1969, a document you referred to 2 yesterday, this was written to Mr. Galloway, Mr. 3 Guthrey's partner, concerning the product Sprayolite in 4 the Athens Junior High School. Do you recall that 5 letter? 6 A Yes. 7 Q Would you read tne last paragrapn to me? 3 A "We have manufactured Sprayolite since 1956, 9 and have never had a bond failure with this product. I 10 am sure that on future jobs you will have no problem, 11 provided the material is mixed with only water." Signed 12 Dy Rober Keeler of Masons Supply, Product Manager. 13 Q All right, sir. I want to move to anotner 14 subject. Starting in the 1970*3, I believe you said 15 some people started naving inquiries about what to do 16 about asbestos materials; correct? 17 A I think they were asking whether or not a 18 particular product contained asbestos, yes. 19 Q Some of them asked more than that? they asked 20 for recommendations, didn't they? 21 A There may have been some asxed for 22 recommendations, yes. 23 Q As a result of getting all these inquiries, 24 National Gypsum Company had to devise or come up with a 25 policy about how to respond to those inquiries, didn't ---------------------- --------------------------- ------------- B63 1 they? 2 A That's right. j 3 Q And a meeting was held to try to come up with 4 a -- well, are you familiar with this letter, November 5 29, 1978, Exhibit 7042? 6 A Could I see it, please? 7 Q I will get you one in just a minute, Mr. B Ward. It may be just quicker if you want to come down 9 here and stand and we will go over it together down 10 here, if we can? 11 A All right. 12 Q Unfortunately, lawyers have a lot of 13 documents. Do you need to refresh your memory oy 14 looking at that document, Mr. Ward? 15 A I haven't looked at this for some time. I 16 would like just a moment to review it. 17 Q Yes, sir. 18 THE COURT: It may not take much. Why 19 t you ask what the question is. He may not have to 20 review it mucn. 21 BY MR. SPEIGHTS: 22 Q Well, thisdocumentreflects that you were 23 getting numerous inquiries about your Sprayolite 24 acoustical plaster? 25 THE COURT: Second paragraph. ______________ ________________ _____________ ______________________________ 8 6 4 1 BY MR. SPEIGHTS : 2 Q Second paragraph. 3 A Yes. 4 Q It reflects that you have no material data 5 sheet on that particular product? 6 A That's right. 7 Q All right, sir. Mow -- 3 A Because the product was no longer produced. 9 Q That's right. You had no material data 10 sheet? 11 A Uh-nuh (affirmative). 12 Q Included in the request for information on 13 Sprayolite are such questions as what percentage of 14 asbestos is present; that is what you said a minute ago, 15 correct? ! 16 A Yes. They asked if asbestos were in the 17 product, I remember that. 18 Q Two. Do you consider it harmful. That is 19 what the letter reflects that people were asking, 20 doesn't it? 21 A Yes. 22 Q Three, should it be removed. Tnat is wnat 23 people were asKing, weren't they? 24 A That is what it says. 25 Q Four, procedure for removing. That is wnat 365 1 it reflects, doesn't it? 2 A You read it accurately, yes, sir. 3 Q Five, asbestos du3t is flaking off. These 4 are inquiries concerning Sprayolite, aren't tney? 5 A Yes, that's the subject of the memorandum. 8 Q All right, sir. And there are otner 7 inquiries from school districts and other building 8 owners. This document reflects that people weren't just 9 asking does Sprayolite contain asbestos; they were 10 asking a lot more than that, weren't they, Mr. Ward? 11 A They had questions about it, yes. 12 Q They were asking for nelp, weren't they, Mr. 13 Ward? 14 A No, I don't see that related, but -- 15 Q They are saying do you consider it harmful. 16 They are asking the manufacturer, Do you consider the 17 product that is in our schools harmful? They are asking 18 for help, aren't they? 19 THE COURT: Well, I guess the Jury will 20 have to determine what the letter says. It's in. 21 BY MR. SPEIGHTS: 22 Q Well, sir, let's look at what happened at the 23 meeting. There was a meeting to try to decide what to 24 do about it, about all these inquiries, wasn't there? 25 A I recall there was a meeting, yes. There is 365 1 a document. 2 Q All right, sir. I want to go over that 3 memorandum or that meeting, January 4, 1979. Why don't 4 you just come down nere and we will go over it together. 5 Wait a minute, I believe we nave it. 5 THE COURT: Is this it? 7 MR, SPEIGHTS: Yes, sir. If you need to 3 step down nere, we will go over it here, if you would, 9 Mr. Ward. 10 BY MR. SPEIGHTS: 11 Q You are familiar with this document, aren't 12 you? This is one of the documents you reviewed, i 13 Eikenberry, Poroyce? 14 THE COURT: Are you familiar witn it? 15 THE WITNESS:' Yes, I have seen tnat 16 before. 17 BY RM. SPEIGHTS: 18 Q This is a meeting, the subject is Sprayolite, 19 January 3, 1979. You agree that is the suDject of that 20 meeting? 21 A That* s right. 22 Q And there were a number of people in 23 attendance at that meeting, including Mr. Eikenberry, 24 correct? 25 A Yes 66 / 1 Q Mr. Fordyce, who is the corporate counsel/ 2 the lawyer tor National Gypsum Company/ was in 3 attendance at that meeting/ correct? 4 A That's right. 5 Q Mr. Volk, whowrote thatreporton the lime 6 that you talked about/ spent all those hours/ he was in 7 attendance at that meeting/ wasn't he? 8 A That's right. 9 Q Let's see if we can agree onwnat tnis says. 10 "Each of the Sprayolite inquiries -- " let me back up. 11 You were not at that meeting, were you? 12 A No, I did not attend that meeting. 1 13 Q You had nothing to do with tnis at that time. 14 did you? 15 A With 16 Q Responding to Sprayolite inquiries. 17 A No, I wasn't involved in tnose responses. 18 Q "Each of the Sprayolite inquiries were 19 reviewed and discussed, resulting in an agreed format 20 response to answer these as well as future inquiries, 21 Replies will be handled by Mr. Volk and will be of a low 22 profile nature and not an elaborative nature." 23 That is the policy that was adopted oy 24 National Gypsum Company as to how to respond to a school 25 district like Athens if it inquired as to what to do 868 1 about its Sprayolite, isn't that correct? 2 A Well, that memorializes the meeting. I don't 3 know if you can call that the policy. 4 Q Well, it says this is a decision, wasn't it? 5 "replies will be handled by Mr. Volk and will be of a 6 low profile nature and not an elaborative nature." 7 A That is wnat they are recommending, yes. 8 THE COURT: Just have a seat up here. 9 You can see that, can't you, or not? 10 THE WITNESS: Not not very well -- yes, I 11 can see that. 12 BY MR. SPEIGHTS: I 13 Q The last paragraph, I have it sideways now, 14 because I have to to get it on there, "We will nave to 15 wait and see if our answers satisfy the individuals 16 making inquiries. If they do not and more specific 17 information is requested, most assuredly Mr. Volk will 18 advise everyone concerned on the next course of action 19 to take." 20 In otner words, if you did not satisfy them 21 with tnis nonelaborative answer, then you would have 22 another meeting and decide what to do next, correct? 23 A Presumaoly, if they needed more information, 24 we would figure out a way to give it to them. 25 Q The information, though, again they were 38 9 1 requesting, included information as to whether asbestos 2 was harmful, or your product was harmful, correct? 3 A There were apparently some Inquiries tnat 4 asked that, yes. 5 Q And you have seen those letters that have [ 6 gone out -- you descrioed them to us earlier -- where 7 you said simply Sprayolite contains asbestos, contact 8 the EPA, correct? 9 A That was the gist of it. I think we may have j 10 said a little more than tnat. 11 MR. SPEIGHTS: Your Honor, we better 12 approach the bencn on this one. 13 THE COURT: All right. 14 (Bench Conference.) 15 THE COURT: Let's let the Jury go out for 16 ten minutes. We will take a 10-minute break. 17 (Brief recess.) 18 THE COURT: Be seated. All right. Do 19 you want to make your statement on the record, Mr. 20 Speights, so we will have it in here? 21 MR. SPEIGHTS: Yes, sir. At this time I 22 would ask the Court to allow me to cross-examine Mr. 23 Ward on Mr. Eikenberry'g affidavit marked as Exnibit 24 1779.1 wnerein Mr. Eikenberry -- within 30 days -- 25 THE COURT: The affidavit is not in 870 1 evidence, right? 2 3 Honor. MR. SPEIGHTS That's correct, Your 4 THE COURT: But you are wanting to cross 5 examine him about an affidavit that is not in evidence? 6 MR. SPEIGHTS: Yes, sir. Your Honor 7 excluded it from evidence. We wanted to put it in a evidence. My position is now in light of Mr. Ward's 9 testimony concerning all the great things National 10 Gypsum supposedly did, et cetera, they opened the door IX for me to cross-examine him on this affidavit wa3 Mr. 12 Eikenberry right with the idea, "We are going to low i - 13 profile these things." Mr. Eikenberry said National 14 Gypsum didn't make any products with asDestos in them. 15 THE COURT: How long did the affidavit 16 stay in publication before it was repudiated by the 17 company? * 18 MR. SPEIGHTS: Mr. Westbrook knows more 19 about it than I do, Your Honor. 20 MR. WESTBROOK: Your Honor, it was a 21 numoer of years and it is disputed as to wno struck 22 John. It is our position tnat in the Georgia asbestos 23 litigation, co-defendant informed our firm that National 24 Gypsum was not telling the truth, and we began to look 25 around and simultaneously Mr. Larry Hoyle, Ms. 871 1 Herschel's partner in Philadelphia, apparently began to 2 start informing co-counsel around the country that 3 something needed to be done. 4 MS. HERSCHEL: Your Honor, the affidavits 5 of Mr. Eikenberry were filed in personal injury 6 litigation in '79 and *80. In the fall of 1980, 7 National Gypsum* s corporate management instructed my 3 partner, Mr. Hoyle, to review all files of personal 9 injury cases brought against National Gypsum Company; 10 find every place where Mr. Eikenberry's inaccurate 11 information may have been filed verifying 12 interrogatories, motions on summary judgment; in every 13 context, every place it had been filed, to notify 14 Plaintiff's counsel there nad been inaccurate i 15 information disseminated in the personal injury 16 litigation. We are not talking about Mr. Eikenoerry's 17 responding to product inquiries from building owners 18 about whether or not tnere was asDestos in their 19 ceiling. 20 THE COURT: Yes, but you have gone broad; 21 you have taken a day and a half here, almost, to tell 22 aoout a lot of things tnat weren't even relevant to tnis 23 lawsuit. Of course, no objections were made, so I just 24 let it go. They are suing you for a lot in punitive 25 damages 872 1 MS. HERSCHEL: Your Honor, Mr. Eikenberry 2 isn't here. What Mr. Eikenberry did, Mr. Eikenberry 3 did, however you want to characterize it. The company 4 corrected it. It is very prejudicial, Your Honor. 5 THE COURT: Well, it is prejudicial, but 6 it is a question of wnether it is admissible or not, and 7 there is no question but wnat it is prejudicial. Tnat 8 is the reason they want to put it on. 9 MS. HERSCHEL: Your Honor, Che company, 10 as a company, as soon as it came to their attention, 11 made a rather unusual effort. 12 THE COURT: You can't say it didn't come 13 to their attention, because Mr. Eikenoerry was an agent 14 of the company at all times. 15 MS. HERSCHEL: He filed affidavits in 16 personal injury litigation -- 17 THE COURT: What difference would that 18 make? 19 MS. HERSCHEL: Because it didn't affect 20 Athens in any way, or any building owner. 21 THE COURT: I know that, out there is a 22 lot of evidence you put on that didn't affect Atnens 23 either, but it tells what a good company National Gypsum 24 was for any and all purposes, wnich I thought, since 25 there was a punitive damage claim, I will let it in, ana 373 1 there was no objectionr anyway Maybe the reason they 2 didn't want to oojectr they wanted to put the Eikenberry 3 affidavit in. 4 MS. HERSCHEL; Your Honor, if you would 5 like us to resubmit the brier on Mr. Eikenberry - 6 THE COURT: It is not a question -- I 7 know pretty well what it is. 3 MS. HERSCHEL: If Mr. Eikenberry were 9 here to cross-examine, that would be one thing, Your 10 Honor, but he is not here. 11 THE COURT: Is he dead? 12 MS. HERSCHEL: He's retired. Mo, no, he i 13 is not dead, Your Honor. 14 THE COURT: Well, there is no question 15 but what he made the affidavit, is there? 16 MS. HERSCHEL: Oh, no, sir. 17 THE COURT: There is no question but wnat 18 it was inaccurate? 19 MS. HERSCHEL: That is correct. 20 THE COURT: And there is no question but 21 at some time the company, or somebody in tne company, 22 learned it was inaccurate, and they ordered it 23 repudiated? 24 MS. HERSCHEL: That is correct. All I'm 25 saying - 87 4 1 `THE COURT: You see, the only thing about 2 it is you put the company's reputation on the line for 3 any and all purposes. I mean, we have stayed here since 4 I don't know, about six hours, I guess, going over what 5 the company has done well, not just in the Athens City S Board of Education suit, in their instance, Dut all 7 over; what their policy was and how they treated their 8 employees and what they did, and now he is coming in and 9 saying yes, you have done that, we have let it in, but 10 we want to say what else you did. 11 I'm aoout inclined to think I may let -- if 12 this man didn't come on to testify, I would be happy | 13 with my ruling. 14 AS. HERSCHEL: Let me make an objection 15 to Your Honor allowing tne Jury to near aoout the 16 scenario with Mr. Eikenberry, which occurred in the late 17 *70's, 12 or 14 years after the product was sold, in a 18 case in which punitive damages is at issue. The 19 relevance is minimal; tne prejudice is great. 20 THE COURT: You are talking about -- 21 well, why is it not pretty relevant as to punitive 22 damages? 23 MS. HERSCHEL: That a company official 24 passed out, one company official passed out inaccurate 25 information that was corrected by tne company? 3 /o 1 THE COURTS Yes, why isn't that -- 2 MS. HERSCHEL: Number one,, Your Honor, 3 you Know our position is nothing after the plasterer 4 finished installing that ceiling in tne school is 5 relevant to punitive damages, because nothing could have 6 ever cnanged after that. To tar U3 7 THE COURT: Wnen was the affidavit of Mr. 8 EiKenoerry; after the Athens school, you say? 9 MS. HERSCHEL: 12 to 14 years, Your 10 Honor. The Eikenberry affidavits were filed in the late 11 *70's? *78, '79 and '80. We corrected them. The 12 company corrected them across the country in the fall of 13 1980. I was there, Your Honor. 14 THE COURT: I'm sure you were, and I'm 15 sure you had a good bit to do about having it corrected, 16 causing it to be done. 17 MS. HERSCHEL: Your Honor -- 18 THE COURT: How long is is it going to 19 taKe to do this, an hour and a half? I guess that is 20 irrelevant. 21 MR. SPEIGHTS: I think if you give me 22 five minutes, if this isn't the total ten minutes, I can 23 probaDly finish with this witness in less than ten 24 minutes. 25 THE COURT: Yes, but she is going to come 1 on and tell about -- she is going to have to come along 2 and tell about how they repudiated it and everything. 3 MR. SPEIGHTS: They have told about 4 everything in the world tor the last ---- 5 THE COURT: Here is the thing aoout it* 6 Ms. Herschel. I believe it is admissible. I have let 7 you nave a broad latitude of telling, not only in tnis 8 instance, but many instances going back to this man's 9 total experience with the company he worxs for, and 10 which he is proud of, and he is proud of the joo they 11 have done, and I have let you go into it, noc only on 12 matters that affected this lawsuit, but broadly. 13 Now, they are wanting to go into it broadly 14 to say -- well, they won't say this, but they say you 15 say you are pretty good, we say you are not that good, 16 and here is why, and on punitive damages tnat is -- 17 that's the only reason it is relevant. 18 MS. HERSCHEL: Your Honor, you have me at 19 a disadvantage. On my examination I was relying on your 20 ruling the Eikenoerry affidavits wouldn't come in. 21 THE COURT: I'm sorry. I didn't know the 22 plaintiff -- there is a lot of it shouldn't come in, but 23 it's in. I don't mean to have you at a disadvantage, 24 but I have got to kind of take them as they are, and 25 nothing is final until we get there. I'm just inclined 87 / 1 to think it is admissible, and I'm going to admit it. 2 We will take 10 minutes from now for 3 everybody to get organized. 4 MR. SPEIGHTS: Thank you, Your Honor. 5 MS. HERSCHEL: Your Honor, excuse me. 6 May I speak with Mr. Ward on this one subject? 7 THE COURT: Sure. a MS. HERSCHEL: Tnank you. 9 THE COURT: Yes, you may. 10 (Brief recess.) 11 (Continued without omission.) 12 13 14 15 16 17 18 19 20 21 22 23 24 25 37 3 1 BY MR. SPEIGHTS: 2 Q Let me see if I can go through something 3 pretty quick with you. If I go too fast, let me know. 4 National Gypsum advertised that it's acoustical plaster 5 Sprayolite could be applied to a lime oase coat; 6 correct? 7 A Are you reading from an advertisement? 3 Q Yes, sir* I mean/ if you don't know I will 9 be glad to hand it up? 10 A I don't remember the wording of it. That is 11 not wording I remember. 12 Q Okay. It says specifically to properly 13 prepare gypsum base coatf Portland cement, lime base 14 coat, and so forth. That is a National Gypsum 15 advertisement? 16 A That's right, or maybe technical literature. 17 I'm not sure where it came from. 18 Q 1949 is the document you found concerning 19 asbestosis, or the document you referred to about taking 20 the asbestos floats out of tne product, correct? 21 A That's right, there was a research report on 22 the development of a new product. 23 Q Now, actually that document was not produced 24 until very recently, was it? 25 A I don't know that, Mr. Speights. __________________ ______________________________ _____________________________________________ 81 y 1 Q You weren't involved when the Dig dispute was 2 over that particular document? _ 3 MS. HERSCHEL: Objection, Your Honor. 4 MR. SPEIGHTS: If you don't know, I will 5 withdraw it. 6 MS. HERSCHEL: May we approach the bench? 7 THE COURT: Okay. 3 (Bench Conference) 9 BY MR. SPEIGHTS; 10 Q Then in the 1950's -- well, let's get it in 11 sequence. In 1953 we have got the Spoylar documents 12 that we have discussed about respirators for 13 Therraocoustic. All right, sir. Tnen in the 1950*s, I 14 believe you said around 1956, National Gypsum bougnt an 15 asbestos mine; correct? 16 A We purchased the property, I think it was 17 completed in 1955, and it took some years to develop the 18 mine. It made its first shipments in 1958. 19 Q Good, I'm glad you gave me an eight, because 20 I can make that an eight. 21 A I was glad to help. 22 Q So, you have an asbestos mine in operation? 23 A That's rignt. 24 Q Then after that you started selling asbestos 25 fiber world wide? 1 thin* some or our literature refers to world wide. I'm not sure how literally correct that was, out it was available for world wide distribution. Q All right, we saw tne chart yesterday of all those arrows pointing all over the world, didn't we? A That's true. Q Then National Gypsum advertised, without putting on the board, the Gold aond division, asbestos floats that are grit free and uniform in tnree ranges of bulking; correct? A Yes, asbestos floats were used in a wide variety of products oy many manufacturers. Q Then in 1963, Exhibit 7024 National Gypsum internally said "Develop saleable fibers or fillers from Thetford Waste Material." in other words, 63, our policy, or sometime in there, was "Develop using these fillers or floats?" A No, I tnink there is a mistake in your interpretation, Mr. Speights. Waste material was the rock that was discarded because it was not feasible to remove further asbestos from it. Q And you wanted to use that material rather tnan disposing of it; correct? A Ye3, that rock that was left over after the 25 asbestos extraction took place. ddJ 1 Q There was a policy, however, that National 2 Gypsum would try to use its own asbestos fibers. It 3 makes sense to buy it from you rather than somebody 4 else, once you got in the business? 5 A That was our practice, yes. 6 Q And you used your own asbestos floats? 7 A Just as we used gypsum from our own mines to 8 make wallboard and just as we make our own paper for 9 that wallboard, yes. 10 Q 1949 you took floats out of this product 11 because of a risk of asbestosis? 12 A That is correct, that was a very dusty 13 product in application and there was good reason to 14 remove the floats. 15 Q After you got your asoestos mines, you 16 started using floats and selling them to otner people? 17 A Yes, we did. 18 Q Now, you were here yesterday, two days ago, 19 when some question was raised by Mrs. Herschel, you 20 remember with -- you remember Mr. Hatfield, the 21 microscopist from Atlanta that was talking about all tne 22 dust samples? 23 A Yes, the man from McCrone. 24 Q You were here when Mrs. Herschel was cross 25 examining -- it may have been Mr. Henson questioning 882 1 whether or not dust sampling was an accepted way to 2 evaluate a building/ weren't you? 3 A i recall some discussions about how it was to 4 be done. There was some discussion as to air samples 5 versus so called wipe samples or scrape samples. 6 Q Exhibit 1719? 7 A Yes. 3 Q That is an internal National Gypsum document/ 9 isn't it? 10 A No/ I think that this is a letter from a 11 company that performed services for National Gypsum 12 Company. 13 Q It is to - 14 A Addressed to National Gypsum. 15 Q Attention Mr. Pollard tne safety director? 16 A That's correct. 17 Q 1959 concerning the New Orleans plant. 18 A Right. 19 Q Then on the last page of that letter it 20 reflects, next co tne last paragraph "We took several 21 samples of settled dust for chemical analysis co 22 determine the percentage of free silica." Correct? 23 A That is what it says, yes, sir. 24 Q In your own plants in 1959 dust samples were 25 being taken, settled dust samples; correct? 1 A In 1959, yes. 2 Q Thank you, sic Now, 1962, have you seen 3 this document of the air hygiene, Exhibit 80, September 4 13, 1962, minutes or the Air Hygiene and Manufacturing 5 Committee meeting? 6 A i think I have seen it, but not for some 7 time. I'm not familiar with it. 8 Q All right, sir. You would agree cnat it 9 reflects that in that meeting one member reported a case 10 of cancer where the actual exposure was in fact very 11 slight? 12 A Is that wnere your tnumb is? 13 Q Yes, sir. 14 A in reporting settlement industrial 15 attributing lung cancer to asbestos dust wnere the 16 actual exposure was in fact very slight. There is no 17 mention of what the exposure was or whether it was 18 confirmed that it caused lung cancer. 19 Q It mentioned that exposure was very slight. 20 It didn't give the specific numoer, but it mentioned it 21 was very slight. Don't you believe, Mr. Ward, when we 22 know something, or even somebody claims that something 23 causes cancer, we should be concerned about it? 24 A I think it depends on the conditions, Mr. 25 Speights 884 X Q Don't you believe# Mr. Ward# that National 2 Gypsum Company# once it knew or should have known that 3 something caused cancer# should at least pause and think 4 about that situation a little bit? You don't ignore 5 that type evidence, do you# Mr. Ward? 6 A No. 7 A When you are talking about evidence# no# you 8 don't ignore it. I don't think in 1962 there was 9 adequate evidence. 10 Q When somebody claims something in National 11 Gypsum's product causes cancer# don't you think that 12 somebody should just pause and say# hey# let's think 13 about that a minute? 14 A Perhaps# Mr. Speights, but I don'tknow that 15 there was any connection between National Gypsum's 1 16 product and that document you just showed me. 17 Q National Gypsum Company manufactured a number 18 of products with asbestos? 19 A Yes, they did. 20 Q National Gypsum Company had anasbestos mine? 21 A That# they did. 22 Q National Gypsum Company ---asbestos was a 23 product# if someoody said it causes cancer# it wasn't 24 like National Gypsum Company didn't have any asoestos 25 around, was it? 386 1 safety director, right? 2 A That is what it says, hut I don't think that 3 came from our files. 4 Q You didn't find any -- 5 A I'm not familiar. 6 Q You didn't find this letter about cancer in 7 your files? 8 A No, sir, I have not seen that letter in our 9 files. 10 Q How about these minutes of the Gypsum 11 Association meeting in 1967, did you find those in your 12 files when you went oack years later and started looking 13 at documents? Would you hand me 15? Here is a copy. 14 A Thank you very much. Yes, I have seen this 15 some time ago, Mr. Speights. 16 Q Did you find this document in tne National 17 Gypsum files? 18 A Yes, I oelieve we did. 19 Q Septeraoer 19, 1967, that reflects that Mr. 20 Zimmerman was chairman of this committee and that Mr. 21 Zimmerman and a Mr. Tolin attended tnis meeting, 22 correct? 23 A That's correct. 24 Q Mr. Zimmerman was the safety director for 25 National Gypsum Company? 887 X A Yes, he was at that time. 2 Q Would you read tor me on the second page 3 under air and stream pollution, the second paragraph, 4 piease. 5 A "One mechanic noted a recent problem 6 involving the asbestos industry wnere a number or lung 7 carcinoma cases had been reported oy inhabitants of the 3 neighborhood surrounding an asbestos plant. It was 9 further noted that clinical tests and investigations had 10 resulted in legal action against tne manufacturer by the 11 claimants." 12 Q Again, you weren't at that meeting back 13 there, you had nothing to do with the corporate safety 14 policy then? 13 A I did not attend that meeting and I didn't 16 make the safety policy. 17 Q If you were told, if National Gypsum was told 18 that there was a contention that asbestos could cause 19 cancer to people living in the neighbornood of an 20 asbestos facility, wouldn't that be something to cause 21 the company to pause and say, hey, let's think about 22 this a little bit"? 23 A I think that if we were aware that our plant 24 could produce that kind of a condition in the 25 neighborhood, we might pause, out I think we were 8 8 8 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 careful not to produce that condition. Q 1968, May 17, 1968, the year after that, are you familiar with that document? (Continued without omission) ------------------------------------------------------------------------ ------------------------.------------------ ------------------------------ 3 9 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q Well, we have already had a lot or medical testimony. My question is, the fact that I'm breathing the asbestos in the plant, if I'm breathing the same amount in the neighborhood, or I'm breathing tne same amount spraying Thermocoustic or dealing witn asbestos cement products, National Gypsum wouldn't distinguish that, would it? A it you are breatning in a large amount of asbestos dust over a long period of time you are likely to risk illness, that is correct. Q I*m talking about bacK in tne 60's when National Gypsum was being told in a variety of situations that asbestos caused cancer. Just because somebody told you that asbestos could cause cancer in your asbestos cement products, doesn't mean you wouldn't consider it might be a problem in another product, would it? A I'm sorry, I didn't get that. Q If you were told in the `60*s that asbestos could cause cancer for someone dealing with asoestos cement products, you wouldn't just ignore or shouldn't just ignore the fact it could cause cancer dealing with another type of product, would you? A i don't recall being told in the '60`s of any cancer associated with using asbestos cement products. 691 1 Q If you were told in the *60's tnac living in C 2 the neighborhood of a plant, just living in the 3 neighborhood, not working in the plant, could cause 4 cancer, shouldn't National Gypsum consider, well, there 5 are other circumstances outside of our plant that 6 asbestos could cause cancer? 7 A I think it would depend on what kind or a 8 Plant these reports were coming from, and the conditions 9 that prevailed, 10 ^ *110 saying is, shouldn't National Gypsum 11 look into that? 12 A we were concerned abouc it, We provided dust ( 13 collection equipment within our plants. 14 Q Within your plants? 15 A And protection for our workers and we were 16 careful not to spew dust out from our plants. 17 Q 1968, National Gypsum opposed a booklet to 18 workers with asbestos produces, chat people like 19 Johns-Manville? 20 A Asbestos cement products. 21 Q Asbestos cement products? 22 A Well, there are distinguishingfeatures. 23 Q Johns-Manville wanted to inform people C-, 24 working with this product and putting it in buildings 25 and other places of how to effectively and safely work -- ___ ____________________________ _______________________ ___________ 892 1 2 3 4 5 6 7 8 9 10 11 12 13 14 IS 16 17 18 19 20 21 22 23 24 25 with that product. Isn't that correct? A X think Johns-Manville wanted to put this out as an application instruction that would allow people to follow recommendations which would keep the dust down on the joo. Q And National Gypsum opposed chat policy, quote, the booklet creates rear in the raina or buyers, users and workers without justification? A We opposed it because we didn't believe tnere was any danger in the use of those products. Q Was tnere any harm in telling someoody to be careful, if the evidence was unknown? A No, and we did support the publication of the book and distributed it. Q After it was modified? A That's right. Q Then I'm back where I was before we took the break. 1969 rolls around, and you are getting documentation here on asDestos air pollution in New York citY* Are you familiar with tnat document? A Yes, I believe I nave seen this, out it was some time ago. I'm not familiar witn all its contents. Q It reflects that National Gypsum becameaware of Dr. Selikoff's presentations and concerns over the exposure to asbestos from spraying asbestos? 893 1 THE COURT: Where are we? 2 MR. SPEIGHTS: He wanted .to review that a 3 minute, Your Honor. He said ne needed to refresh his 4 memory. Just let me know when you are ready, Mr. Ward. 5 THE WITNESS: I guess I'm ready for your 6 question, I don't want to take the time to read your 7 entire document, unless I find out I can't answer your 8 question without it. 9 BY MR. SPEIGHTS: 10 Q On page one it says tne material presented by j 11 Dr. Selikoff evokes serious concern about the relevance 12 of asbestos in the ambient air, as a health hazard, 13 correct? 14 A That is what it says, yes, sir. 13 Q This is an internal document of National Id Gypsum Company, and then on the second page, "we wish , 17 do you see where I am? 18 A Yes, the second sentence, right. 19 q "We wish to determine specific information as 20 to the form in wnich asbestos is used, raw material, 21 finisned product, end producer use, and the conditions 22 under which it is being used. This will all be done 23 with specific reference to its potential for community 24 air pollution during and as a result of such use." 25 THE COURT: Is that wnat it says, is what 39 4 1 he wants to know. 2 A Yes, that is what: it says. _ 3 Q On the next page, on page three, "In 4 addition," do you see where I am, second paragraph? 5 A Yes, I have it. 5 Q "In addition, the disintegration o asbestos 7 fibers is" -- 3 A Asoestos materials. 9 Q "Asoestos materials istangentially 10 associated; demolition problems being a special example. 11 Right? 12 A That is what it says. 13 Q 1969, Dr. Selikoff is talking about problems 14 witn demolishing buildings with asbestos in them and 15 problems that can occur along with amoient air; correct? 16 A I don't know what Dr. Selikoff said. I only 17 have this digest of his report. 13 Q You have here Mr. Zimmerman, your director of 19 safety, attaching the report; correct? 20 A Yes. 21 Q Mow, in 1969 Mr. Zimmerman is up here and Dr. 22 Selikoff is talking about cancer from ambient air and 23 demolition, and you have got your head of research, Mr. 24 Volk, down here dealing with Athens Junior High, at the 25 same time, 1969, about whether tnere is any question 395 1 about lime in the product, right? 2 A Wasn't that a year earlier, V6 8? 3 Q I believe it is '69? 4 A That's right. The final answer from Mr. 5 Keeler came out in '69. 6 Q All right, sir. If I can have that back. 7 Mow, at no time -- 8 A It came out in January, and this meeting was 9 in October. 10 Q All right, sir. In 1969, wnen ne round out 11 about that, or in '68, '67, '65, *62, at no time did 12 National Gypsum Company mention to Athens Junior Hign or 13 the architect hey, this product has got asbestos in it, 14 and because your ceiling has droppings or dustings, you 15 ought to take some special precautions. Is that 16 correct? 17 A I think the perception was that there were no 13 special precautions necessary because we are not talking 19 about the kinds or exposures that Dr. Selikoff and 20 others were concerned about. 21 Q Dr. Selikoff was talking about exposures in 22 the ambient air? 23 A I think he meant around construction jobs and 24 where materials were being sprayed on. 25 Q You weren't there at the time dealing with 89 1 this? 2 A Neither of us were there. . 3 Q We are just reading documents? 4 A Tnat's right. 5 Q Five years before, let's assume that you, the 6 National Gypsum Company had notice or cancer, if not 7 before that. Was there anything wrong with telling 8 Athens Junior High in '69, or '66, hey, tnere, someoody 9 is concerned about asbestos? 10 THE COURT: That is kind of 11 argumentative. We will let you argue. You can ask did 12 you send anything out, and if you didn't, why didn't 13 you. 14 BY MR. SPEIGHTS: 15 Q You don't know, because you weren't there? 16 A I think I have already answered that, Mr. 17 Speights. 18 Q Then right before the oreak, I was asking you 19 about the policies of National Gypsum in responding to 20 inquiries. Starting in at least 1976 National Gypsum 21 got all these inquiries from school districts raising 22 concerns about asbestos in ouildings. Correct? 23 A I think that's the earliest ones that came 24 in, yes. 25 Q All right, sir. And of course National 397 1 Gypsum knew that its product was down here in Atnens? 2 A Knew in what sense, Mr. Speights? 3 Q Mr. Volk, I think you said, spent hundreds of 4 hours looking at the stuff under the microscope or 5 something. It knew Sprayolite was down here? 6 A Well, it knew in the sense that tne files 7 were containing that information, but tnac information 3 was pretty old at that time. Those were long since 9 forgotten at that point. 10 Q You could have very easily pulled -- 11 THE COURT: That's also a little 12 argumentative. 13 Q You nad sales records snowing the sales of 14 Sprayolite? 15 A Not to Athens Junior High School, it doesn't 16 show up. 17 Q You had 3ales records showing tne sales of 18 Sprayolite; correct? 19 A That's right. It went to dealers and no 20 record was necessarily made of what jobs it went to. 21 Q You had information as to who your field 22 representatives were, didn't you? 23 A Yes, we did. 24 Q You had brochures showing spraying of 25 Sprayolite in specific locations, didn't you? 89 3 1 A Yes, a few. 2 Q Okay. You had communications witn architects 2 through Sweet's and other publications? 4 A In what sense? 5 Q You provided technicalinformation and advertising literature to arcnitects; correct? 7 A 0hr yes, routinely. 3 Q You had research files on some joos like the 9 bowling alley we talked about earlier and liKe Athens 10 Junior High? 11 A Yes, sir, there were a few noted in research 12 files. 13 Q If National Gypsum had wanted to; it at least 14 could have tried, '69, *76, *80, *82, whenever, it could 15 have tried to go out and contact those people which had l Sprayolite acoustical plaster in the buildings. You 17 could have made a reasonable attempt to get in contact 18 with those people, write them a simple letter, couldn't 19 you? 20 A I really don't think there was any perception 21 that there was any significant risk to ouiiding 22 occupants -- 23 THE COURT: The question is, ir you nad 24 thought it was a risk, could you have done that or could 25 you not have? 899 1 A 2 Honor. l guess it is theoretically possible, Your 3 BY MR. SPEIGHTS: 4 Q You had hundreds of inquiries concerning this 5 Sprayolite product, didn't you? 6 A Yes, sir, and we answered every one of them 7 truthfully. 8 Q You never went out with any letter saying, 9 hey, you have asbestos in your building and at least 10 upon renovation or demolition, you have to do something 11 about it? 12 A Are we talking 1966. 13 Q '77, '78, *80, `81, *82? 14 A I think the regulations on renovation and 15 demolition came out later than this time period that you 16 are in here. 17 Q That's the first time you have gotten in ray 18 area and that is a question of law. I*m going to ask 19 you to assume the regulations are already in before the 20 late 1970's and early *80*3. You certainly could have 21 gone out and written these people? 22 THE COURT: He said he could have, and 23 the question is why didn't you; if you have an -- 24 Q Thank you, sir. I want to go back, I think I 25 have three more documents for you, exhioit 7050. This 900 1 is a teletype message. Have you ever seen this 2 document? 3 A 1 would like to look at it. 4 THE COURT: Ask him questions about itr 5 mayoe he won't have to read the whole document. 6 BY MR. SPEIGHTS: 7 Q This is a document from out in the field, -- a excuse me, I put the second one up first.I didn't 9 write tne document. Every time I try to go faster, I go 10 slower, Hr. Ward. 11 A I know the feeling. Okay, I nave it. 12 Q This reflects a letter to Mr. Eikenberry, it 13 says "architect has existing Sprayolite," thi3 is 1980, 14 right? 15 A Yes, sir. 16 Q "Architect has existing Sprayolite acoustical 17 ceiling on concrete. Because of asbestos he has to 13 remove and requests our recommendations. I suggested 19 three possibilities. Remove Sprayolite by scraping, 20 apply bonding agent and sealer, then paint, plaster or 21 apply ceiling spray. Drop suspended lay in ceiling. I 22 would like to now if you concur, and if not what your 23 recommendation as to the architect's requesting letter 24 with our suggestions or specifications." Okay. This is 25 one of your field people that made some suggestions, ________ _____ ___________________ ._______________________9i. 1 right? 2 A That's right. 3 Q And wrote Mr. Ei*enberry. Mr. Eikenberry 4 didn't write him back, he sent him a teletype, didn't 5 he? 6 A Yes, I think the message is in teletype, so 7 he would have replied in kind. 8 Q Your wire on Sprayolite. "You cannot make 9 recommendation to architect nor can you write letter 10 regarding removal or Sprayolite. For any information 11 architect must write on hi3 stationery requesting 12 information directly to my attention. His letter will 13 be answered by our environmental service department. 14 Through my office is the only source for this 15 information." Right? . 16 A That's what it says. 17 Q And of course, you nad a policy then that we 18 went over earlier where you would not elaborate 19 concerning these requests from architects or building 20 owners? 21 A Well, the report of the meeting that you 22 showed us said the replies would oe of a low profile and 23 not of any elaborative nature. But it also provided for 24 giving more information if it was necessary. 25 Q Can you give me a document where National 902 1 Gypsum recommended removal, or gave specifications on 2 how to remove? _ 3 A No, I can't give you that, Mr. Speights. 4 Q Now I want to show you an affidavit. The 5 meeting, I believe we established, was in early 1979; 6 correct? 7 A I think that's right. 8 Q February, '79, wasn't it, January, *79? 9 A I'm sorry, I don't recall the exact date, but 10 if you will read it off, I will be willing to trust you. 11 Q Well, it was January of '79 and I'm going to 12 publish a document in a few minutes, once I locate it. 13 A Okay. 14 Q Now, Mr. Eikenberry attended that meeting. 15 Mr. Eikenberry was very involved in this, wasn't he? 16 A I believe he attended tnat meeting. 17 Q That was a meeting at which Sprayolite 18 acoustical plaster was discussed? 19 A That's rignt. 20 Q Mr. Eikenberry, you areaware, signed an 21 affidavit in the State of Georgia in an asbestos case. 22 Are you aware of that? 23 A Yes, I'm aware of that. 24 Q It says personally, this is an affidavit, 25 something under oath, right? 9u3 1 A That's correct. 2 Q "Personally appeared, W. S. Eixenoerry before 3 the undersigned officer duly authorized to administer 4 oaths." Okay. "Deponent makes this affidavit of his 5 own personal knowledge and experience. For the past 33 6 years and Director of Marketing Service for Gold Bond 7 Building Products," tnat is Mr. Eikenberry, right? 3 A That's correct. 9 Q Would you read paragraph seven to me of that 10 affidavit signed by Mr. Eikenberry? 11 A Paragraph seven says " National Gypsum 12 Company has never manufactured a plaster containing 13 asbestos fiber." 14 Q Now it's 1981. I believe even you would 15 agree with me, Mr. Ward, that by 1981 National Gypsum 16 had a lot of evidence concerning asbestos? 17 A Evidence of what nature? 18 Q About asbestos causing disease? 19 A Well, yes, yes, they had more than they did 20 years before, certainly. 21 Q And they got out of the asbestos business at 22 some point in time in the '80's, didn't they? 23 A 1981. 24 Q I want to show you Plaintiff's Exhibit 1836, 25 a letter from Jack Jones. Let me see if I have a copy 904 1 for you. Are you familiar with that document? 2 A Not offhand# but I may well nave seen it. I 3 have looked at an awful lot of documents. I'm pretty 4 sure I -- anyway, I have read it. 5 Q January 15, 1981. Would you read chat to us, 6 please, sir? 7 A This is going to regional managers, from the 8 then commercial sales manager. It says "This is your 9 final region report for 1980. We sold over $12 million 10 in asbestos products during 1980. This includes direct 11 sales and top loaded sales. As of this dace the New 12 Orleans plant is still a Gold Bond facility. We are 13 still in the business of making and selling asoestos 14 products. Please continue to emphasize this point with 15 your salespeople* The sales dollars are good as long as 16 they last" exclamation point. 17 Q Thank you, sir. Mr. Ward, the oesc people to 18 tell us about the policies and decisions of National 19 Gypsum Company would be the corporate management, 20 wouldn't it, people wno were involved in these 21 decisions? 22 A The people who are actually there when tne 23 music was played, as it were. 24 Q People who have been in management and are 25 familiar with management decisions, are people who know 9 05 1 how National Gypsum makes decisions? 2 A As I 3aid earlier, decisions in the company 3 are made at several levels, Mr. Speights. 4 Q Major decisions are made at high levels? 5 A Yes. 6 MR. SPEIGHTS: Thank you, sir. 7 MS. HERSCHEL: Your Honor, may we take a 8 short break so I can organize some or these exhibits 9 that Mr. Speights has been using? 10 THE COURT: How long? 11 MS. HERSCHEL: Can I have ten minutes? I 12 nave to pull them, Your Honor. 13 THE COURT: I guess so. We will take a 14 ten minute recess, Ladies and Gentlemen. 15 16 (Brier' recess.) 17 18 19 20 21 22 23 24 25 906 1 2 Honor. MR. SPEIGHTS: Just tor the record, Your 3 THE COURT: I haven't got you again, have 4 I? 5 MR. SPEIGHTS: No, sir. 6 THE COURT: Are we ever going to get 7 done? Every time we have a oreax, you all get stronger. 8 Okay, what else have you got? 9 MR. SPEIGHTS: I wanted to say for the XO record, when I was cross-examining on Exhibit 1770, that 11 has been renumoered as Exhibit 7045, which is in 12 evidence. 13 THE COURT: All right, tine. Proceed. 14 MS. HERSCHEL: Thank you, Your Honor. 15 3Y MS. HERSCHEL: 16 Q Okay, Mr. Ward. Who is Mr. Eikenberry? 17 A Mr. Eikenberry was the Director of Market 18 Services at the time he retired about a year ago. 19 Q What was his position, if you know, in the 20 *79-80 time period? 21 A I thin* he had essentially the same joo. I*m 22 not exactly certain the title was the same, 23 Q That position that you have described to us, 24 was he a member of corporate management? 25 A Well, he reported -- he was in the Gold Bond 9 i X Building Products Division, and he reported to 2 manufacturing management. - 3 Q Was he a top-level decision-maker at National 4 Gypsum? 5 A No. I think it is fair to say he was a 6 middle manager. 7 Q Now, is he still with the company? 8 A No. He retired, it was either at tne end of 9 *85 or the beginning of *86, but right in there. 10 Q Now, as part of his duties in tne *79-80 time 11 period, did he provide information on products to 12 attorneys in what we call products liability litigation? 13 A Yes, he did. 14 Q And in fact, he provided some information in 15 lawsuits that had been brought by people who thought 16 they were harmed from being occupationally exposed to 17 asbestos, isn't that correct? 18 A Yes, some of those were involved. 19 Q Okay. And in fact, he even signed affidavits 20 on oenalf of the company, did he not, explaining what 21 ingredients were in products? is that correct? 22 A Yes, he did. 23 Q Were a number of his affidavits -- do you 24 need a drink of water? 25 A I`m okay. I just nave something in my 908 1 throat, I'm sorry. 2 Q Were a number of the affidavits that he 3 signed in the '79-80 time frame inaccurate? Did they 4 contain inaccurate information? 5 A Yes, I'm aware that they did. 6 Q Have you ever spoken with Mr. Eikenoerry 7 about that? 3 A Mo, I haven't. 9 Q Now, among the inaccurate information that 10 Mr. Eikenberry executed an affidavit to was the 11 statement that Mr. Speights showed you tnat National 12 Gypsum's plasters never contained asbestos? is that 13 correct? 14 A Yes. 15 Q Okay.Did that misstatement come to the 16 attention of the major decision makers in the company at 17 any time? 18 A Yes. I think it did. I'm not sure exactly 19 how long after, but somewhere within about a year or 20 something like that they did become aware of it. 21 Q Okay. And who are we talking aoout now and 22 where are those folks? 23 A These would be the top people inthe 24 corporation at the Dallas headquarters. 25 Q The top brass? 909 1 A Yes. 2 Q Okay. Did they do anything wnen they found 3 out that Mr. Eikenberry had disseminated inaccurate 4 information about the plasters? 5 A It is my understanding that they asked their 6 counsel to carefully go over the records of the company 7 and correct any errors that they found in his 3 affidavits. 9 Q Was that done, Mr. Ward? 10 A Yes, it was. 11 Q You mean the lawyers went out and corrected 12 the record around the country? 13 A That's my understanding, yes. 14 Q I think that something Mr. Speights said 15 suggested that the '49 document having to do with ' 16 Thermocaustic in which one of the employees recommended 17 that they not use a specific fiber in there, he 18 suggested that it was very difficult for him to get that 19 document. Is that document in the records warehouse in 20 Charlotte, of which you are custodian? 21 A Oh, yes, it*s there. 22 Q Was it there when his people came on several 23 occasions to look? 24 A It had to be there; it couldn't be anywhere 25 else 1 Q All right. Let's try another subject, now, 2 that you have discussed with Mr. Speights. He showed 3 you, l think, a couple documents and discussed with you 4 the topic of a booklet directed to people who apply 5 asbestos cement produces that was under consideration in 6 the late '60's Do you remember that? 7 A Yes. 8 Q Now let's talk a little bit about asbestos 9 cement products first. Are they quite different from 10 Sprayolite? 11 A I would say they are about as different as 12 they can get and still oe a building product, yes. 13 Q All right. Would you tell the Jury what 14 asbestos cement building products consist of, what the 15 line is? 16 A Yes. Probably the one most of us would be 17 familiar with was a product called asbestos cement 18 siding, which was an exterior residential siding, coming 19 in various textured finisnes and colors. We made 20 asbestos flat sheets, made essentially out of tne same 21 material, but these were typically four feet by eight 22 feet and were used for utility rooms and mecnanical 23 rooms, that sort of thing. 24 Q Now, what generally are the ingredients in 25 that line of products, Mr. Ward? 911 1 A Principally cement and sand, and they nave 2 some other fillers and hinders, and they do contain 3 asbestos fibers. 4 Q Can you give me a range of asbestos content 5 for that line of products? 6 A l*m not really familiar with those formulas, 7 but I believe it's 10 to 15 percent, something like 8 that. 9 Q Werethose products generally dusty in 10 application, Mr. Ward? 11 A No, they were fully finished and you simply 12 nailed them in place. The dust -- there could be some 13 dust, if they were sawed or drilled, but ordinarily you 14 wouldn't call them a dusty product. 15 Q Now, when the people at J-M raised the issue 16 of a booKlet directed to applicators of asbestos cement 17 products, National Gypsum had some reservations at 18 first, did they not? 19 A Yes, they did. 20 Q What were their reservations? 21 A l believe that they felt that thiswas not a 22 dusty product and chat therefore the booklet was really 23 not necessary and that the way it was originally written 24 was perhaps inflammatory. 25 MS. HERSCHELj I'm trying to borrow a 912 1 transparency, Your Honor. 2 MS. HERSCHEL: Your Honor, would you bear 3 with me tor a moment. 4 THE COURT: All right. 5 MS. HERSCHEL: I apologize, Your Honor. 6 I was going to borrow Mr. Speights' document. 7 MR. SPEIGHTS: I will oe glad to give it 8 to her, but I got more documents than Piggly Wiggly's 9 got loaves of bread, Your Honor. I can't rind it, 10 either, right now. 11 BY MS. HERSCHEL: 12 Q All right, Mr. Ward, let' cry it this way. 13 Mr. Ward, from your investigation into the company 14 history, are you aware whether or not in connection witn 15 this asbestos, this proposed asbestos cement practices 16 booklet, National Gypsum consulted with any outside 17 consultant? 18 A I don't recall seeing that. I'm sorry. 19 Q All right. Mr. Ward, let me show you -- 20 MR. SPEIGHTS: If you give me a number, I 21 will try to find it. 22 MS. HERSCHEL: Don't worry about it. 23 BY MS. HERSCHEL: 24 Q I would like to show Mr. Ward a document that 25 has been marked as Defendant's Exhioit 2.021. Would you 913 1 take a quick look at that/ rfr. Ward, and then I will ask 2 you a cew quescions. .. 3 (Continued without omission.) 4 5 6 7 3 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 1 A I`m vaguely familiar with this. 2 Q Was there some discussion in the company as 3 to what an asoestos practices booklet should contain? 4 A Yes. 5 Q Did the company eventually support the 6 publication of a booklet recommending practices for 7 handling asbestos cement products? 8 A 5fes, they did, 9 Q 10 A 11 Q 12 it to? Did they distribute it to their customers? It's my understanding they did. Do you know what customers they distributed 13 A I believe it was intended for and went to 14 asbestos cement applicators. 15 Q Why would you pick chera out as a group? 16 A Well, they would oe the people most likely to 17 use the products. 18 Q i'he document that I have just handed you, Mr. 19 Ward, is a copy of a booklet which is entitled 20 Recommended Practices for Faoricating, Handling and 21 Applying Asbestos Cement Products in the Building and 22 Construction Industries? 23 A That's right. 24 Q It is prepared by the Health and Safety 25 Council of the Asbestos Cement Products Association, 521 915 1 Fifth Avenue, 20th Floor, New York, New York. Was 2 National Gypsum, in the `68-70 time period, a member of 3 the Asoestos Cement Products Association? 4 A Yes, we were. 5 Q Mr. Ward, is this a copy of the booklet that 6 was eventually put together, published and distributed 7 by National Gypsum to its customers? 8 A Yes, it is. 9 Q Mr. Ward, wouldyou look at the first -- turn IQ over the cover page. 11 MS. HERSCHEL: And if Your Honor will 12 bear with me, I would like Mr. Ward to read the 13 right-hand column on the cover page, and the little 14 squib on one of the last pages there. 15 THE COURTs All right. 16 BY MS. HERSCHEL: 17 Q Would you readtheintroduction to that 18 booklet into the record, please, Mr. Ward? 19 A That's the right-hand side of this sheet? 20 Q Beginning with "Discovery and production." 21 A Okay. "The discovery and production of 22 hundreds or natural and synthetic materials, including 23 asbestos cement products, has in some instances prompted 24 the need for special protective equipment and practices 25 that should be employed by all in the industry where 916 / 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 dust is created. Manufacturers of asoestos cement products have for years Seen taking protective measures to eliminate exposure of their workers to the inhalation of dust. The fabricating, handling and applying of asoestos cement products are diverse and range from tne installation of a single piece, to extensive operations involving cutting and machining by mechanical equipment. While care should always be exercised, special precautions are necessary wnen dusts in excess or federal, state or provincial allowable tnresnold limits are generated as a result of sawing, drilling or ocher operations. Respirators snould De worn. The following practices are recommended for fabricating, handling and applying asbestos cement products in the building and construction industries. Contractors and applicators are urged to study these recommended practices carefully to see that they are observed by all workers, it is in the best interest or both employer and employee to see that these recommended prac .ices are strictly ooserved." 0 And would you turn to page seven wnere there is a little summary down at the bottom of tne right- land column there. Do you have that, Mr. Ward? A Yea, I nave it. Q Would you just read that little summary 91/ 1 there? 2 A "Three major points to keep in mind in the 3 fabricating, handling and applying of asoestos cement 4 products. Keep dust to a minimum. Wear U. S. Bureau of 5 Hines approved respirators when exposed to dusts above 6 federal, state or provincial allowable threshold limits, 7 and maintain good housekeeping at all times." 3 Q Mr. Ward, did National Gypsum Company support 9 the publication of this booklet? 10 A Yes, we did. 11 Q Did you distribute itto your customers? 12 A We did. 13 Q Mr. Ward, Mr. Speights asked you about 14 whether or not the company listed the ingredients in 13 Sprayolite on its bags in the '50's and '60's. Do you 16 remember that? 17 A Yes. 18 Q You said, no, theydidnot? 19 A That's right. 20 Q Do you know from your experience in the 21 company whether there would have been any particular 22 reason why they didn't list tne ingredients in the `50`s 23 and '60's? 24 A Well, it was a proprietary product. 25 Q What do you mean by a proprietary product? 918 1 A it was our own. We developed itr we 2 orignated the formula, and I guess to protect it from 3 competitors, we did not reveal what the ingredients 4 were. 5 Q Have you found anything in your research 6 anywhere that would suggest tnat the reason that 7 ingredients were not listed on that bag was to conceal 8 from anybody that there was asbestos in tnat product? 9 A No, definitely not. 10 Q Nothing? 11 A No. 12 Q Mr. Ward, I would like to show you another 13 document. 14 MS. HERSCHEL: Your Honor, this document 15 is a rebuttal document that! has not been marked. 16 THE COURT: All right, it will be Number 17 3 of the unpremarked exhibits. 18 MR. SPEIGHTS: I would like to see it, 19 Your Honor. 20 THE COURT: I will De glad to show it to 21 you. Let's see, are we ready? 22 MR. SPEIGHTS: Judge, it's about a 23 12-page document -- it has never been provided to us -- 24 that I am just reading for the first time. 25 THE COURT: Well, let's go to luncn. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Ladisa and Gentleman, you all ace excused until 1:00 o'clocK. same admonition. Every time e give tnem a little opportunity to get more prepared, it aeems like it gets longer and longer. We`11 aee wnat nappens. You're excused until 1.-00 o'clock. (Continued without omission.} 920 1 2 AFTERNOON SESSION 3 JANUARY 23, 1987 4 THE COURT: All right. 5 MR. SPEIGHTS: Excuse me, Your Honor. I 6 located the transparency Ms. Herschel wanted. 7 THE COURT: Let's see, who was up? Ms. 8 Herschel? 9 MS. HERSCHEL: I'm sorry. 10 THE COURT: Are you at oat? Proceed. 11 FURTHER REDIRECT EXAMINATION 12 BY MS. HERSCHEL: 13 Q Mr. Ward, I just want to snow you again a 14 transparency that Mr. Speignts showed you having to do 15 with the question of possible dangers associated with 16 asbestos cement products in application so we can read 17 in one sentence that you and Mr. Speights didn't read in 18 when you were on cross-examination. Mr. Ward, do you 19 remember seeing this document this morning when you were 20 talxing with Mr. Speights? 21 A Yes. 22 Q Can you see it? 23 A Yes. I can't see it very well. 24 Q Would you -- 25 THE WITNESS: May I go around, Your 921 1 Honor? 2 THE COURT: We will turn the lights off, 3 and he will be able to see it well. 4 MS. HERSCHEL: This is going to be real 5 quick. 6 THE COURT: Okay, does that help you? 7 THE WITNESS: I think I can read it. 8 Right on the fringes. 9 THE COURT: You can go on down there. 10 THE WITNESS: It will help, sir. 11 THE COURT: Okay. 12 BY MS. HERSCHEL: 13 Q Now let's look at the conclusion again. It 14 reads, "Asbestos cement is not, at this time, proven to 15 be a culprit." I don't think we read that this morning. 16 "National Gypsum should continue to oppose distribution 17 to the public, any literature damaging to these 18 products. The handling of fibers may cause asbestosis. 19 Protection should be provided employees." 20 Was this the thinking of the company? Does 21 this express the thinking of the company based on your 22 research on the subject of possiole hazards to 23 applicators from asbestos cement products? 24 A Yes, I believe it does. 25 Q Mr. Ward, I would like to hand up to you a 922 1 document and ask if you will take a look at it and 2 identify it for me, if you can. 3 THE COURT: Have you shown it to him? 4 MS. HERSCHEL: I'm sorry. 5 THE COURT: You have seen it, haven't 6 you? 7 THE WITNESS: Yes, I'm familiar with tnis 3 document. This is a March lOtn, 1952 product supplement 9 issued oy the research division. IO BY MS. HERSCHEL: 11 0 Mr. Ward, would you explain a little furtner 12 what that document is, what tne function of that kind of 13 document is, where it ends up, that kind of scuff? 14 A Well, it was the practice of the research 15 department to publish technical information on products 16 which would specifically give designers or architects, 17 the types that would be interested in the technical 18 performance of the product, data about fire ratings or 19 sound absorotion, those type characteristics. And when 20 appropriate, it might also include detailed application 21 instructions, as it does in this document relating to 22 Thermocoustic. 23 Q And that is a document about Thermocoustic, 24 is that correct? 25 A Yes, that's the subject. 923 1 Q And it would be used where? 2 A This would be published by research to the -~ 3 well, people in marketing, out also to the district 4 sales offices where it would be channeled to sales 5 representatives who handled these products for use in 6 their own training and being sure that the people using 7 the products were properly instructed. 8 Q Is there any instruction in tnat document -- 9 I know it is a several-page document, Mr. Ward -- having 10 to do with possible dust problems on the job? 11 A Well, there is a note on page seven referring 12 to protective equipment. 13 Q Would you read that into the record, please? 14 A Yes. This is Section 5, Capital I, 15 Protective Equipment. "The workmen should be provided 16 with goggles and dust masks. 17 Q And that instruction would be provided to 18 your sales people for their use in discussing the 19 product with the customer, is that correct? 20 A Yes, that's right. 21 Q What is the date on that document, Mr. Ward? 22 A March 10th of 1952. 23 Q Okay. Mr. Ward, did you locate that document 24 personally in the company's files? 25 A As it happens, I did, yes. 924 1 Q Where -- 2 A I was reviewing researchdocuments on 3 microfilm that had been in the riles tor some years, 4 simply because I was trying to acquaint myself with the 5 history on the product Thermocoustic, and 1 found this 6 one. 7 Q That microfilm you are talking about that you 8 reviewed and on which you found that document, is that 9 also among the documents that are available to 10 plaintiff's counsel in this litigation? 11 A Oh, yes, certainly. 12 Q And is it among thedocuments that have been 13 available and have been reviewed at least in part by 14 lawyers for the Athens Board of Education? 15 A It is in the same place where all the 16 documents they have reviewed are, but I have no way of 17 knowing whether they actually saw that role of microfilm 18 or not. 19 Q They would have had access to it? 20 A Oh, absolutely. It has been there all along. 21 Mr. Ward, one last question. One more time, 22 in your research have you found any evidence from any 23 source, whether it is documents, people, or anywhere 24 else, that anyone at National Gypsum was aware of 25 possible hazards to building occupants from in-place 925 1 asbestos-containing products in 1966 when the Athens 2 Junior High was built? .. 3 A I found nothing whatever. 4 MS. HERSCHEL: Thank you. 5 THE COURT: All rignt. Is that it? I'll 6 give you 10 minutes, 5 for rebuttal. 7 RECROSS-EXAMINATION 8 BY MR. SPEIGHTS: 9 Q Were the Spoylar documents -- you know what I 10 mean by the Spoylar documents? 11 A 1953, sir. 12 Q Were they there availaole to plaintiff's 13 lawyers? 14 A I believe they were. 15 MS. HERSCHEL: Your Honor, may we 16 approach the bench on tnat one? 17 THE COURT: Yes. 18 MR. SPEIGHTS: Does this count toward my 19 10 minutes, Your Honor? 20 (Bench confrence.) 21 THE COURT: All right. Back on the 22 clock. 23 BY MR. SPEIGHTS: 24 Q Did you not know that these documents were 25 withheld by the attorneys based on some claim of _________________________________________ _______________________ 32o X privilege? 2 A I'm not aware of that, Mr. Speights. 3 MS. HERSCHEL: Your Honor, might we 4 define that claim of privilege? 5 THE COURT: There is a doctrine of 6 attorney-client privilege, and the doctrine is if some 7 client tells a lawyer something in confidence, that tne 8 attorney cannot tell that, if there is a certain test 9 met; it was told by the client with the idea in mind it 10 would be a privileged communication, and all the other 11 necessary things. And this is what we are talking 12 about. That is the reason it wasn't released, because 13 of an attorney-client privilege. That is what is meant 14 by that, as opposed to somebody withholding it for other 15 reasons. Okay. 16 BY MR. SPEIGHTS: 17 Q I believe I heard you, in redirect, but 18 asbestos cement products are hard products, aren't they? 19 A Yes, typically they are very hard. 20 Q You have to cut into tnera for them to release 21 asbestos fibers? 22 A That's my belief, yes, sir. 23 Q That's the oooklet you went out with -- you 24 went out with a booklet concerning these products. 25 Finally after some initial objections, you finally joined the other companies and went out w i m a booklet providing some cautions or warnings on these hard products? A That's correct. Q Okay. You never went out with a booklet concerning the spraying or any or the spray-applied products, Sprayolite or FireShield or perlite, correct? A 1972. I think those products were ofr the market in Q Yes, sir, but at no time, at anytime did you go out with any booklet on those products, correct? A There was a lot or literature published on those products. I'm not sure wnat you mean oy a booklet. Q There was nothing, no caution or warning concerning asbestos in those products? A No, none that I'm aware of. Q Thank you, sir. A I don't believe that anyone thought that one was required. Q I understand that is your position, or the company's position. document? Are you familiar with that A No, I'm not. Q You would agree with me it reflects in 1970 928 1 2 3 4 S 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 that National Gypsum is trying to -- MS. HERSCHEL: Excuse me, Mr. Speight3. May I know what we are talking about? THE COURT: that at the top there? What is tne the number of THE WITNESS: 174/. MS. HERSCHEL: 1/47? BY MR. SPEIGHTS: Q You would agree with me it reflects in 1/4/ that the company decided to try to get asoestos out of one of its ceilings products for a sales advantage? A Yes. It is talking about searching for a new spray texture formula that does not contain asbestos. Q For a sales advantage? A Yes. that's the final comment. "Maybe we can use this as a sales advantage." THE COURT: introduced, right? That has already been MR. SPEIGHTS: 174/, I believe, THE COURT: Did you want to introduce this other document you handed him? MS. HERSCHEL: Thank you, Your Honor. THE COURT: It wasn't prefiled, right? MS. HERSCHEL: That's correct. THE COURT: What is the next number? I*m 929 1 not charging you for this, either. I'm just trying to 2 get the housekeeping. 3 MR. SPEIGHTS: I was going to say for the 4 record that document was not listed or provided, but I 5 understand it is on rebuttal and for that reason I'm not 6 objecting to it. 7 THE COURT: All right, fine. It will be 8 Exhibit Number 4 to the documents that weren't prefiled, 9 premarked. 10 BY MR. SPEIGHTS: 11 Q Was it your testimony on redirect tnat the 12 New Orleans plant was clean? 13 A I'm not sure what you mean oy that. 14 Q Well, was the New Orleans plant a clean plant 15 insofar as asbestos was concerned? 16 A All I can tell you is that the company made 17 every effort to make it so. 18 Q All right, sir. 19 A It may not have always been characterized 20 that way by everyone who saw it. 21 Q When Ms, Herschel was asking you about Mr. 22 Eikenberry, I wrote down several times, taking notes 23 back there, my understanding is that it was later 24 changed? 25 A Yes, sir 930 1 Q You weren't directly involved in tnat, were 2 you? - 3 A No, I was not. 4 Q Who told you all aoout this? 5 A I think initially I heard that from Bob 6 Oberkircher. 7 Q Okay. Who else have you discussed that with? 8 A From time to time I have discussed it with 9 attorneys. 10 Q Like Ms. Herschel? 11 A Yes. 12 Q I believe you said tnat you are National 13 Gypsum's representative on the National Institute or 14 Building Sciences? 15 A That's correct. 16 Q Are you familiar with this publication, 17 July 2, 1984, Asoestos in Schools and Puolic Buildings? 18 A I'm aware of it. I wouldn't say that I'm 19 familiar with it. 20 Q All right, sir. Would you read to the Jury 21 the part that I have yellowed there? 22 A "The NIBS task force agrees that the case in 23 which asbestos material is progressively delaminating 24 from the building components, resulting in visible 25 deposits of asbestos on horizontal surfaces within 931 1 occupied spaces# is a situation appropriately requiring 2 immediate containment or removal." _ 3 Q Than you# sir. Now# that is an industry 4 organization which National Gypsum is a memoer or and \ 5 you are the representative# correct? 6 A It's an organization. I don't know that I 7 would call it an industry organization. It is partly 8 funded by industry and partly funded by the government. 9 Q But National Gypsum is represented by you? 10 A And others# yes. 11 MR. SPEIGHTS; Thank you# sir. 12 THE COURT: Is that it? 13 MS. HERSCHEL: Just a few follow up on 14 just what Mr. Speights asked. 15 MR. SPEIGHTS: I beat my time limit. 16 THE COURT: Yes# you did. Cut yours down 17 to three. 18 FURTHER REDIRECT EXAMINATION 19 BY MS. HERSCHEL: 20 Q Mr. Ward# you and Mr. Speights talked a 21 little bit about warnings on products. Did National 22 Gypsum at some point in time put any warnings on any 23 asbestos-containing products? 24 A Yes. They put warnings on asbestos fiber. 25 Q When was that? __________________ ____________________________________________________________________ 532 1 A About 1968 or '69. In about 1972 warnings 2 went on other asbestos-containing products. 3 Q Okay. Can you tell me what 4 asbestos-containing products warnings went on in about 5 1972? 6 A Joint cement, many of the asbestos cement 7 products, I believe spray textures. 3 Q And in 1972, where were we with respect to 9 our Sprayolite business? 10 A We had taken Sprayolite off the market in 11 1972. 12 Q Did the company also -- does the company 13 still sell joint treatment and textures? 14 A Yes, they do. 13 Q And you said at some point we had warnings on 16 them because of tne asbestos in them, is chat correct? 17 A That's correct. 18 Q Very briefly would you tell the Jury wnat 19 joint treatment and texture is? 20 A Joint treatment is the substance that is used 21 to finish the place where two pieces or gypsum wallboard 22 would be put together. Ordinarily, you would see a 23 crack there, so that crack is filled witn joint cement 24 so that the finished wall will be smooth and show no 25 seams. The spray texture is typically used on ceilings 933 1 to give it a finished appearance with the least labor 2 cost. 3 Q Now, you have told us that you had warnings 4 on them in the early '70*3 because they contained 5 asbestos? 6 A Yes. 7 Q Do you still make joint treatment and 3 textures today? 9 A Yes, we do. 10 Q Okay. You have told us that National Gypsum 11 doesn't make any other asbestos-containing produces 12 today, is that correct? 13 A That's correct. We don't make any asbestos- 14 containing products. 15 Q All right. Then! what happened to the joint 16 treatment and the texture? 17 A in `74 and *75thoseproducts were 18 reformulated and were then oxtered without asbestos. 19 Q Mr. Ward, is there any doubt in your mind 20 that when corporate management realized that Mr. 21 Eikenberry had disseminated inaccurate information, they 22 ordered it retrieved and corrected; is there any douot 23 in your mind? 24 A None whatever. 25 MS. HERSCHEL: Thank you, Mr. Ward. 934 1 THE COURT; All right* you're excused. 2 (Witness excused.) 3 THE COURT; Call your next witness. 4 HR. HENSON; Dr. Morton Corn* if the 5 Court please. o THE COURT; All right. 7 MR, HENSON: While he is oeing called, 3 may I ask the Court officer to take nis CV. That may 9 speed the dates. 10 (Continued witnout omission.) 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25