Document zdw3M3JL0NqnDMxNbdppw5Xw6

INTERNAL CORRESPONDENCE : Hi. mining and metals division PLAINTIFF'StS;''EXHiBrFtf; ^S^UC^39^^!| <***. - "'`C'7 270 PARK AVENUE, NEW YORK, NEW YORK 10017 To (NanW Company location Copy to Dr. Richard J. Kerr Chemicals and Plastics Div. 32nd Floor oar. Originating Dtp). Answering Unr rfjh Mr. J. L. Myers //vv~ Svbfecf {; 'J ' ./ V . :* / L/ July 15, 1971 Dear Dick: ', / Enclosed is a statement prepared by John Myers which sets forth the position of Mining and Metals Division on asbestos as an additive for latex paint. . We are going to begin contacting paint companies on the "concept" basis, outlined ir. the enclosure, beginning on or about August 16th. We would, of course, appreciate the assistance of your Group in these presentations but are pre pared to proceed with only our own personnel. I would be glad to discuss this matter with you at your convenience. Very truly yours, J. W. Rawling-s. JWR:mc Enclosure be.: Mr. J. C. Stephenson Dr. M. Stem CALIDRIA ASBESTOS FOR LATEX PAINTS STATUS AND POSITION (6-23-71) Work on utilizing Calidria Asbestos in latex paint was begun over two years ago by Major Paint and Varnish Company with the close cooperation of Jennat Corporation. CG-135-Pellets are now being used in a premium quality paint (A-l Acrycite) with a higher than normal Ti02 content (5 lbs./gal.). This is the first and only latex paint on the market to provide 1007, hide with one coat. It is an interior/exterior paint which has several other advantages and no serious drawbacks with regard to paint properties. Major expects to use 90,000 pounds of CG-135-P this year in their A-l line and their goal is to use it in as many other lines as possible. Usage in 1972 should be at least 200,000 lbs. and could be several times higher depending on acceptance in lower quality paints. Major is not a typical paint company, their R&D and production are both guided by VP Milt Golden. He apparently has been personally "sold" on the merits of asbestos in general and "Calidria" in particular. Some feel that he is using CG-135-P only to support his initial evaluation of it. His sales of paint and usage of CG-135 during the next 6-12 months should clarify this. Major prepares a separate asbestos slurry with high shear mixing equipment and runs their finished A-l paint through a pressure filter. These techniques and equipment are costly and may be unacceptable to the industry in general. Major also believes they can utilize only CG-135. Since we have recently prepared accept able paints in our laboratory without resorting to these techniques and with products other than CG-135, we do not feel that these are restricting factors. Group I R&D has basically agreed that Major's A-l paint has definite advantages but they have not duplicated the paint. We have been unable to fund any effort on their part and do not foresee any possibility of this in the near future. Group I has expressed concern over the possible loss of Cellosize business because of the thickening effect imparted by asbestos. Although the use of cellulosic thickener might eventually be reduced 20-30%, we feel there would remain a definite advantage to UCC and a place for both products. The following table, admittedly a cursory evalua tion, summarizes the above: Per 100 Gallons Paint Combination All HEC HEC CG-135 Quantity, lbs. Price, q/lb. NIFS, $ Gross Margin, q/lb. Gross Margin, $ 5 74 3.70 40 2.00 4 74 2.96 40 1.60 25 20 5.00 7.9 1.98 $3.58 UCC does not have all the cellulosic thickener market and the successful introduction of a CG product could actually assist Cellosize penetration. Our work in Niagara Falls under the direction of R. E. Byrne has been limited and we are obviously not "paint experts". We have found, however, that comparable paint can be made: 1) With either CG-100 or CG-135 2) With conventional pigment grinding or with the pre-slurry technique This paint can have higher opacity at the same cost or the same opacity at reduced cost. The paint can be made with typical properties at a standard 2.5 lb./gal. Ti02 level using "conventional" equipment and procedures. The formulations for two Niagara Falls paints, and their properties compared to Major's A-l paint, are shown in Tables I and II respec tively. Admittedly, there are numerous parameters which have not been examined, including other cellulosic thickeners, other pH levels, other types of latex, other T1O2 levels, other basic formulations, weathering data, etc. Several years and many thousands of dollars spent within UCC could prove or disprove our "concept" that Calidria CG has an application in latex paints but we do not have the funds or inclination to follow this approach. We do not feel that the evaluation of our "concept" must be made by UCC or by just one or two paint companies. We propose that sales aids be prepared as rapidly as possible and that we start presenting the "concept" at the earliest opportunity to all significant paint companies, paint research groups, and other interested parties. This can be done either through Group I, with Group I, by the Calidria marketing group separately, or through distributors. We feel that the most effective approach in the U.S. would be to have Calidria personnel make calls with the appropriate Group I C&A salesman at each account. We would be glad to make a concerted effort with Group I at one company such as PPG but don't wish to limit contacts to just this company. In Canada, we should involve H&C; in Japan, Tomoe has already started sampling and has placed their first order for 4,000 pounds of CG-135 Open Fiber; in South America, we have initiated contracts with UCIA; in Europe, we would have to develop a marketing approach. Any literature or presentation would have to be prefaced with three basic statements: 1) This is primarily a "concept" based on limited data and experience. 2) UCC can provide little or no additional technology except for a modest amount that may be generated at Niagara Falls and which will be passed on as generated. 3) No technology or technical service are available from Group I; all such requests to be routed to Calidria personnel. Sales aids will include written information describing the "concept", lab procedures and lab results; draw-downs; formulations, and wet samples of high and low Ti02 paint. In Niagara Falls, we will continue to spend available time on ex ploring new parameters of formulations and dispersing techniques. John L. Myers Marketing Manager CALIDRIA Asbestos 6-25-71 TABLE 1 INTERIOR LATEX PAINT FORMULATION (Ibs/1 CO gal) Ingredient Water Cel 1 osize, QP-4400 Tergitol NPX Tamol 850 Lee ? thIn Ethylene G1yco1 Butyl Ca.rbitol Acetate Nopco NXZ Ti02 (Du Pont R-960) ASP-170 Came 1-T ex CG-100 CG-135 Water Aerosol 0T Nopco NXZ UCAR Latex 360 Standard 269 5 3 4 1 20 15 1 250 75 1 55 0 0 1 50 2.3 2 243 W/CG-100 269 4 3 4 1 20 15 1 230 75 155 20 0 1 50 2.3 2 243 W/CG-I35 269 4 3 4 l 20 15 1 220 75 1 55 0 30 1 50 2.3 2 243 *Raw Material Cost Dif ference, */ga1 -- -4.8 -3. *@ 28*/# for Ti02, 74*/# for Cellosize, 7 1/2*/# for CG-100 and 20*/# for CG-135 TABLE I I TEST RESULTS OF PAINT FROM TABLE I (Tests Conducted at Jennat Corp., Torrance) Physical Propertie*, Ti02 !bs./I 00 gal. Total Soiid s, % Viscosity, KU Freeze-Thaw Hegmann (NF Data) Paint Film Properties Ref 1ecta nee Contrast - Dry - Wet - Diff. Enamel Holdout (60 Gloss) Room Temperature 38F Scrub, 7-day .air dry Tota1 Cycles Initial Wear, Cyc 1 es % Wea r Color Acceptance Applica+ion Properties* Foaming F raming Lapping Touch-Up Bru sha b i 1 i ty Levelling, Visual Sheen Un i f . Burnish Res i s . Wet Crack Res i s. H2C Spot Resis. TOTALS Standard 250 53.73 91 Passed 5.0 92.0 .9670 .9600 .0070 76 68 1000 403 90 Exc,. 5 15 10 15 10 5 10 10 8 5 93 W/CG-100 230 53.87 93 Passed 5.5 91.5 .9670 .9657 .0013 75 66 1000 400 50 Exc. 8 15 10 10 10 10 15 10 10 10 1 08 W/CG-I35 220 53.72 95 Passed 5.5 Maj or's A- 1 500 65.48 86 Pa ssed ----- 91.5 .9730 .9600 .0130 70 63 1000 256 90 Exc. 86.0 1 .000 1 .000 0 75 (Avg. ) 52 (Avg.) 1 COO 975 (Avg.) 4 (Avg.) -- 2 20 15 5 10 8 1 5 10 10 10 5 20 10 1 0 1 0 10 1 5 10 1*0 20 102 1 24 ^Rated on 1-20 scale with 20 exceI Ient