Document zggqyXkrYp74OBnvmr7XmENn
1971
Mr. Keith Kelly Manager of Purchasing
Dear Mr. Kellyt Confirming the recent discussion with Andy Rego and a
letter from T.L. Gossage dated November 30, 1970, we wish to amend our contract on Capacitor Aroclor 1242 (Interteen 54201 CP).
Effective July 1, 1971, the price of Capacitor Aroclor 1242 and 1232 will be increased $.02/lb. The new prices for tankcar shipments will be $0.18/lb. FOB Sauget, Illinois, minimum freight prepaid.
Several factors necessitate this increase in price. As you know, we have withdrawn certain Aroclors from non-electrical applications because of the PCB environmental situation. Loss of Aroclor to the environment in such appli cations could not be confined or controlled. This has re sulted in substantially lower volume with consequent increased production costs. We Intend to continue to produce the Aroclor dielectric fluids for use In sealed capacitors and transformers. In doing so, we must conform to certain requirements and practices that will avoid environmental contamination fessn PCB/Aroclor fluids. Again, these actions result in additional expenses in manufac turing, toxicological testing and research.
DSW 291589
STLCOPCB4065423
We hope you will understand our position and need for this price change. We want to continue to be a responsive and dependable supplier of your dielectric fluid requirements. The MonsantoAtestinghouse association has been a long and responsible one and we wish to continue it.
Yours truly.
Raleigh X. Garcia Regional Sales Manager Specialty Products
j*
bcc: P.G. Benignus - St. fiou&s
XJ.R. Fallon - St. Louis
A.J. Rego
-- Cincinnati
I
DSW 291590 STLCOPCB4065424